Ethereum is really feeling the bite while its price continues to plummet – the ETHUSD pantoloni rise from the historic lows of August to historic highs.
To the Moon and Back
Ethereum has now joined the crowd of altcoins that are trading below the bull run prices pre-November 2017. Currently there is a decline of 86 percent from its maximum Historical $ 1400.
While the other top-ten cryptocurrencies are trading in a range slightly higher or lower than their November 2017 prices, Ethereum has seen the worst. In November 2017, at the dawn of an explosive bullfight, Ethereum had nearly reached $ 400. Last weekend Ethereum was trading for a short time at under $ 200 – a loss of more than 50 % from November
Composed with the slipping price, the short films on Ethereum skyrocketed from a historical low two weeks ago, to today's historical high, on top at almost 250,000 ETHs.
Proof of what?
Currently, Ethereum's blockchain operates on a labor-testing system where miners protecting the network and transactions receive ETH again as a reward.
Ethereum will soon abandon the model of proof of work to turn into a test of the gaming system made up of investors who block or throw Ethereum tokens to protect the network. The people who bet then earn rewards depending on how many ETHs are up for grabs, and the period of time they are aimed at.
This transition phase has presumably put more risk on Ethereum as a resource. Moreover, almost all the companies that are building the Ethereum blockchain are suffering for the same bear market.
This year continues to be an excellent example of a prolonged bear cycle after steep clarifications on the whole line in the cryptocurrency markets. Bitcoin has shown a relatively strong resilience to bears, and investors are starting to realize that there are fewer short-term risks in transferring funds from Ethereum and projects on Ethereum's blockchain, to Bitcoin.
Do you think Ethereum will continue its downward trend or is it an inversion soon to come? Should Ethereum be proof of participation or proof of work? Let us know your thoughts in the comments below!
Images courtesy of Tradingview