Can ETH price recover post the FTX induced crash?

The crypto markets have turned volatile since the May crash, but the recent FTX collapse has made it very difficult to recover. Meanwhile, market analysts and influencers believe the cryptos could remain under extreme bearish pressure until the end of 2022. Moreover, the trend is also likely to be extended for the first few weeks of 2023 too.

Besides, the FTX hacker who stole nearly $600 million in funds from the exchange has been liquidating his ETH reserves. This mounted immense pressure on the second-largest crypto which was close to losing the $1000 mark. However, a minor upswing uplifted the price slightly but the bearish clouds continue to hover over the rally.

Key Takeaways:

ETH price has slashed by more than 34% ever since the FTX exchange collapsed, compelling the price to mark new yearly lows.
However, the global market cap reclaimed $800 billion levels after the tokens recorded a minor recovery.
Meanwhile, the ETH price closed the previous day’s trade, marking a slight rise at $1184.25 with a market capitalization of $137.46 billion and a circulating supply of 122.37 million.

How ETH Price was Impacted by the In-Famous FTX Collapse

As the most popular crypto exchange, FTX collapsed, the entire crypto market was badly impacted. The value of the tokens fell miserably creating huge FUD within the markets. Ethereum price also dropped by more than 30%, marking new yearly lows at $1074 in the past couple of days.

After the exchange halted the withdrawals initially, a hacker stole more than $600 million worth of assets and swapped them for ETH & other stablecoins. Some of these ETH were swapped further to WBTC & renBTC, while a huge chunk of ETH was liquidated recently. Being one of the largest Ethereum whales after the hack, it was quite obvious that acute selling pressure may be created that could further drag the price lower.

Additional Read: FTX Collapse Explained

Ethereum(ETH) Technical Analysis

Source: Tradingview

The Ethereum price as mentioned has been badly impacted by the recent market crash led by FTX and further fueled by the FTX hack.
The bearish market sentiments compelled the price to trade within a falling wedge which is considered a bullish indicator.
Meanwhile, the volume has plunged notably which may hamper the intensity of the forthcoming rebound.
Therefore, the ETH price is expected to hover along the upper resistance of the wedge for some more time, before breaking out of the pattern and rising high.

Read more: Ethereum Technical Analysis

Ethereum On-Chain Analysis

The development activity on Litecoin has risen notably. The platform’s upgrades were largely stagnant over the years and hence the price remained undervalued for a long time.

Source: Santiment

The supply held by the top address is making new highs every new day suggesting that the whales could be accumulating ETH heavily since the beginning of Q4 2022

Source: Santiment

Meanwhile, the supply on exchanges has dropped heavily indicating the liquidity on the exchanges dried up, required to carry out any buy-sell-trade. However, the asset remaining off-the-exchanges is considered bullish

Source: Messari.io

Besides this, the daily active address remains largely unaltered, maintaining a descending trend. This may indicate the less involvement of the retail traders and increased activity of the whales

Source: Santiment

Will the ETH Price Reach $1250 Today?

The Ethereum price has been largely bullish since the beginning of the day’s trade after maintaining a bearish trend for a couple of days. The price has surged beyond $1150 and appears to surpass $1200 any time from now. Meanwhile, the bearish interference was also recorded at frequent intervals, but it failed to restrict the price from displaying a ‘v-shaped’ recovery.

As the buying volume is on a rise, a notable upswing could prevail for some more time ahead. This may lead the rally towards $1200 but may fail to hold the price beyond these levels for a long time. Hence, the Ethereum price prediction for today could be around $1200 or an extended bullish trend may even enable the token to reach $1215 to 1220 by the end of the day’s trade.

Will the ETH Price Reach $1500 by November?

Following a bullish start to the month, the ETH price fell precipitously, which was exacerbated by the collapse of a popular crypto exchange, FTX. As a result, despite a decent recovery, the ETH price and the entire crypto market are expected to remain bearish until the end of the monthly trade. Meanwhile, the bulls are attempting very hard to hold the price above $1250, but the bears appear to take over the rally very soon.

Alongside, the technicals are also pointing towards a minor short-term bounce which could be underway. Therefore, the ETH price may eventually rise close to $1250 attempting to surpass $1300. However, the bulls tend to get exhausted very soon and hence the price may face rejection when on its way to reaching $1350 and close the monthly trade around $1300.

Additional Read: Top Proof of Stake Tokens

Ethereum Price Prediction for December 2022

As the trade heads towards the end of the year, the volatility is expected to kick off, compelling the price to head close to initial targets. The price is the time of a deep bearish trend also has sustained above $1000. Hence the bulls appear to be well-positioned to keep up the rally within an ascending trend.

The Ethereum price may remain consolidated in the first couple of weeks and accumulate strength to propel high later. After gaining significant strength, the price may rise high intending to close the yearly trade on a bullish note. Hence the Ethereum price prediction for December 2022 could be around $1475 to $1550.

Ethereum Price Prediction 2025-2030

After a couple of bearish weeks, ETH price is trying to materialize a firm bullish week. Therefore, the prices are expected to maintain a stable upswing that may enable the price to close the monthly trade on a bullish note. However, the price may further attempt to reach a bullish yearly close too, which may forbid the bears to some extent.

In the upcoming years, the ETH price may rise high enough to reach halfway to its ATH initially. Once the rally approaches the ATH, it may intensify its activity to form a new ATH beyond $5000 and later aim at a 5-digit figure in the coming years.