Ethereum (ETH)’s Final Showdown: Where To From Here?

Ethereum (ETH) is in a do or die situation. The above chart for ETH/USD shows that Ethereum (ETH) must break to the upside on the 4H timeframe for bullish momentum to hold. If the price breaks below the symmetrical triangle, there is a high probability that it will test the support again. If it tests the support again, it is very likely that it might break it. Ethereum (ETH) did give in to bearish pressure but since mid September, we have seen rising accumulation. The accumulation to distribution ratio for ETH/USD shows that the bulls started accumulating near the bottom. The trend continues and accumulation is likely to rise even more against distribution. The 10 EMA on the chart above still lies above the 21 EMA which is a bullish sign. However, it is still very close to the 21 EMA. If the 10 EMA breaks below the 21 EMA, the price will retrace sharply. This is why Ethereum (ETH)’s next move will be an aggressive one. It is still not clear which way the price will swing as it breaks out of the symmetrical triangle. The odds are in favor of the bulls as Ethereum (ETH) has already bottomed out. It would not make much sense for the price to test the support again, unless it is trying to extend the correction. General market conditions do not support another correction at this point. That being said, the whales could pull off a final trick to force some weak hands into selling their Ethereum (ETH) at such low prices. Chart for ETH/BTC (1W) Most investors in this space are first time investors. They do not have prior experience trading anything else. So, when they heard about Bitcoin (BTC) and started to follow its price, they started learning about trading. As a result, they ended up taking lessons from these so called ‘gurus’ on social media who themselves are first time investors. What are those lessons? General trading strategies, patterns and indicators. Of course it is fascinating for first time investors because they have not used them before. The most important ground reality that most of these ‘gurus’ ignore is the massive difference between the stock market and cryptocurrency market. They have fundamental differences, circumstantial differences and evolutionary differences. As a result, they both require different approaches. What works in the stock market does not necessarily work in the crypto market. The crypto market is still in its early stages. This is why it is important to have a strategy to buy or sell Ethereum (ETH) instead of day trading it like a stock. The rallies in this market occur in a matter of just a few weeks. Most of the time, it is very difficult to time these rallies. That is why the best practice is having an investment strategy. For those that are bullish on Ethereum (ETH) in the long run, the strategy is smart accumulation. If you try to wait for the perfect bottom before buying, there is a high chance that you are going to miss the rally. googletag.cmd.push(function() { googletag.display('div-gpt-ad-1538128067916-0'); });