2018 has proved to be the worst year for Ethereum as the coin was trading at a high of $1400 at the start of the year and smashed down around 92% now trading just a few points above $100. The major reason for the downfall of Ethereum is large selling by ICOs which kept bringing the price of ETH down the whole year.
November’s ICO selloff
November has been the worst month of the year for the cryptocurrency market bringing down the most prominent cryptocurrency; bitcoin down from around $6500 to around $3500. The price of Ethereum at the start of the month was around $200 which fell to around $104 in November this year. Not only did the price of Ethereum fall but also the market capitalization of Ethereum fell largely turning it to be the 3rd top cryptocurrency by market capitalization after maintaining the 2nd stop for a long period.
According to reports, Around 170,000 ETH have been withdrawn from ICO wallets in the month of November only which amount to almost $20 million dollars worst of Ethereum sellings (According to the current price). ICO selloff has been due to the sudden panic created in the market due to the fear created amongst ICO holders that the price may even fall further below the $100 range.
According to the reports, the most important point to be noted is that only about 20% ICO’s have sold their ETH holdings yet which states that 80% ICO’s still hold Ethereum which is expected to be a part of the next major selloff which may bring the price to double digits.
ICOs that raised around $100 million worth ETH in January this year are left with just around $8 million worth of ETH. What’s ahead for ETH? What do you think? Tell us in the comments section below.