What to Expect for Ethereum Price in July Based on Historical Trends

June was a particularly bearish month for the cryptocurrency market, with many assets revisiting their monthly support. Amid the market sell-off, the Ethereum The price plunged from a high of $3,887 to a low of $3,232, registering a loss of 16.9%. However, the fall lies within the healthy retracement of the Fibonacci tools, indicating that a strong one could allow ETH bulls to counterattack.

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Ethereum Price Eyes Stability as 78% of ETH Is Held by Long-Term Holders

Ethereum Price | Tradingview

The short-term trend Ethereum Price is highlighted sideways by a new high formation below $3975 in late May. This reversal indicates that the overhead supply is high from market sellers and ETH buyers would need time to recover their momentum.

The connection of the overhead peaks with a trendline reveals a potential triangle formation, as the altcoin has also received dynamic support from an ascending trendline since October 2023.

Ethereum price is currently trading at $3,389 and its market capitalization stands at $407.3 billion. If supply pressure persists, the coin’s price could fall another 5% to seek support at the upcoming trendline.

New buying pressure from the trendline could push the asset 14-15% higher and challenge the upper boundary of the triangle at $3,860. A bullish breakout of the triangle would signal better confirmation of the continuation of the uptrend.

Read also : ETH/BTC Pair Poised to Breakout as Ethereum ETF Launch Approaches: What’s Next?

In a recent tweet, prominent crypto analytics firm IntoTheBlock revealed a striking statistic: 78% of Ether is currently held by long-term holders. Despite Ethereum’s price volatility, the proportion of ETH held by long-term investors has continued to increase, indicating strong confidence in the future value of the asset.

Ethereum’s price performance in July has shown a mix of gains and declines over the past few years, reflecting the volatility of the broader market and investor sentiment. The largest gain was +56.62% in 2022, while the largest decline was -27.29% in 2017.

On average, July has a positive return of +6.95%, although the median return is -4.41%, indicating mixed performance.

Ethereum Monthly Returns (%) | Change machine

However, with the continued development around US-listed companies Ethereum ETFWith the launch scheduled for mid-July, the odds are stacked heavily in buyers’ favor.

Technical indicator

• BB indicator: A rise in the lower boundary of the Bollinger Bands indicator losing its bearish momentum and further support for buyers to bounce back.
• Moving Average Convergence Divergence:A negative crossover between the MACD and the signal line highlights that the short-term trend is intact and bearish.

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