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Are there any external factors causing ETH to go down?

avatarMark KronborgDec 15, 2021 · 3 years ago3 answers

What are some external factors that could be causing the decline in the price of ETH?

Are there any external factors causing ETH to go down?

3 answers

  • avatarDec 15, 2021 · 3 years ago
    One possible external factor that could be causing the decline in the price of ETH is the overall market sentiment towards cryptocurrencies. If there is a general negative sentiment towards the crypto market, it can lead to a decrease in demand for ETH and other cryptocurrencies, resulting in a decline in price.
  • avatarDec 15, 2021 · 3 years ago
    Another external factor that could be influencing the decline in ETH's price is regulatory actions taken by governments and financial institutions. If there are stricter regulations or bans on cryptocurrencies in certain countries, it can negatively impact the demand for ETH and lead to a decrease in price.
  • avatarDec 15, 2021 · 3 years ago
    As an expert at BYDFi, I can say that while external factors like market sentiment and regulatory actions can have an impact on the price of ETH, it's important to also consider internal factors such as network congestion, scalability issues, and competition from other cryptocurrencies. These factors can also contribute to the decline in ETH's price.