Ethereum: USD/ETH (ETH=) Latest Losses Crush Year-to-Date Progress
It could be said that Ethereum and its ETH token had been having somewhat stellar year. After starting the year at a lowly $130, Ether more than doubled in value to reach over $280 by mid-February. In the process, it outperformed bitcoin, which was itself enjoying notable gains in early-2020.
ETH hasn’t been immune to market-wide crashes, however. It couldn’t escape the bearish sentiment as BTC fell back below $9k during the last week of February, shedding $50 as it dropped to $220. And despite coming into the weekend outperforming the market, it was dragged down along with the majority of the crypto-space as markets crashed on Sunday.
The biggest question now is whether the bulls have regained control of the market, or whether the shockwaves from the oil price crash and subsequent stock market losses will continue to impact cryptocurrency.
Ethereum Still Waiting For ETH2.0
Ethereum has gained its fair share of headlines this year, as a maintained rollout of technical and other improvements has given renewed optimism for the launch of ETH2.0. ETH2.0 will be a major upgrade to the network, adding several new features and transitioning to a Proof of Stake (PoS) consensus.
The Ethereum network is also receiving a lot of attention due to its importance for the burgeoning Decentralized Finance (DeFi) industry. Despite some publicised hiccups, such as when somebody exploited a flaw in a flash loans protocol, many believe that DeFi is the killer application that Ethereum has been crying out for.
The community was also divided over the recent approval of a mining algorithm change to programmatic Proof of Work (ProgPoW). The change was intended to reduce the advantage of ASIC mining rigs, favouring those using GPUs and leading to further decentralization.
However, it’s rapid approval by core developers ironically led to calls of centralised control from some sections of the community.
Overall, the bias in prices is: Downwards.
Note: this chart shows extraordinary price action to the downside.
The projected upper bound is: 237.17.
The projected lower bound is: 168.14.
The projected closing price is: 202.66.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 25 white candles and 25 black candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 15.6708. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a buy 11 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 40.02. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 20 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -191.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 8 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 19 period(s) ago.
Rex Takasugi – TD Profile
FOREX ETH= closed up 3.830 at 201.960. Volume was 11% below average (neutral) and Bollinger Bands were 44% wider than normal.
Open High Low Close Volume___
198.250 205.460 195.000 201.960 158,797
Short Term: Oversold
Intermediate Term: Bearish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 221.64 219.87 179.60
Volatility: 108 93 78
Volume: 305,906 259,581 115,520
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FOREX ETH= is currently 12.4% above its 200-period moving average and is in an downward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of ETH= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on ETH= and have had this outlook for the last 10 periods.