According to Odaily, Qiao Wang, the founder and core member of Alliance DAO, recently shared on the X platform that Ethereum (ETH) is falling into a state of severe overselling. He compared the current decline of ETH with past market downturns, including:
- After the collapse of Terra in 2021, when the entire Terra-LUNA ecosystem collapsed, causing a ripple effect that led to a sharp decline in the cryptocurrency market.
- The market downturn in 2018, when ETH plummeted from its peak of over $1,400 to only double digits, marking one of the deepest recessions for Ethereum.
- The DAO hack in 2016, a shocking event that forced Ethereum to undergo a hard Fork, leading to the separation of Ethereum (ETH) and Ethereum Classic (ETC), causing significant volatility in the market.
Based on these historical events, Qiao Wang believes that the current decline of ETH is reflecting an extreme overselling state, similar to the previous times when prices hit the Dip. He emphasized that with such a sell-off, it is difficult not to consider buying ETH, implying that this could be a potential opportunity for long-term investors.
