Ethereum has taken a hit in the last 24 hours on worries about retail interest in cryptos. It may be creating an opportunity as the Altair upgrade takes effect.
The main item on today’s chart is the support line around $4,000. This is not only a “nice round number.” It’s also near the early-September peak before cryptos retraced some of their August rally.
The other interesting pattern is the stochastic reading on the four-hour chart. It shows ETHUSD at the most oversold condition since it last started rallying in late September:
Nevertheless, there are other potentially negative signals – especially the recent failed breakout near the old high. Today is also forming a potentially bearish outside day.
Overall, there are reasons to think Ethereum could go either way. However some investors may focus on the longer-term fundamental story as the No. 2 crypto moves toward its long-awaited upgrade. That could be especially true if the $4,000 level holds.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
The main item on today’s chart is the support line around $4,000. This is not only a “nice round number.” It’s also near the early-September peak before cryptos retraced some of their August rally.
The other interesting pattern is the stochastic reading on the four-hour chart. It shows ETHUSD at the most oversold condition since it last started rallying in late September:
Nevertheless, there are other potentially negative signals – especially the recent failed breakout near the old high. Today is also forming a potentially bearish outside day.
Overall, there are reasons to think Ethereum could go either way. However some investors may focus on the longer-term fundamental story as the No. 2 crypto moves toward its long-awaited upgrade. That could be especially true if the $4,000 level holds.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
