Ethereum price news: Can Ethereum stay above $500? Why is Ethereum falling?
The cryptocurrency market has fallen again today, as prices fall back into the red across the board.
Prices for Ether have dropped, despite a positive week for most cryptocurrencies towards the end of last week.
ETH reached as high as $534 in the early hours of the morning before sliding down along with the rest of the crypto-market.
As of 5pm today, ETH was trading at $504.64, a 3.85 percent drop.
Why is Ethereum falling?
2018 has been a difficult year for cryptocurrencies in general.
Q1 was the worst quarter in crypto-history, with almost half the market cap being wiped off.
Cryptocurrencies are always volatile, and it was anticipated that prices would take a hit after a strong end to 2017, but it was hard to predict a fall as hard as this.
Confusion over regulation and warnings that the crypto-market is a bubble ready to burst have taken their toll on all of the top trading tokens.
Ethereum may have suffered the heaviest blow of all currencies, having lost around 70 percent of its value since it’s high mark of $1,338.67 in December.
Ethereum prices have dropped today
Ether, the second biggest cryptocurrency on the market in terms of market cap, has a strong reputation for being a faster and efficient option comparative to its cumbersome sister, bitcoin.
Notorious for breaking new ground with innovative new start-ups, Ethereum gained popularity and brought prices up.
However, Ether has struggled in 2018, especially in comparison to bitcoin spin-off, Bitcoin Cash.
In a report titled Cryptocurrencies: Past, Present, and Future, researchers predict that the near future of Bitcoin Cash is very optimistic compared to a grim reality for Ether.
The entire cryptocurrency market has suffered another bad day of losses
Callum Blanchard a cryptocurrency data specialist for Cryptocurrency: Past, Present, and Future told the express.co.uk that he wasn’t surprised by the findings saying that though Ether had been one of Bitcoin’s main competitors because of its ability to allow blocks to be created quicker, investors today are looking for more unique features than ever.
“Ethereum originally stood out for allowing ‘blocks’ to be created quicker, but compare that to the likes of Bitcoin Cash, or even for transaction speed – Ripple and Litecoin – and suddenly even that isn’t so unique anymore.”
Ethereum took some positive gains from the weekend and it is expected that the prices could swell to higher points.
The token gained more than $100 this week, with the market cap increasing from $40.5 billion to $50.8 billion.
While it may look like a bad week for the market, the strides it is making to recover are positive.