Ethereum Price Analysis: ETH Could Extend Losses Below $80

Key Highlights

  • ETH price failed to recover above the $90 resistance and declined recently against the US Dollar.
  • There is a new connecting bearish trend line formed with resistance at $89 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is likely to decline further below the $83 and $80 support levels in the near term.

Ethereum price declined further below key supports against the US Dollar and bitcoin. ETH/USD could accelerate losses if there is a break below $80.

Ethereum Price Analysis

Recently, there was a minor upside move above $88 and $90 in ETH price against the US Dollar. The ETH/USD pair tested the $90 resistance area and faced a solid selling interest. As a result, there was a bearish reaction and the price declined below the $87 and $85 support levels. There was also a close below the $87 level and the 100 hourly simple moving average.

A new intraday low was formed at $82.99 and it seems like the price may decline further. It is currently correcting higher above $85. An initial resistance is the 50% Fib retracement level of the recent decline from the $90 high to $83 low. Moreover, there is a new connecting bearish trend line formed with resistance at $89 on the hourly chart of ETH/USD. An intermediate resistance is the 61.8% Fib retracement level of the recent decline from the $90 high to $83 low. It seems like there is a cluster of resistances formed between $88 and $90. Therefore, as long as the price is below $90, it may continue to decline.

Ethereum Price Analysis ETH Chart

Looking at the chart, ETH price could even break the $83 support level. The next key support is at $80, below which the price will most likely accelerate towards the $75 level.

Hourly MACDThe MACD is now back in the bearish zone.

Hourly RSIThe RSI is currently well below the 50 level and heading towards 30.

Major Support Level – $80

Major Resistance Level – $90

The post Ethereum Price Analysis: ETH Could Extend Losses Below $80 appeared first on BitcoinLinux.

Ethereum Price Analysis: ETH at Potentially Significant Turning Point

Key Highlights

  • ETH price remained in a bearish zone and it is currently trading below $90 against the US Dollar.
  • This week’s followed important bearish trend line is active with resistance at $90 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair may decline in the short term towards the $85 level or the $82 support zone.

Ethereum price failed to extend gains and declined against the US Dollar and bitcoin. ETH/USD might continue to face sellers near the $90 and $92 resistances.

Ethereum Price Analysis

There was a decent support formed near $95 in ETH price against the US Dollar. The ETH/USD pair started a short term upside correction and traded above $88 and $90. There was a break above the 23.6% Fib retracement level of the last slide from the $98 high to $85 low. However, the failed to gain pace above the $90 level and the 100 hourly simple moving average.

The price was rejected near the 50% Fib retracement level of the last slide from the $98 high to $85 low. Moreover, this week’s followed important bearish trend line is active with resistance at $90 on the hourly chart of ETH/USD. The pair retreated from the $91-92 zone and declined below the $90 level. At the moment, it seems like the price may continue to decline towards the $85 support level. If there is a downside extension, the price could revisit the $82 support zone. On the upside, a close above the $92 level and the 100 hourly SMA is needed for a bullish break.

Ethereum Price Analysis ETH Chart

Looking at the chart, ETH price is clearly trading near a major turning point above $82 and $85. If it fails to climb higher, it could even break $82 and drop towards the $75 support level.

Hourly MACDThe MACD has moved back in the bearish zone.

Hourly RSIThe RSI dropped below the 50 level, with a bearish angle.

Major Support Level – $85

Major Resistance Level – $92

The post Ethereum Price Analysis: ETH at Potentially Significant Turning Point appeared first on BitcoinLinux.

Bullish on Ethereum But $20,000 a Conservative Bitcoin Price Prediction for 2019, Andy Cheung of OKEx

While Bitcoin is crashing, Andy Cheung, head of operations at OKEx exchange predicts Bitcoin to hit higher than $20,000 next year. However, he is more bullish on Ethereum development which has its hard fork coming in January.

Predicting a Big Year Ahead for Bitcoin & Ethereum

Bitcoin is currently trading at about $3,400, down more than 82 percent from its all-time high (ATH) in December last year. However, Bitcoin bull, Andy Cheung, the head of operations at the second largest crypto exchange, OKEx is still extremely bullish on the leading cryptocurrency.

