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Ethereum (ETH) has been trapped beneath its near-term resistance level at $190 for over a month and has shown few clear signs of gaining any notable momentum that will allow it to decisively propel past this level.

Analysts are now noting, however, that Ethereum may be nearing the apex of a bullish flag formation that could send its pricing surging higher in the near-term, meaning that it may soon decisively break above its long-held resistance level at $190 and target a movement up towards $200.

Ethereum Continues Consolidating Below $190 

At the time of writing, Ethereum is trading up just over 1% at its current price of $188.30, and it has been inching higher over the past couple of days as it slowly approaches its key near-term resistance level at $190.

Over the past month, ETH has been ranging between lows of $160 and highs of $190, with each visit to the lower range boundary being met with strong buying pressure and each visit to $190 being met with significant selling pressure that tends to push its price down towards $180.

The formation of this relatively wide trading range has come about concurrently with a period of sideways trading for Bitcoin, which was previously caught within a tight trading range between $9,000 and $9,500 before it broke below this range and found strong support at $8,700.

ETH May Soon Incur Bullish Momentum

In the near-term, it appears that Ethereum’s price action is only loosely correlated with that of Bitcoin, as analysts are noting that ETH may soon break above its near-term resistance level and surge towards $200.

CryptoGainz, a popular cryptocurrency analyst on Twitter, spoke about this in a recent tweet, referencing ETH’s recent break above the upper boundary of its previously established descending triangle, while also referencing the fact that it is currently trading within a bullish pennant.

“$ETH wants to break out,” he concisely noted.

Jonny Moe, another popular crypto analyst, shared a similar observation in a recent tweet, explaining that he believes Ethereum is nearing the end of its consolidation phase.

“Watching $ETH for possible end of consolidation soon,” he said while pointing to the chart seen below.

The coming day may elucidate the long-term significance of the bullish chart patterns currently expressed by Ethereum, as any bullish momentum may send the crypto flying towards the $200 region.

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Cole Petersen , 2019-11-13 23:00:25

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NewsBlock © 2019 - 2020 All rights reserved.

NewsBlock © 2019 - 2020. All rights reserved.

While Bitcoin’s price seemingly moves without rhyme or reason — collapsing by dozens of percent and embarking on face-melting rallies on a whim — the cryptocurrency market is filled to the brim with fractals.

Related Reading: Analyst: Bitcoin Price Likely to Fall to Low-$8,000s as Chart Remains Weak

A brief aside: A fractal, in the context of technical analysis and financial markets anyway, is when an asset’s price action is seen during a different time. This form of analysis isn’t that popular, but it has proven to be somewhat valuable in analyzing Bitcoin.

One recent fractal popularized by a well-known cryptocurrency trader is implying that BTC is going to return to the low-$7,000s in the coming days.

Bitcoin Fractal Implies Retracement to Low-$7,000s

A well-known crypto trader going by “Tyler Durden” on Twitter recently posted the chart below, which shows that a Bitcoin price fractal may be playing out. The fractal has four phases: horizontal consolidation marked by one fakeout, a surge above the consolidation phase, a distribution, then a strong drop to fresh lows.

If the fractal plays out in full, BTC could reach the low-$7,000s again, potentially as low as $7,100. This would represent a 20-odd percent collapse from the current price point of $8,800.

It isn’t only a fractal that is hinting Bitcoin has the potential to visit its lows. As we reported on Saturday, Bloomberg believes that if the GTI Vera Convergence Divergence Indicator flips red, a downtrend could push the cryptocurrency back to $7,300.

Related Reading: Stephen Colbert Pokes Fun at Bitcoin in Monologue: Mainstream Gone Wrong?

Can Bulls Step In?

But again, many believe it is irrational to have such bearish interpretations of the cryptocurrency’s chart at the moment. As reported by NewsBTC earlier, Popular crypto trader Mayne recently noted that the “people waiting for $6,000” are irrational. He quipped that Bitcoin retracing and consolidating after its fourth-biggest bull move in history ($7,300 to $10,500, a 42% gain) is perfectly par for the course, but noted that it’s totally possible we can go lower from $8,800.

The medium-term technicals support this.

Trader and CoinTelegraph contributor FilbFilb found that by the end of November or start of December, the 50-week and 100-week moving averages will see a “golden cross,” which he claims is far more significant” for the Bitcoin market that other technical crosses.

Also, a Bitcoin price model created using Facebook Prophet machine learning found that the leading cryptocurrency is likely to end the year at just over $12,000. What’s notable about this model is that it called the price drop to $8,000 months in advance, and forecasted a ~$7,500 price bottom for BTC.

To put a cherry on the cryptocurrency cake, Crypto Thies observed that when Bitcoin bottomed at $7,300, it bounced decisively off the 0.618 Fibonacci Retracement of the move from $3,000 to $14,000, which correlates with the two-week volume-weighted moving average. He added that summer 2019’s consolidation was marked by Bitcoin flipping major resistances into support levels, implying that a bullish reversal and subsequent continuation is likely possible in the coming weeks.

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Nick Chong , 2019-11-10 12:00:38

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