Since the target of the “Ethereum to 2k” idea was achieved there’s been a lot of messages asking, what’s happening? As price action collapses the tensions rise. Two things occurred:
1) The majority asking the question do not have a strategy. You will always lose money without one.
2) The majority asking this question do NOT have a strategy. Now I realised I’ve repeated myself but it is such a huge fundamental point I thought it was worth mentioning twice.
On current price action…
For the bulls. You do not want to see a weekly close below $1420. IF that happens, if a candle body closes at this level, it is months and months of downtrend towards $600
For the bears. You do not want to see a weekly close above $2000. IF that happens, price action is off to 6k.
So which is it? I don’t know. No one does and there’s absolutely no possible forecast to be made until the above weekly chart resolves by early November. Price action under $1420 increases the probability of the log growth curve lower channel being tested.
Any hints which way price action might go?
First question, what is the trend? It is very clear, lower highs lower lows. Price action has been in a downtrend ever since the 2-day death cross in April.
2-day chart
As a general rule.. we do not invest in assets with broken market structure. Trading is fine in bear market but you've got to know the exits. 100% gain in a bear market is amazing, like on the 2k idea and yet has left many people frustrated.
Second question - Look left - where is the support and resistance?
There are two signifiant levels $1100 (which saw a recent bounce) and $660. IF $1420 fails, expect a retest of $1100. If $1100 fails then price action WILL test $660.
It is worth noting that the golden pocket 618 Fibonacci level is at the second support level. Previous bear markets for Ethereum tested the golden pocket.
That's all!
Ww
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There goes a weekly close of $1420. Another weekly candle body closing under this level would seal the deal for <1K price action.
The 5-day BTC pair confirms a bearish divergence.
There are some alt-tokens printing the exact opposite. Can you find them???
I love all the ta and fundamental analysis but in the end all this shit is following the spx. unfortunately. I don't know it's all moving in the same direction but it is
without_worries
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@olowshinenine, The S£E you refer is 'risk assets'. When market participants are fearful they'll make emotional choices. Sentiment is very bearish throughout the world. That is a contrarian signal.
louistran_016
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@without_worries, great analysis, i just fail to see how ETH crashes to $600 and BTC blows up to $30,000 at the same time, given the correlation we've had since the beginning of the year. If it doesn't crash, this is a monthly consolidation with huge range of 950 - 2400 and can go on for a year with no bullish / bearish direction
without_worries
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@louistran_016, That's where studying the ETH/BTC pair coms into play. On the 5-day chart below ETH/BTC is printing a strong bearish divergence. If the divergence confirms then support is -70% below. They would easily take Ethereum to <1K in the event Bitcoin moves to 31K area.
hichkich
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sit tell me where de hell eth going before achieving 2k
dorianwanders
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6k what a joke
rbmcrand133456789
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@dorianwanders in my opinion definitely get there by end of next year poss next summer....let's wait and see.