Andy Cheung took to Twitter to share that the ongoing Bitcoin price crash is no big deal as Bitcoin has gone through even worse. According to his shared data shown below Bitcoin lost about 95 percent of its value in 2011 and 85 percent between the 2013-2015 time period.

And this is making Cheung bullish on Bitcoin price as he writes,

“Look at the percentage increase over the years. Above $20,000 seems already a conservative guess for 2019.”

Just recently, Bloomberg reported that its Galaxy Crypto Index is in oversold territory based on GTI Global Strength Indicator. This indicator “measures the strength of the price by comparing individual upward or downward movements of successive closing values.” Last time, this indicator was oversold has been in late November when “it rallied about 20 percent.” Though a long term upward trend is unlikely to happen, a small relief rally could be in order.

However, Cheung further mentions that he is more bullish on Ethereum which is currently trading at about $88, down more than 93 percent from its peak.

“But personally, I am more optimistic at the development of ETH next year.”

Next year, Ethereum has its hard fork coming in late January that could play in favour of the third largest cryptocurrency.

Recently, CFTC that regulates derivatives shared in a statement that it is planning to seek public feedback on Ether. The questions asked by the agency revolves around the difference between the functionalities, compatibility, governance, and underlying technology of Ethereum and Bitcoin.

A few months back, William Hinman, who runs corporation finance division of SEC said that he didn’t believe token was a security in its current form. This, according to Chris Concannon, president of Cboe marked as a clearance to a “key stumbling block for Ether futures.”

The post Bullish on Ethereum But $20,000 a Conservative Bitcoin Price Prediction for 2019, Andy Cheung of OKEx appeared first on BitcoinLinux.

Ethereum Price Analysis: ETH Breaks Key Support, More Losses Likely

Key Highlights

  • ETH price failed to hold the key $88 support and declined recently against the US Dollar.
  • Yesterday’s highlighted major contracting triangle was breached with support at $88 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is likely to decline further and upsides remain capped near the $90 and $92 levels.

Ethereum price extended losses recently against the US Dollar and bitcoin. ETH/USD may continue to move down and it could even test the $80 support zone.

Ethereum Price Analysis

After forming a top near the $98-100 zone, ETH price started a bearish wave against the US Dollar. The ETH/USD pair declined and traded below the $95 support and the 100 hourly simple moving average. It opened the doors for more losses and the price recently broke the $92 and $90 support levels. Sellers remained in control and even pushed the price below the $88 pivot level.

Besides, yesterday’s highlighted major contracting triangle was breached with support at $88 on the hourly chart of ETH/USD. The pair traded as low as $85 recently and it is currently consolidating losses. An initial resistance is near the 23.6% Fib retracement level of the recent decline from the $99 swing high to $85 low. However, the first major hurdle is near the $91 level and the 100 hourly SMA. Above $91, the triangle resistance trend line is positioned at $93. An intermediate resistance is the 50% Fib retracement level of the recent decline from the $99 swing high to $85 low.

Ethereum Price Analysis ETH Chart

Looking at the chart, ETH price is clearly facing a lot of hurdles starting with $91 and up to $93. A convincing close above the $93 level is needed for a decent recovery. If not, the price could break the $85 swing low and it may even test $80.

Hourly MACDThe MACD is slightly placed in the bullish zone.

Hourly RSIThe RSI is currently placed just below the 50 level.

Major Support Level – $80

Major Resistance Level – $93

The post Ethereum Price Analysis: ETH Breaks Key Support, More Losses Likely appeared first on BitcoinLinux.

VC Investor: Fundamentals Show Bitcoin and Ethereum Oversold in Bear Market

It’s no secret that 2018 has been a rough year for cryptocurrencies, with Bitcoin falling over 80% from its 2017 highs, and most major altcoins dropping 90% or more. Despite the market’s poor performance, one venture capitalist laid out his case for why Bitcoin and Ethereum are currently oversold from a fundamental standpoint.

