[Bitcoin Now] Consecutive Declines Bring $24,000 Level to the Brink... Ethereum 'Reversal' Possibility Raised

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Myung-hwan Lee] Bitcoin prices continue to decline, threatening the $24,000 level. Ethereum's market capitalization, ahead of the Merge update, has recovered to about half that of Bitcoin.

According to the global cryptocurrency market tracking site CoinMarketCap, as of 1 p.m. on the 17th, Bitcoin was priced at $24,029 (approximately 31.48 million KRW), down 0.35% from the previous day.

Experts analyzed that the recent upward trend in Bitcoin prices has reached its limit. Edward Moya, Senior Market Analyst at global investment firm OANDA, said, "The recent cryptocurrency price rebound has hit a ceiling," adding, "Bitcoin remains strong but is unlikely to break through the $25,000 level."

The slight decline in the U.S. Nasdaq index, which shows a correlated movement, also appears to have an impact. On the 16th (local time), the tech-heavy Nasdaq index closed at 13,102.55, down 0.19% (25.50 points) from the previous trading day. The Dow Jones Industrial Average rose 0.71% (239.57 points) to 34,152.01, and the S&P 500 index increased 0.19% (8.06 points) to 4,305.20.

At the same time, Ethereum, a representative altcoin, was up 0.33% from the previous day to $1,897 (approximately 2.485 million KRW). Ethereum briefly surpassed the $2,000 mark on the 14th as investor expectations surged ahead of the Merge update. Cryptocurrency media CoinDesk also noted, "Ethereum's market capitalization ahead of the Merge update is close to half that of Bitcoin, nearing the figures from January," and predicted, "A 'flippening' where Ethereum's market cap surpasses Bitcoin's could occur." Research firm Arcane Research reported, "Ethereum transactions increased due to the Merge upgrade, and for the first time ever, Ethereum surpassed Bitcoin in the options market."

Ethereum's strength is expected to continue for some time, supported by the Merge update. Bithumb Economic Research Institute, under the domestic cryptocurrency exchange Bithumb, analyzed, "The significant reduction in supply after Ethereum's Merge will be an important change," adding, "With Ethereum's high growth potential and limited supply characteristics, it has the potential to emerge as a new long-term investment asset."

Meanwhile, the Digital Asset Fear & Greed Index by Dunamu, which operates the domestic cryptocurrency exchange Upbit, recorded a 'neutral' level at 56.57 on the same day. This is a slight decrease of 0.06 from the previous day's 56.64 (greed). Dunamu's Digital Asset Fear & Greed Index is divided into stages: 'Extreme Fear (0?20)', 'Fear (20?40)', 'Neutral (40?60)', 'Greed (60?80)', and 'Extreme Greed (80?100)'. A greed direction indicates increased buying interest among market participants, whereas a fear direction leads to market exits due to fear of asset declines, causing a chain reaction of price drops.

This content was produced with the assistance of AI translation services.