Ethereum's (ETH) price is gradually approaching oversold territory, sparking concerns about its ability to reach its previous all-time high before the current bull cycle ends.
While Ethereum's (ETH) current market conditions may resemble past extreme lows, ETH is still the "most likely" place for institutional adoption, says Alliance DAO's Qiao Wang.
CoinWaves’ Fear & Greed Index is now picking up on some oversold signals in the altcoin market. As of Monday, March 13, LODE Chain’s (LODE) Fear & Greed Index had reached the ‘oversold’ area, which is now filled with such coins as TRON (TRX), Maker (MKR), Lido (LDO), and many others.
eth is about at the same oversold level as it was during the 2021 terra collapse, 2018 deep bear ("two digit shitcoin"), and after the 2016 dao hack.its really hard not to want to buy at these levels.
Qiao Wang, the co-founder of web3 accelerator Alliance DAO, notes that ETH is about at the same oversold level as it was during the 2021 Terra collapse, 2018 deep bear, and the aftermath of the 2016 DAO hack, when the DAO, after raising $150 million worth of ETH through a token sale, was hacked due to vulnerabilities in its codebase, adding that it’s “really harder not to want to buy at these levels.”
As crypto.news reported, the price of ETH has been performing poorly for the past three weeks as investors remain hesitant to enter the market. Moreover, Santiment data shows that the number of daily active Ethereum addresses has been decreasing. On March 12, the network had 293,000 addresses, a decline from over 717,000 earlier this year.
however poor the outlook is for given asset, there is a price at which it makes sense to own it. but to answer ur question, if anything, eth is still the most likely place for institutional adoption to happen.
Now, the path of least resistance for ETH is lower, with the immediate price target to watch being at $1,500. A breakdown below this level could see it fall to the next psychological support at $1,000, a 45% drop from the current price. A move above the key support-resistance level at $2,500 would negate the bearish outlook. Despite the prevailing negative sentiment, the Alliance DAO co-founder believes ETH is still the “most likely place for institutional adoption to happen.”
