{"id":12655,"date":"2022-08-02T06:49:20","date_gmt":"2022-08-02T06:49:20","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/crypto\/eth-may-consolidate-as-merge-excitement-wears-off-says-expert\/"},"modified":"2022-08-02T06:49:22","modified_gmt":"2022-08-02T06:49:22","slug":"eth-may-consolidate-as-merge-excitement-wears-off-says-expert","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/crypto\/eth-may-consolidate-as-merge-excitement-wears-off-says-expert\/","title":{"rendered":"ETH may consolidate as Merge excitement wears off, says expert"},"content":{"rendered":"
After a surge in Ethereum (ETH) prices last week, the cryptocurrency may now be treading in a consolidation phase, says asset management firm IDEG\u2019s chief investment officer.\u00a0<\/p>\n
In a report shared with Cointelegraph on Monday, the author of the report, Markus Thielen said he while he has been bullish on ETH prices six weeks ago, he has now turned \u201ccautious.\u201d<\/p>\n
The thesis has been based on macro factors and price analysis of the cryptocurrency, noting that the Fed still continues to \u201cramp up its Quantitative Tightening (QT) program which drains liquidity,\u201d while noting that ETH\u2019s prices had reached technical resistance at around $1,800.<\/p>\n
The asset management firm also noted that this has come as Ethereum has seen a 47% drop in network revenue, a decrease in total volume locked (TVL) and there was also a decrease in the stablecoin market cap with USDC experiencing $1.1 billion of outflow over the last week.<\/p>\n
Speaking to Cointelegraph on Tuesday, IDEG chief investment officer Markus Thielen noted that the recent price rally has not been supported by a change in fundamentals. <\/p>\n
Thielen also believes that hype around the \u201cEthereum Merge\u201d is now experiencing a downward trend, illustrated by recent Google search data.<\/p>\n