The past few weeks have been especially volatile, with both Bitcoin and Ethereum setting fresh 2018 lows. Last Friday, Bitcoin fell to $3,300 and Ethereum fell to $83, the lowest prices these cryptocurrencies have seen in all of 2018. The market’s recent performance has been particularly disappointing to crypto investors, as many of them anticipated a Winter rally resembling that which occurred in late-2017, but instead they got fresh lows and dwindling signs of fundamental strength.

Bitcoin and Ethereum Fundamentally Oversold

Although the recent drops have led the overall market sentiment to hit rock bottom, Chris Burniske, a partner at the New York-based venture capital firm, Placeholder, offered a more optimistic view of the current markets in a recent Medium post, titled “Bitcoin & Ethereum: Prices are Down More than the Fundamentals.”

Initially, Burniske defined his terms and explained to readers that for him, the fundamentals of cryptocurrencies are defined by the health of their supply-siders and demand-siders.

In his words, supply-siders are “the folks who provision the network’s service (currently, the most common form of supply-sider is a miner),” and demand-siders are “the ones who consume the service.”

Furthermore, Burniske claims that network value – which is found by multiplying the price per unit by the number of outstanding units – is the term he will use to show the aggregate value the market is placing on a specific crypto-network.

While comparing the network activity to the price of both Bitcoin and Ethereum, an interesting trend can be found: network values are down significantly more than the daily number of transactions.

“Bitcoin is currently processing ~250,000 transactions per day, and Ethereum ~500,000… there is a clear divergence, where network value has continued to slide over the last few months, but the number of daily transactions is stable to ticking up… From peak, Bitcoin’s and Ethereum’s network values are down 81% and 93%, respectively, whereas daily number of transactions are only down 41% and 52%, respectively,” Burniske noted.

These statistics clearly show that from a fundamental standpoint, as defined by Burniske, both Bitcoin and Ethereum are oversold.

He adds to this argument by referencing the “native demand metric” of each network, which is the secure movement of value for Bitcoin, and processing smart contract computations for Ethereum.

When breaking down the decline in the native value metric for these two cryptocurrencies, and comparing that to their price declines, it becomes even more clear that they are fundamentally oversold.

“The two charts above are my favorite, as they show what I consider the most native demand-metric of each network. For Bitcoin, that’s securely moving value, and for Ethereum, it’s processing smart contract computations… Since their respective peak prices, Bitcoin’s and Ethereum’s network values are down 81% and 93%, respectively, whereas demand for their respective native functionalities is down 74% and 7%, respectively,” he explained.

When mulling over these numbers, it becomes crystal clear that although Bitcoin and Ethereum are both trading down significantly from their all-time-highs, their utilization has not decreased enough to justify such a large drop, which signals that they are fundamentally oversold.

Featured image from Shutterstock.

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Institutional Investors Still Interested? Bitwise Releases Bitcoin and Ethereum Funds

The creator of the world’s first cryptocurrency index fund has launched two liquid beta funds holding bitcoin and ether exclusively to address market demand. The Bitwise Bitcoin Fund and the Bitwise Ethereum Fund are available in two share classes, Institutional Shares and Investor Shares.

Bitwise Funds Open to Minimum Investment of $25,000 for Retail Investors and $1 Million for Institutionals

Bitwise Asset Management has broadened its fund family with the two new strategies which join the Bitwise 10 Private Index Fund. The Bitcoin and Ethereum funds are being promoted as a low cost alternative to current existing options which charge exit fees and other expenses.

Hunter Horsley, chief executive officer of Bitwise Asset Management, believes the 68 percent drawdown in bitcoin prices this year has given investors a unique opportunity to enter the market at very low prices.

“Though an ETF has not yet been approved, investors and advisors like the fund format because it’s professionally managed and simplifies access to best-in-class custody, trading, reporting, and tax preparation, and allows for the safe capture of events like hard forks and airdrops.”

The Bitcoin and Ethereum funds aim to capture the total returns available to bitcoin and ethereum investors, respectively, including hard forks and air drops. Bitwise holds the capital in cold storage with an institutional third-party custodian. The asset management firm offers an institutional offering, with an all-in expense ratio of 1.0% and a minimum investment of $1 million, and a retail offering, with an all-in expense ratio of 1.5% and a minimum investment of $25,000.

