First, why the run down? Is the answer just "because crypto? Maybe, the consensus seems to be at this point is that Eth can't scale, eth was only good for ICO's, etc.. If anyone has any other reasons, do share. It's my feeling that i would rather be invested in Ethereum , a crypto that has purpose. While Bitcoin is cool, Ethereum can do all the things BTC can, and be more. BTC has just been around longer so people have confidence in it. Think of it this way, what is backing the dollar? (Yes, libertarians I know the answer can be argued that it's nothing) The dollar has value because a country is backing it, business's use it, etc... it's not just a medium of exchange. I believe this is a huge difference from BTC and Ethereum , ETH can run ICO's, apps, etc.. What does BTC do? Just act as an exchange? There are plenty of long technical papers on the issue and differences between the 2, but in short that's my 2 cents.
Fundamentally it makes little sense for ETH to be going down based on the ETH scalability issue, or ICO issue.
1. Ethereum 2.0 is going to fix that and make ETH WAY better. Crypto, stocks, etc.. are all based on what the future holds and apparently crypto's just aren't acting that way about ETH. The only reason I can think of is "because crypto"
2. Ethereum . Ok, this is why I think it's stupid that so many people are short ETH right now. (see below ridiculous chart) Last year BTC went from 4.8k to 3k, and were announced around the same time. the CBOE is waiting on approval from the CFTC to launch ETH . What if ETH does the same move BTC did? That would put us around the ATH's for ETH, around $1,400. My $300 ETH position is going to seem awfully cheap if that happens.
You can see we are hitting mid 2017 levels before we had the massive bull run. I was surprised it went down this far with no rebound. While I don't think it will go past $150, this is crypto.
For a large run up, we HAVE to break this trendline.
Weekly Chart: We are hitting Oversold territory on RSI.
DAily. MACD did cross, but other we haven't been doing much
RSI. Check out that MASSIVE divergence and oversold state. Ridiculous.
Check out this ETH/BTC chart. Super oversold and we are almost at not just 2017 levels but 2016 levels. That should tell it's time for a rebound. Yeah, i have been saying it's due to come back. I have been early on my calls, but I laddered in my positions in preparation.
I am hodling, these are my reasons why. I do not believe Ethereum is dead. It's the 2nd largest and 2nd most used crypto out there.