While the cryptocurrency market has been going through active days since the beginning of 2024, the most important events of recent days include Bitcoin's ATH refresh and Ethereum Dencun upgrade.
While the Ethereum Dencun upgrade is expected to take place today, March 13, Singapore-based cryptocurrency company QCP Capital evaluated the Ethereum and Dencun upgrade in its new report.
At this point, QCP Capital warned investors about a possible price correction for Ethereum, despite its recent rise to over $4,000.
Analysts said market sentiment for ETH has changed, noting that the likelihood of spot Ethereum ETF approval is low in the near future.
Pointing out that the number of investors opening bearish option transactions on ETH has increased, he attributed this decline expectation to the Dencun upgrade that will take place today and that a “sell the news” situation may occur with the upgrade.
“The 'risk reversal' we expected in Bitcoin happened overnight but was extremely short-lived.
BTC touched 68,600 and ETH touched 3,825 before making a sharp jump above 72,000 and 4,000 levels respectively.
Here we see that ETH volumes have dropped more than BTC in particular.
The market appears to be pricing in the possibility of ETH spot ETF approval and a possible correction in ETH prices could be seen.”
Finally, analysts said that despite the short-term decline, analysts maintained their long-term bullish expectations for ETH, but continued to be cautious about rises.
*This is not investment advice.