The cryptocurrency market has been down lately. Bitcoin trades below $4,000 and Ethereum lost the $100 handle. Matt Hougan, global head of research at Bitwise, says that institutional demand for bitcoin and ether funds is increasing, with some adding to their positions throughout the downturn and others using the opportunity to enter the market.

“With significant positive developments on the horizon, including the launch of the Bakkt bitcoin futures exchange from ICE, the launch of Fidelity Digital Assets, and the continued movement of institutional investors like Yale University and Stanford University into the crypto space, we have seen significant inbound demand for high-quality bitcoin and ether funds.”

The funds launched by Bitwise allow U.S.-accredited investors to come in and out of the fund weekly and charge no withdrawal or performance fees, or performance fees.

Bitwise is backed by a few leading names within the ecosystem, including Khosla VenturesBlockchain Capital, and Naval Ravikant. In late July 2018, chief executive Horsley told CNBC that the asset management firm was hopeful of launching its own cryptocurrency index ETF. The company filed a proposition to the SEC with that goal in mind. In that interview, Horsley added that his customers “like the index strategy” because they don’t get tied down to a single cryptocurrency.

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ETH Shorts Skyrocketing, Is Ethereum Crashing to “near-zero” as Vitalik had Reminded

Ethereum price is currently trading around $90 while being down more than 93 percent from its peak. The market sentiments are tilting towards more pain incoming as ETH shorts reach its all-time high (ATH).

“No One Wants ETH”, Ethereum Shorts Reaching the Moon

Ethereum has dropped down to two digits with yesterday’s crash. Briefly touching $84, ETH has come to its 19-month lowest. At the time of writing, the third largest cryptocurrency by market cap of $9.6 billion has been trading at $92 with 24-hours gains of about 7 percent. In the BTC market, ETH is in the green by about 6 percent.

Ethereum 1-month price chart, Source: Coinmarketcap

Despite the severe downfall, ETH registered greens on the announcement of its long-awaited hard fork Constantinople launch in about mid-January 2019.

This upcoming hard fork involves five Ethereum Improvement Proposals (EIPs) that will fundamentally change the Ethereum blockchain.

These improvements might help in uplifting the price of Ethereum and power it up to compete with its competitors such as Tron whose Founder and CEO Justin Sun is eagerly suggesting Ethereum developers and projects to migrate to Tron network.

However, Eth price have lot more pain coming up as the popular trader and investor, Crypto Squeeze shared,

 

Looks like, this is what other investors and traders believe so as well as ETH shorts have reached an all-time high with a sharp jump.

BitcoinLinux.com/wp-content/uploads/2018/12/08124537/Screen-Shot-2018-12-08-at-11.57.08-AM-300×167.png 300w, https://cdn.BitcoinLinux.com/wp-content/uploads/2018/12/08124537/Screen-Shot-2018-12-08-at-11.57.08-AM-768×427.png 768w” sizes=”(max-width: 1011px) 100vw, 1011px”>

Source, TradingView

 

With shorts reaching so high, the market sentiments currently signals expectations of more price drop coming.

Back in February, this year, Ethereum founder Vitalik Buterin had Tweeted,

“Reminder: cryptocurrencies are still a new and hyper-volatile asset class, and could drop to near-zero at any time. Don’t put in more money than you can afford to lose. If you’re trying to figure out where to store your life savings, traditional assets are still your safest bet.”

Do you think Ethereum is slowly making its way to “near-zero” point as Vitalik had reminded?

The post ETH Shorts Skyrocketing, Is Ethereum Crashing to “near-zero” as Vitalik had Reminded appeared first on BitcoinLinux.

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“Making Fast Progress”, Vitalik Buterin on Ethereum Scaling Problem

While Ethereum price is fast losing its value, having dropped about 54 percent in a month, Ethereum founder Vitalik Buterin says its scalability is making fast progress as the team is working on the beacon chain and shard data chains.

Ethereum 2.0: The Beacon Chain, Shard Data Chains

Ethereum has lost about 54 percent of its value in a month having tanked from $220 in early November to its current price of $103. Since its peak at about $1,400, Eth has lost over 92 percent of its value.

