Posted on

Ethereum Price Analysis: ETH/USD Bullish Above $100, Test of Resolve

Latest Ethereum Price

At spot prices, bears are not only stress testing the dApp ecosystem but putting to test the resolve of investors and all market stake holders. Of course, its a fall from grace to grass, that dip from $1,400 to less than $100 has been damaging for investors, developers and businesses. ConsenSys—with more than 1,000 employees and in present in 30 countries is believed to be burning $100 million supporting staff and projects mostly from Joseph Lubin stash—is feeling the sting.  Days after calling for resilience, the company announced that they will be laying off 13 percent of its staff.

Read: Crypto Startups Going Bankrupt Amidst Market Crash

Aside from that, news has it that even with these low prices, hackers are now targeting unsecured Ethereum wallets and mining rigs. As reported by our team, hackers have been scanning the network for a week now and their main objective is to pick out port 8545—a JSON-RPC interface used by wallets and mining hardware. The interface depends on the user to set up passwords and if left open, then hackers can exploit that opening and siphon funds.

Also Read: Changpeng Zhao Likens Binance Chain To Ethereum, BNB To ETH

On the development front, the decision by developers to agree and fix a date for Constantinople is something very positive and would go a long way in instilling confidence in the ecosystem preventing project migration to rival networks.

ETH/USD Price Analysis

ETH/USD Price Analysis

On a weekly basis, ETH/USD is down 17 percent in the last week and quite stable in the last day and hour. And even as bears dig in, ETH is down in the excess of 85 percent from 2018 peaks and as Fibonacci retracement rules demand, a natural correction is imminent. This is why traders and investors across the board expect prices to bounce back and close above $100 by the end of the week. Once it does, then it is likely that ETH/USD would expand to $130 or higher. If not, falls to $50 or less will be inevitable.

Trend: Bearish, Minor Accumulation

From left to right, the trend is clear. ETH/USD is bearish and oscillating within a tight $17 range with limits at $100 and $83. Unless otherwise there are gains above $100, bears are in control and considering the rate of recent price erosion, we cannot discount the possibility of prices breaking below $83.

Volumes: Increasing, Bullish

As prices range, three bars are a standout: Dec 7, 1900HRs bull bar—321k versus 179k average, Dec 8—2300HRs bull bar—163k versus 134k average and Dec 9—1500HRs bull bar—130k versus 85k average. All these bars confine price action. In real sense, ETH/USD price action is still oscillating within Dec 7 high-low. Therefore, for buyers to be in charge then we must see strong gains above Dec 7 highs at $100 while falls below its lows would trigger a sell off towards $50.

Candlestick Formation: Bear Breakout

Clearly, bears are in charge but at spot prices, prices are in range mode and accumulating. As aforementioned, bears are in control but if bulls gain momentum and thrust prices above $100 then ETH buyers have a chance.

Conclusion

From the above, this is our ETH/USD trade plan:

Buy: $100—Dec 9 Highs

Stops: $85—Dec 8 Lows

Targets: $130, $160

Breaks below $83 invalidates this trade plan.

All charts courtesy of Trading View.

This is not investment Advice. Do your Own Research.

The post Ethereum Price Analysis: ETH/USD Bullish Above $100, Test of Resolve appeared first on Ethereum World News.

Posted on

Ethereum Price Analysis: ETH/USD Delicate at $100, Price may Drop to $1 or Snap Back to $250

Latest Ethereum News

There are three main pieces of infrastructure that supports the Ethereum Ecosystem: Truffle, Infura and MetaMask. Truffle is a “A world class development environment, testing framework and asset pipeline for blockchains using the Ethereum Virtual Machine (EVM), aiming to make life as a developer easier” while Infura is an “API and developer tools providing the necessary infrastructure and scaling capabilities for dApps”.

On the other hand, MetaMask is an Ether and ERC-20 wallet that runs on Infura. Aside from securing your coins private keys, it also acts a bridge for dApp exploration right off your browser. It also allows users to run dApps without the need of downloading the whole Ethereum full node.

Now, the exponential growth—and underlying demand is the main reason why Joseph Lubin is convinced that Blockchain is more than a market but a movement. Infura alone has had more than 10 billion API request. MetaMask has more than 10 million downloads and Truffle–which is used by ShapeShift, Aragon and others—and MetaMask has one million downloads.

That’s not all, other metrics that show increasing base activity despite free falling ETH prices includes the number of active ETH addresses—exceeding 48 million. At the same time governments are positive on the chain with Austria via Oesterreichische Kontrollbank (OeKB) issuing $1.35 billion worth of federal bonds back in September.

ETH/USD Price Analysis

ETH/USD Price Analysis

There are hints of support but at $12 away from $100, we are far from convinced that there is a shift of momentum and bulls are back in contention. At spot prices, ETH/USD is up 2.4 percent in the last week and down two percent from yesterday’s close.

Still, ETH/USD is trending in shaky grounds and how prices react at $100 could be shaping for ETH in the short to medium term. Ideally, we would like to see rallies above $130 after a 92 percent drop from 2018 peaks.

Trend: Bearish

Of course, after 11 months of steady declines that have seen ETH prices drop more than 90 percent from Jan peaks, the path of least resistance is southwards. This means ETH/USD is bearish and from the chart volatility is low but nonetheless, prices are trending within a bear breakout pattern following steep declines of Nov 19.

Volumes: Stable but Bearish

Notably, in our daily chart is Nov 25 bull pin bar. While it did print as a bull in an otherwise steep decline shoring prices and preventing a devastating crash below $100, the bar was backed by above average volumes—1.179 million versus 620k. And even after that ETH/USD prices are still oscillating within Nov 25 high low.

Candlestick Formation: Accumulation/Distribution, Bear Breakout Pattern

Because of Nov 19 high-volume, bear bar breaking below $160—the lower limit of support line, ETH/USD is trading within a bear breakout pattern. Now, because of the past seven days stability, ETH could either be in a distribution or accumulation phase depending on breakout direction. Rallies above $130 could be the latter while discouraging drops below $100 shall be a distribution and bear trend continuation.

Conclusion

Trading ETH/USD is simple. Bears are in charge. But, convincing breaks above $130 at the back of strong volumes shall usher in the next wave of bull pressure aiming at $160, $250 and even $400. If not and there is distribution further exerting pressure on ETH leading to price collapse below $100, then we could see drops re-testing $40 by end year.

All Charts courtesy of Trading View.

This is not Investment Advice. Do your Own Research.

The post Ethereum Price Analysis: ETH/USD Delicate at $100, Price may Drop to $1 or Snap Back to $250 appeared first on Ethereum World News.