Ethereum Price Prediction: Where Is Support and Can Price Still Hit $10k Post Merge

cryptonews.com:

Why has Ethereum (ETH) underperformed, and what is the likely next step? After years of planning, the blockchain has completed its transition to proof-of-stake (PoS).

The crypto market eagerly anticipated the transition, hoping that it would improve the transition. However, investors have been underwhelmed by ETH's post-Merge performance so far. This suggests that the Merge may not be the bullish catalyst that most investors expected it to be.

During its buildup phase, the Merge generated much interest, particularly among investors who believed that the Ethereum blockchain would see even more adoption, boosting the ETH price.

Unfortunately, things have not gone as planned. The price of ETH has dropped by 15.40% since the Merge.

The issue appears to be that the entire crypto market is trading down. And the reason for this downturn is simple: inflation. Last week, the Federal Reserve released Consumer Price Index (CPI) data, revealing that inflation for August 2022 was 0.1% month-over-month.

Core inflation was also 0.6% month-over-month, with year-to-date inflation now at 8.3%. The inflation figures were much higher than expected, and the markets were shaken as a result.

With inflation on the rise, market analysts are concerned that the Fed will raise interest rates even further. According to data from CME FedWatch, the market is now fully priced in a minimum rate hike of 75 basis points for the Fed funds rate. However, there may be sufficient reason for the banking regulator to raise interest rates by as much as 100 basis points; if this happens, it'll be the first time since the early 1980s.

The Federal Open Market Committee (FOMC) will meet on September 20-21 and issue a statement on planned interest rate hikes and Fed