Ethereum falls below the $1,800 level despite easing Middle East tensions

Most cryptocurrencies declined during Thursday trading despite signs of easing tensions in the Middle East, with Ethereum extending its losses and falling below the key psychological level of $1,800.

As of 21:08 GMT, Ethereum was down 1.5% on CoinMarketCap, trading at $1,771.

Iran conflict remains a key focus

Israel and Lebanon announced late Wednesday that they had agreed to implement a ceasefire, raising hopes for a broader agreement between Washington and Tehran. Iran had previously linked any potential deal, at least in part, to an end to the fighting between Israel and the Iran-backed Hezbollah movement in Lebanon.

John Evans, analyst at PVM Oil Associates, said Iran continues to insist on ending what it describes as Israeli aggression against Hezbollah in Lebanon, adding that there are already signs of a potential breakthrough.

Lebanese President Joseph Aoun said on Thursday that the ceasefire would take effect within 24 hours once all parties involved approve it.

US President Donald Trump also suggested on Wednesday that progress in negotiations with Iran could be achieved as soon as this weekend.

Iranian Foreign Minister Abbas Araghchi stated on Wednesday that communication channels between Tehran and Washington remain open, although he acknowledged that no meaningful progress has yet been made, adding that both sides are still reviewing the exchanged draft proposals.

Meanwhile, the Republican-controlled US House of Representatives approved a resolution on Wednesday aimed at preventing Trump from continuing the war against Iran. For the measure to take effect, it must still pass the Senate and secure a two-thirds majority in both chambers to override an expected presidential veto.

Economic data

On the economic front, a survey released on Wednesday showed that the prices-paid component of the US services sector rose to its highest level in nearly four years last month, reinforcing expectations among economists that the Federal Reserve will keep interest rates unchanged through next year.