ETHUSD (Ethereum) – Week 38 – Total upside?
Nearly six weeks after the implementation of the highly hyped Ethereum London upgrade, a colossal amount of ETH has been burned on the network. Data from Watchtheburn confirmed this with figures, as it indicated that since the activation of London Hard Fork on August 5, over 297,000 ETH, worth more than $1 billion, had been burned on the network. The London Hard Fork improved the transaction fee of the second largest crypto asset by market cap as it introduced a new burning mechanism to simplify the process. This new burning mechanism requires users to pay a base fee to initiate a transaction.
Democratic Senator Elizabeth Warren, known by many as an outspoken cryptocurrency skeptic in the United States government, criticized outages at exchanges and high transaction fees during periods of price volatility. “The fee to swap between two crypto tokens on the Ethereum network was more than $500,” said Warren, referring to trading a hypothetical token worth $100. “In the face of these high, unpredictable fees, small investors could easily get jammed and wiped out entirely.”
From a technical perspective, Ethereum behaved as we predicted in our last technical report, it reached the resistance area marked on the chart and then it made a consolidation that is now breaking to the upside. For this pair we give a high probability of going higher if the orange trendline (and resistance area) is broken convincingly. A deeper correction is possible right now, but we area not expecting a retest of the support area.
Trade with care.
Best regards,
Financial Flagship
Disclaimer: The analysis provided is purely informative and it should not be used as financial advice. Remember that you need a plan before you start trading; so, take this knowledge and use it as a guidebook that will ultimately help you understand the market and easily predict your next move.
Democratic Senator Elizabeth Warren, known by many as an outspoken cryptocurrency skeptic in the United States government, criticized outages at exchanges and high transaction fees during periods of price volatility. “The fee to swap between two crypto tokens on the Ethereum network was more than $500,” said Warren, referring to trading a hypothetical token worth $100. “In the face of these high, unpredictable fees, small investors could easily get jammed and wiped out entirely.”
From a technical perspective, Ethereum behaved as we predicted in our last technical report, it reached the resistance area marked on the chart and then it made a consolidation that is now breaking to the upside. For this pair we give a high probability of going higher if the orange trendline (and resistance area) is broken convincingly. A deeper correction is possible right now, but we area not expecting a retest of the support area.
Trade with care.
Best regards,
Financial Flagship
Disclaimer: The analysis provided is purely informative and it should not be used as financial advice. Remember that you need a plan before you start trading; so, take this knowledge and use it as a guidebook that will ultimately help you understand the market and easily predict your next move.
Comment:
Price reversed at the resistance level and now the higher probability move is a consolidation and a continuation to the downside until it reaches the support area marked on the chart.
