Your favorite crypto news blog

Ethereum Price Targets 9 Month Low as DeFi Markets Strengthen

Altcoins 2019/12/12 06:00 by Martin Young

It has been another miserable week for Ethereum as prices continue to erode. Further declines today have left the world’s second largest crypto asset in danger of hitting a nine month low. Decentralized finance (DeFi) markets are in an opposing trend with continued growth in the sector.

Ethereum Hits $140

Ethereum is still deep in a two year bear market and it has displayed little effort to pull itself out despite solid fundamentals. Its market cap has dumped to a meager $15 billion which is a far cry from the $100 billion invested in the token in early 2018.

A 4% dump on the day has seen ETH prices collapse to $140 a couple of hours ago. Aside from the brief dip on November 25 the asset has not been this weak since late March, nine months ago.

According to Tradingview.com Ethereum plunged below $140 a couple of hours ago and remains deep in bearish territory with prices making lower lows on a regular basis.


Ethereum is now very close to its prices at the beginning of the year having wiped out all gains in a massive 60% correction over the past six months.

There is nothing specifically causing the ETH dump aside from overall bearishness on crypto markets in general. In fact Ethereum is looking strong from a technical standpoint having successfully rolled out the Istanbul upgrade which opens the next digital doors for Serenity to begin.

DeFi Don’t Care

Twitter boss Jack Dorsey’s advocating of decentralized social media is the next step in an internet free of controlling entities. The financial world is also evolving into a more decentralized nature with DeFi, which is largely based on the Ethereum ecosystem.

Oblivious of Ethereum’s stunted performance in terms of price this year, DeFi continues to grow. According to Defipulse.com new records have been made again with the total value of ETH locked in DeFi hitting 4.6 million.

The amount of actual ETH in decentralized finance platforms also peaked this week at 2.73 million which equates to 2.5% of the entire supply.

In dollar terms new records are also being made but this is largely due to the decline in Ethereum prices.

As DeFi grows more ETH will be used and locked in to interest earning platforms as opposed to being day traded on open markets. This over time will decrease volatility and increase the value of the token.

Add this premise with the transition to a proof of stake consensus model next year and it will not be long before Ethereum pulls itself out of its two year bear market.

Image from Shutterstock

The post Ethereum Price Targets 9 Month Low as DeFi Markets Strengthen appeared first on NewsBTC.

0 Like(s)

You should also read...

Altcoins 22/11/19 06:24 by Martin Young
How Does The Ethereum Dump Affect DeFi Markets?
It has been a grim end to the week for Ethereum. The world’s number two crypto asset has held up resiliently for most of this month while Bitcoin has been eroded. That resilience ended a few hours a...
Read More
Altcoins 25/11/19 17:25 by Brenda Ngari
86% Of Ethereum Holders Are Now At Loss – Will The Booming DeFi Be The Savior For ETH?
A precipitous slump in the crypto market like the one witnessed on Friday after China announced its renewed crackdown on crypto-related activities in the country is bound to further demoralize the ma...
Read More
Altcoins 28/11/19 11:00 by Martin Young
Will The Istanbul Upgrade Give Ethereum a Price Boost?
Ethereum prices have been extremely lack luster lately despite solid fundamentals and a growing decentralized finance ecosystem. The world’s second largest crypto asset is so hopelessly tied to its ...
Read More
Altcoins 29/11/19 06:00 by Martin Young
DeFi Don’t Care: Ethereum Investing Reaches Record Levels
Crypto markets may end the year battered and bruised, down 50% from their 2019 highs, but decentralized finance continues to grow as another record has been hit this week. Ethereum investing is moving...
Read More
Bitcoin 14/12/19 09:35 by Martin Young
Bitcoin Volatility Dwindling, Has BTC Taken an Early Vacation?
Bitcoin and cryptocurrency markets are slowing down. There has been very little activity over the past week as volumes and volatility decline. Technical indicators are also lining up which could indic...
Read More