On the evening of 8 September, the Ethereum exchange rate broke through an important support and is currently at 190 US dollars. Thus the exchange rate has fallen to values of July 2017. An important support is currently being tested, and the indicators suggest that it could fall even lower.
Bitcoin’s fall a few days ago spoiled the day for traders with a long position and hodlers. But Bitcoin, as weak as the performance of the Bitcoin price is at the moment, can still hold its ground above the support this year.
In stark contrast to this Bitcoin secret is the Ethereum rate
With the sale not only the support was undercut at 286 US dollars. The Bitcoin secret exchange rate thus fell below the minimum of September last year. The Ethereum rate is currently testing support from the end of July. If this does not hold, the next Bitcoin secret price target would be 155 US dollars – the minimum from mid-July 2017.
Reasons: General market situation, (self-)criticism of ethereum and postponement of Difficulty Bomb
It is often idle to name the reasons for a fall in prices. In the case of Ethereum, however, there are a few Ethereum-specific points in addition to the reasons for the fall of the Bitcoin course: Ethereum has recently been criticized from various quarters. Christian von Stellar X explained why he would not host an Ethereum-based ICO. The well-known magazine TechCrunch even sharpened its focus: Jeremy Rubin argued why, in his opinion, Ethereum’s value proposition cannot be fulfilled.
What is really dramatic is that no one less than Vitalik Buterin Jeremy Rubin partly agreed with Reddit. Vitalik admitted, however, that this would only be due to the consensus mechanism:
This hopeful view of an Ethereum system with Proof of Stake, which is to become real with Casper, has now been postponed to one year via the EIP-1234. Strictly speaking, the Ethereum Improvement Proposal only postpones the Difficulty Bomb, but quite a few interpret this step in such a way that Proof of Stake at Ethereum must now wait.
An already bad situation on the market, coupled with harsh criticism of the Ethereum system, which is partly shared by Vitalik, and an extension of the waiting time for Casper, which Vitalik believes would be necessary, are sufficient reasons for such a dramatic fall in prices.
BUILDL – The rescue of Ethereum
Is this the end of Ethereum? It doesn’t have to come that way. Quite apart from the fact that the currently tested support can also hold, it is now necessary to develop dApps on Ethereum. The Ethereum community must show that the crypto currency can do more than just be a platform for anyone in ICOs. This is not unrealistic: No matter if you look at FOMO3d, Augur or Golem: The second largest of all crypto currencies, with or without Proof of Stake, can be much more than a platform for token sales!