Price action across the cryptocurrency market was largely subdued on July 21, as traders took a day to digest gains over the past week and book profits following the biggest relief rally since early June.

Amid speculation about what drove the recent rally, the Ethereum Merge has consistently ranked at the top of the list. The market rally shifted into high gear after a tentative date of Sept. 19 was set for the mainnet Merge.

Data from Cointelegraph Markets Pro and TradingView shows that after hitting a high of $1,620 on July 20, Ether’s (ETH) price retraced to a low of $1,463 in the early trading hours on July 21 and has since climbed back above support at $1,500.

Now that the initial price surge brought on by the Merge announcement has subsided, here’s what several analysts are expecting to unfold as Ether’s mainnet transition to proof-of-stake approaches. 

A healthy pullback

Ether’s pullback on July 21 is a positive development according to market analyst Rekt Capital, who posted the following chart highlighting the importance of its weekly close above $1,300 and subsequent move higher.

Rekt Captial said:

“Though #ETH could just continue higher to reach the upper orange region, it would be healthier for ETH to dip. Such a retest of the lower orange area would only increase probability of continuation.”

July 21’s pullback aligns with this outlook and suggests the possibility of a move up to $1,700 in the near future.

Watch out for a sharp drop to $1,200

Ether’s modest retrace was also an…