Ethereum recently finalized ‘The Merge’ at block 15537393 on September 15, 2022, But what will be the after math? According to price action currently, ETH could see more downside from here. Ethereum price today as of time of writing is still trading at approximately $1339 Support. But what happens when this support fails as we see that its clearly that after the merge the market sentiment remains poor. What happens when the support breaks down, The bigger question remains how far down are we talking about this time?

We see that since ETH price last leg down visit to support at $880 Back in July 18 2022, Buyers has managed to get a little recovery to over $2k But that only lead to a sideways market as we currently see Ethereum price returning back to that support range meaning no bottom is confirmed yet.

Lets look at the higher timeframe to get a bigger picture and see the forest for the trees.

Price has been stuck in a sideways market ever since making little to no move as we see clearly the weekly chart candles overlapping badly and the last 3 candles signs the rhymes of a bloody street as those are clear 3 bar reversal candle.

First I do see an attack of the 10040 support level after which the sellers are likely to give the buyers a chance for a mini bounce back to retest the broken support of $1330 but this bounce is also likely going to $880. But If the weekly chart looks this bad after the Merge, What will the coming three months look like?

Well hope fully BTC dump don’t break the current support its been holding at 17800 but There is most likely attack that support by market makers, Breaking or piercing it to around f 16800 to 16200 range and if this happens we could see a break of the current $880 support on ETH.

The Ethereum after merge effect could lead those If this happens how far down can we target?

We know that Until Ethereum undergoes another software upgrade, likely six months away at least, staked Ether can’t be withdrawn. The dump would kick early buyers out as these impatient buyers are going to get hunted by market makers who have been watching silently in the dark, waiting to take advantage of the less informed early buyers. How far down could get as far as $550 to $500 support range. The chart above is a weekly chart with a more detailed view. The weekly chart do say there is still hope for buyers to recover in 2022 but this could be around second week of November to January 2023.

Conclusions:

After looking at the broader view on Ethereum from the higher time-frame, my perspective on ETH remains that not all hope is lost until the $880 support is cleared but if the sellers fail to clear this support and the buyers succeed in keeping them above this support by forcing a sideways or trading range above the support then the chances of a pump grows that can break the weakly downtrend line in the last chart above. Ethereum is likely to experience more dump than Bitcoin if this support fails in Sept to Early October but most likely despite any of these scenario, We are still likely to get good 3 months pump recovering starting November 2022.