(ETH) is yet to escape a formidable downtrend that has been dragging the cryptocurrency
from an ATH of $1,448 since the beginning of the year. However, the cryptocurrency seems to have found support at $423 and is currently trading at the bottom of the channel. The last few weeks have been tough for Ethereum (ETH) as it became the centre of bad news regarding ICOs, infighting and technical scalability issues. So, Ethereum (ETH) can be considered fortunate in this regard that at least the correction it went through was well deserved, unlike cryptocurrecncies like Ethereum Classic
(ETC) which were dragged down with Bitcoin (BTC) and the rest of the market for no good reason.
Ethereum (ETH) looks set to challenge its current downtrend in the days ahead. A breakout from current levels can see Ethereum (ETH) rising past its previous ATH of $1,448 by the end of December 2018. If all goes well for Ethereum (ETH) in the next few weeks, a new high of $3000+ can be expected for Ethereum (ETH) by the end of the year. If something like an Ethereum (ETF) is announced, then we can see Ethereum (ETH) prices enter the 5 figures territory with a year end price of $10,000+. This is not hard to believe considering more than 70% of the coins in the cryptocurrency market are dependent on Ethereum (ETH) one way or the other. Ethereum (ETH) also has the most ICOs conducted on its platform and will likely be the platform to have the highest number of Dapps built on it in the near future.
However, serious players in the smart contracts and Dapp development industry like Tron (TRX), Cardano (ADA), and Lisk (LSK) challenge the future dominance and monopoly of Ethereum (ETH). Up until now, Ethereum (ETH) has had no serious competition. Its twin brother, Ethereum Classic (ETC) was struggling just to survive. So, most ICOs were held on the Ethereum (ETH) platform. However, as rival platforms challenge Ethereum (ETH)’s future dominance, it is plausible to assume that Ethereum (ETH) will lose some of its market share to its notable rivals.
Ethereum (ETH) looks set for a reversal on the ETH/USD weekly chart but is not yet out of the woods against Bitcoin (BTC). ETH/BTC weekly chart shows Ethereum (ETH) trading in a triangle with the likelihood of a breakout in the next few months. It is not yet clear if Ethereum (ETH) will break out of the triangle, trading past the resistance line in the next few weeks or if it will go down to test the bottom of the triangle. Whatever the case, Ethereum (ETH) is expected to trade weakly against Bitcoin (BTC) at least for the next few weeks. Investors looking to profit off an altcoin run in the weeks ahead might be better advised to invest in other coins. However, long term Ethereum (ETH) still looks strong to reach a 5 figures target in the months ahead.