Ethereum (ETH) price is indicating a potential bullish rebound as Vitalik Buterin explores a possible path to mainstream adoption.
Ethereum price was the most bearish of the top-tier altcoins in the ongoing bearish crypto outlook, which has seen the total market valuation plummet by more than 3 percent to approximately $2.1 trillion on Thursday. Over the past 24 hours, the large-cap altcoin, which has a fully diluted valuation of roughly $282 billion and a daily average traded volume of approximately $22 billion, has experienced a 4.2 percent decline, trading at roughly $2,346 during the early New York session on Thursday.
Ethereum’s price may be exhibiting a bullish pattern even though it began the fourth quarter in a choppy mode, contrary to the crowd’s expectations. From a technical perspective, the Ether price is currently retesting a critical support level, which could catch the majority of bears off guard.
Additionally, the top-tier altcoin has exhibited a potential reversal pattern, defined by a bullish divergence in the daily Relative Strength Index (RSI) and an inverted head and shoulders (H&S) shape.
Nevertheless, the bullish reversal pattern will be invalid if Etherprice consistently closes below the support level of approximately $2,121. In such a scenario, the bears will be unable to prevent the price of Ether from falling below $2k and toward $1,954.
Nevertheless, the former scenario is more probable, as the crypto market is expected to rebound with Gold and major stock indexes.
Major bullish factors for the entire crypto industry in the coming months will be the upcoming US elections, which will occur in the context of a changing global economic outlook and increasing geopolitical tensions.
Buterin’s Strategies for Reviving Ethereum
The current threshold of 32 ETH to secure a validator position is sufficiently high to prevent mainstream decentralization, as per Ethereum co-founder Vitalik Buterin. Consequently, Buterin has suggested a method for reducing the minimum staking requirement to 1 ETH in the long term.
Buterin suggests that the core developers should focus on increasing the bandwidth requirement to reduce the overall staking requirements to 16 or 24 ETH. Buterin emphasized that the ultimate objective will be to minimize the staking limit to 1 ETH as the Ether core developers continue to work on the PeerDAS upgrade and the Orbit SSF.
Moving to the Sidelines: Ether Whales
On-chain data indicates that whales have been actively selling, making the Ethereum market treacherous over the past few weeks. Recently, the US spot Ether ETFs have experienced significant cash outflows, in addition to the Ethereum Foundation, which has sold nearly $10 million year-to-date to cover its expenses.
Since the approval of the US spot Ether ETFs, Grayscale’s ETHE has been the leading liquidator, with over $557 million liquidated.
The bullish sentiment was dampened today when an Ethereum ICO wallet sold approximately 19K ETH, roughly $47 million.