Elrond (EGLD), like most other cryptocurrencies, came under selling pressure after the collapse of the FTX cryptocurrency exchange. Investors still remain concerned that the FTX crisis could cause a domino effect and drag other exchanges into the mud, which would severely destabilize the entire crypto industry.
The crypto market saw modestly higher prices this trading week, but market participants should keep in mind that the price direction of LINK in the short term, together with other cryptocurrencies, will also depend on how the Federal Reserve’s interest-rate policy plays out.
It is still not sure if the Federal Reserve would take a less aggressive stance in its interest rate hikes, but if this happens, we could see Elrond (EGLD) at higher price levels. Popular Wall Street strategist Thomas Lee, a co-founder of Fundstrat Global Advisors, believes that the cryptocurrency market would strengthen again despite a poor performance in the last several months, adding that;
“It has been a horrific year for the cryptocurrency market, but it is not that different from 2018. If we look back at that crypto winter when Bitcoin went from $17,000 to something around $1,200, that was the time when some of the best projects were created.”
Elrond (EGLD) Technical Analysis
The price of Elrond (EGLD) has weakened from $214.87 to $38 since March 28, 2022, and the current price stands at $43.5. The price has formed a bearish rectangle pattern, a continuation pattern that typically resolves after the price breaks out of its range while pursuing the direction of its previous trend.
According to technical analysis, Elrond (EGLD) remains in a bear market, but if the price advances above $50, the next target could be $60. The current support level stands at $40, and a break below this level would indicate that we could see EGLD at $35 or even below.
Summary On The Elrond Price Prediction
Elrond (EGLD) has weakened more than 70% since March 28, 2022, and according to technical analysis, this cryptocurrency remains in a bear market. Although the cryptocurrency market now faces a trust crisis, the price of Elrond (EGLD) could advance in December if the Federal Reserve hints at slowing the pace of rate increases.
