Following the slump in the price of Ethereum, Bitcoin, and other major cryptos, transaction costs on the Ethereum network appear to have crashed to 6-month lows. This information comes from BitInfoCharts, a crypto analytics website.
This week, gas fees on the Ethereum network averaged $7.31, which marks the second-lowest price since January 2021, when it was below the $7 mark.
This writer had tried to perform a transaction on the Ethereum network when Ether was trading above $4,000 and incurred $200 in gas fees, more than 30% of the transaction value itself. This shows just how far the market has fallen. However, the Ethereum price prediction shows that Ethereum could be on its way back up if the double bottom on the daily chart plays out as expected.
Here is the Ethereum price prediction for the day.
Ethereum Price Prediction: Levels to Watch
The double bottom pattern is yet to be completed, as the active daily candle could not breach the neckline. A penetration close of 3% above the neckline confirms the pattern and opens the door towards further recovery. This recovery move from the pattern targets 3400 as the price completion point as per the measured move. However, resistance levels at 3,000 (psychological) and 3159.92 (4/17 May lows) must give way in the process.
On the flip side, the inability to complete the neckline break may lead to a pullback that aims for 2439.10 (14/23 April highs in role reversal), with 2143.44 and 1935.79 acting as additional support targets.
Bulls need to see if price bounces off the previous bottom levels to form a potential triple bottom, which must still seek a neckline break for validation.