ETH Distribution Nears An End - $300-800 Levels Possible
Just a quick update to my ETH chart. Although ETH was able to break the local downtrend and retest the important $3500 level, it has since rolled over and broken below the ascending support. Unless ETH can recover back above $2900ish in the short-term, I think the selling will escalate.
Here's another warning sign. ChainLink, which everyone seems to believe is invincible and SURE to survive any upcoming bear market, is now on the verge of breaking below crucial $11 support. Not only that, but it's FINALLY breaking down from the long term uptrend held since 2018.
This proves that no single cryptocurrency is immune. I remember when LINK was "that coin." Now, you could probably ascribe that status to any number of shiny "new" projects (SOL, LUNA, etc.). If the ETH 2.0 merge is so bullish, why are layer-2 solutions all collapsing? I think the speculative NFT boom is also likely to add fuel to the collapse for Ethereum. The ETH/BTC weekly chart shows that it has some room to drop towards the long term uptrend. This can occur regardless of what Bitcoin does in the near-term. New ATH's for ETH seem incredibly unlikely unless it can break above the top of this channel again. A break BELOW that channel would probably mean the end for Ethereum, at least for quite a while.
Zoomed out:
Let's see if buyers can step in here and save ETH:
This is just another one in my series of bearish crypto posts with some targets. I do not plan to repurchase any crypto for a while (if ever), but regardless of my opinion I will not begin to speculate about new highs until I see some signs of strength from the market. Since everyone is talking about a collapse, perhaps it means it simply won't happen.
Since this represents only my opinion, this is not meant as financial advice.
-Victor Cobra
Here's another warning sign. ChainLink, which everyone seems to believe is invincible and SURE to survive any upcoming bear market, is now on the verge of breaking below crucial $11 support. Not only that, but it's FINALLY breaking down from the long term uptrend held since 2018.
This proves that no single cryptocurrency is immune. I remember when LINK was "that coin." Now, you could probably ascribe that status to any number of shiny "new" projects (SOL, LUNA, etc.). If the ETH 2.0 merge is so bullish, why are layer-2 solutions all collapsing? I think the speculative NFT boom is also likely to add fuel to the collapse for Ethereum. The ETH/BTC weekly chart shows that it has some room to drop towards the long term uptrend. This can occur regardless of what Bitcoin does in the near-term. New ATH's for ETH seem incredibly unlikely unless it can break above the top of this channel again. A break BELOW that channel would probably mean the end for Ethereum, at least for quite a while.
Let's see if buyers can step in here and save ETH:
This is just another one in my series of bearish crypto posts with some targets. I do not plan to repurchase any crypto for a while (if ever), but regardless of my opinion I will not begin to speculate about new highs until I see some signs of strength from the market. Since everyone is talking about a collapse, perhaps it means it simply won't happen.
Since this represents only my opinion, this is not meant as financial advice.
-Victor Cobra
Comment:
I'll add, look at the disastrous gas fees! What a nightmare. Once ETH deflates, demand for the network should wane and become affordable again. Sometimes I feel like crypto adoption would make more sense with lower prices across the board, despite investors hoping otherwise.
