Ever since Ethereum has crossed the neckline of the major inverted head and shoulder, the buy volume has been lacking, including on the break out, barely pushing through the neckline at first as opposed to other cryptocurrencies. I can identify a couple things that are more probably to happen to Ethereum.
But before I do that, I would like to say that I am extremely long term bullish on Ethereum, I believe it is a very noble project with the potential to have a lot of influence in the overall economy, I am very sad to see it in this state, but just because I believe something and feel strongly about it does mean that it is true or feasible or it may not even provide its current full potential, whatever the case may be, it is always important to leave the biases out of the door when analyzing.
First, I will say that most eyes are on bitcoin and Bitcoin Dominance is shooting up about a percent or more on a weekly basis which is a lot. The total market cap remains mostly unchanged with some new money coming in, however, it appears most of it is going elsewhere.
Second, after the failed inverse head and shoulders, it appears that it has made a bear flag, which you can note, I did look at the volume but I did not mark it and it does increase during the dump and everything after that the volume has been mediocre ( I did mark this though because it was important to note that overall volume for Ethereum has been dropping, and to maintain a price point there needs to be some sort of buy power, and there is but most of the total volume is diminishing which leaves it vulnerable to collapse under its own weight, because for price to increase you need buy pressure, for price to fall, you need sell pressure or the absence of buying.
Third, there is currently a trendline on the daily RSI (Marked in light blue), but if it breaks I suspect a further move to the downside.
Fourth, the bear flag has appeared after the failure to uphold the neckline, its a small one however with a price objective to roughly 380.
Key Points:
1.) Ethereum is lacking buying power and volume, which leaves it susceptible to further movements to the downside. But as bitcoin moves there are still small pumps in Ethereum, these small pumps maybe enough for it to maintain its price point and continue sideways movements. (It still broke the trendline for its downtrend) The sideways movement is noted in orange. The red bar on top of it is the resistance that occurred from the breakout of the inverted head and shoulder pattern.
2.) If Ethereum does not maintain its price point, with more buying power, I suspect that the bear flag will become the most likely scenario to take place and a sharper movement down to 380 will occur.
3.) A slow descent could also occur due to lack of buying occurring which I have noted in yellow.
Previous Idea:
But before I do that, I would like to say that I am extremely long term bullish on Ethereum, I believe it is a very noble project with the potential to have a lot of influence in the overall economy, I am very sad to see it in this state, but just because I believe something and feel strongly about it does mean that it is true or feasible or it may not even provide its current full potential, whatever the case may be, it is always important to leave the biases out of the door when analyzing.
First, I will say that most eyes are on bitcoin and Bitcoin Dominance is shooting up about a percent or more on a weekly basis which is a lot. The total market cap remains mostly unchanged with some new money coming in, however, it appears most of it is going elsewhere.
Second, after the failed inverse head and shoulders, it appears that it has made a bear flag, which you can note, I did look at the volume but I did not mark it and it does increase during the dump and everything after that the volume has been mediocre ( I did mark this though because it was important to note that overall volume for Ethereum has been dropping, and to maintain a price point there needs to be some sort of buy power, and there is but most of the total volume is diminishing which leaves it vulnerable to collapse under its own weight, because for price to increase you need buy pressure, for price to fall, you need sell pressure or the absence of buying.
Third, there is currently a trendline on the daily RSI (Marked in light blue), but if it breaks I suspect a further move to the downside.
Fourth, the bear flag has appeared after the failure to uphold the neckline, its a small one however with a price objective to roughly 380.
Key Points:
1.) Ethereum is lacking buying power and volume, which leaves it susceptible to further movements to the downside. But as bitcoin moves there are still small pumps in Ethereum, these small pumps maybe enough for it to maintain its price point and continue sideways movements. (It still broke the trendline for its downtrend) The sideways movement is noted in orange. The red bar on top of it is the resistance that occurred from the breakout of the inverted head and shoulder pattern.
2.) If Ethereum does not maintain its price point, with more buying power, I suspect that the bear flag will become the most likely scenario to take place and a sharper movement down to 380 will occur.
3.) A slow descent could also occur due to lack of buying occurring which I have noted in yellow.
Previous Idea:
Comment:
Unfortunately, this idea has been confirmed compared to bullish idea that the price will go up. This happened because the bullish sentiment had left entirely with the idea that an ETF not going to be accepted and that another ETF was going to be postponed.
Also Given that Litecoin had made a picture perfect fan reversal, I decided to examine if this had one, however, there were only two resistance lines in accordance and it only recently broke the new resistance line with this reversal symmetrical triangle 9if that is the case). Right now, crypto is in a weird place, and I believe that we might be seeing a lot of sideways movements, but I am hoping that bitcoin can resume its uptrend.