Ethereum's Volatile Hour: 18% Drop, $2609 Hopes

Ethereum's price has been volatile in recent hours, with a maximum drop of 18% observed in the last one hour. Despite this, the market remains optimistic about Ethereum's potential to close above $2609 if the current price trend holds.

The recent price falls in Bitcoin and Ethereum have been attributed to President Trump's tariff threats on China. Bitcoin has experienced a 3-week low of $91,441.89, while Ethereum has lost 24% and is trading at $2,494.33. The tariffs have sparked concerns about global trade and investor sentiments.

In response to the tariffs, the market has reacted with caution. Pepperstone spokesperson Chris Weston has stated that crypto research is a risky proxy for market sentiment. Bitcoin has experienced a 3.89% drop in the last 24 hours, its worst fall since early September. However, investors remain hopeful that Bitcoin will recover to a price point of $106,000.

If Bitcoin and Ethereum fail to hold their current positions, they could face further declines. A dip below the 200-day EMA could see Bitcoin's price fall to $83,026. Ethereum, however, is testing the anticipated.236 Fibonacci retracement level, which could see its price reach $2,609 if successful. However, a sell-off trend could see Ethereum's price fall to $2000 or even $1750.