Recent Concerns About Ethereum Trading

The world's second largest cryptocurrency in terms of market capitalization failed to break through the $4,000 pricing level this week, thus prompting some traders to contemplate whether Ethereum has what it takes to hold on to its privileged spot on the market.

Since November, Ethereum has taken an incremental step forward each week but has seen the price gradually decline in recent days, hitting a low of $3,770 on Friday. For today, Ethereum did not look like it had the momentum to hit the $4,000 mark, but it is still posting solid volumes of trading after whale investors rushed to rake in profits.

However, by Friday afternoon Ethereum traders seemed to have stopped their profit trading, and some hopeful bullish traders were trying to inject some excitement ahead of the weekend. As of Friday evening, all five major exchanges are reporting moderate trading volumes of Ethereum and other altcoins. It remains to be seen if the price will continue to decline or if other altcoins will continue to perform better against Ethereum and the upcoming Bitcoin futures. The sentiment for Ether to reach $5,000 cannot be discerned when looking at options and futures contracts.

What the Future May Hold for Ethereum

Some analysts believe that Ethereum could hold on to its current spot on the digital currency markets for another week. Other analysts argue that if there was a way to stop Ethereum from selling in the $4,000 price range without making the price more volatile, then it might provide an advantage for traders. Unfortunately for anyone looking to trade Ether for any other asset, the Ethereum price is in ap position that could put Ethereum on a collision course with Bitcoin and possibly Litecoin and Dash.

Fundamental updates on Ethereum have been thin to the point of not being relevant to active traders. In fact, there are more positive news related to the progress that some side chain projects have been making as they compete against the classic Ethereum network, which many users and miners complain has been getting too slow and expensive. Right now, all the attention is being placed on Bitcoin and Dogecoin.