I have been screaming about Ethereum for ages to anyone crazy enough to listen. There are countless reason why I believed that it was bottoming over the past few weeks and months, due to sentiment, fundamentals and technicals. My favorite indicators were all aligned - people saying the asset was “dead” that it would not have another cycle, that there was no use, that it was too expensive and slow, that only Solana mattered etc. All of this while it was hitting oversold on the weekly and forming bullish divergence, signals with 100% hit rate on Ethereum.
Here we are. The second we saw the ETF approved, the money flowed from Bitcoin into ETH and the surrounding ecosystem. We currently have a massive bullish engulfing weekly candle (not closed yet) with a huge wick through the last key support, all with RSI coming out of oversold and bullish divergence. RSI itself is working on a breakout through resistance, which I discussed yesterday. That almost always leads price if the breakout is successful.
All of the signals were there if one was able to remove their emotions and the noise.
This could fail, I could be wrong. But for now things are looking very good.
Here we are. The second we saw the ETF approved, the money flowed from Bitcoin into ETH and the surrounding ecosystem. We currently have a massive bullish engulfing weekly candle (not closed yet) with a huge wick through the last key support, all with RSI coming out of oversold and bullish divergence. RSI itself is working on a breakout through resistance, which I discussed yesterday. That almost always leads price if the breakout is successful.
All of the signals were there if one was able to remove their emotions and the noise.
This could fail, I could be wrong. But for now things are looking very good.
scott.melker@texaswestcapital.com