With a market cap of $10.7 billion, Ethereum is currently at the 3rd spot while managing the daily trading volume of more than $2 billion.

ETH 1 month price chart, Source: Coinmarketcap

As the developments on Ethereum Network are getting slowed down and its competitors gaining steam, Ethereum enthusiasts are looking for updates as one Twitter user asked Ethereum founder Vitalik Buterin, “We really need Ethereum to scale. Hope you are working hard for it.”

In response, Vitalik ensures,

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The Github repository shared by Vitalik covers Ethereum specifications 2.0 that discusses “design rationale and proposed changes can be brought up and discussed as issues.”

It is currently divided into two phases, Phase 0 that involves The Beacon Chain and Phase 1 that covers Shard Data Chains.

In a separate Github entry that details the beacon chain reads, “The initial deployment phases of Ethereum 2.0 are implemented without consensus changes to Ethereum 1.0. A deposit contract at address DEPOSIT_CONTRACT_ADDRESS is added to Ethereum 1.0 for deposits of ETH to the beacon chain. Validator balances will be withdrawable to the shards when the EVM2.0 is deployed and the shards have state.”

The main responsibilities of the beacon chain are,

“Store and maintain the registry of validators, process crosslinks, and process its own block-by-block consensus, as well as the finality gadget.”

The document covering Phase 1 specifies that it depends on the implantation of Phase 0,

“Phase 1 is primarily concerned with the construction, validity, and consensus on the data of these shard chains. Phase 1 does not specify shard chain state execution or account balances. This is left for future phases.”

Broad design goals for Ethereum 2.0 has also been shared,

  • to minimize complexity, even at the cost of some losses in efficiency
  • to remain live through major network partitions and when very large portions of nodes go offline
  • to select all components such that they are either quantum secure or can be easily swapped out for quantum secure counterparts when available
  • to utilize crypto and design techniques that allow for a large participation of validators in total and per unit time
  • to allow for a typical consumer laptop with O(C) resources to process/validate O(1) shards (including any system level validation such as the beacon chain)

At the end of last month, Casey Detrio, an eth dev, had said, “The first goal is to boost transaction throughput on the mainnet.”

The post “Making Fast Progress”, Vitalik Buterin on Ethereum Scaling Problem appeared first on BitcoinLinux.

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Ethereum Price Analysis: ETH/USD’s Massive Breakdown Below $100

Key Highlights

  • ETH price seems to be approaching a massive breakdown below $100 against the US Dollar.
  • There is a crucial bearish trend line in place with resistance at $106 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is likely to break the $100 and $95 levels in the near term if sellers remain in action.

Ethereum price is facing heavy selling pressure against the US Dollar and bitcoin. ETH/USD is likely to decline further as long as it is below $106 and $110.

Ethereum Price Analysis

Yesterday, we discussed that ETH price could test the $100 level against the US Dollar. The ETH/USD pair did trade below the $110 and $105 support levels to enter a bearish zone. There was even a close below the $105 level and the 100 hourly simple moving average. The price traded close to the $100 level and it seems like it could continue to move down. The recent low was $100 and the next immediate support is at $98.

On the upside, an initial resistance is the 23.6% Fib retracement level of the recent decline from the $112 high to $100 low. Above $103, there is a crucial bearish trend line in place with resistance at $106 on the hourly chart of ETH/USD. The trend line resistance near $105-106 is significant since it was a support earlier. Besides, the 50% Fib retracement level of the recent decline from the $112 high to $100 low is near $105. Therefore, if the price corrects highs, it could face a strong barrier near the $105 and $106 levels.

Ethereum Price Analysis ETH Chart

Looking at the chart, ETH price is clearly under pressure below $105. It is likely to break the $100 and $95 levels to set the pace for more losses in the near term.

Hourly MACDThe MACD is slowly moving back in the bullish zone.

Hourly RSIThe RSI is currently positioned well below the 40 level.

Major Support Level – $95

Major Resistance Level – $106

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Tron (TRX) Captures the 10th Spot while Continuing to Trump Ethereum (ETH)

Tron grabs the 10th spot in the red market with 0.49 percent 24-hours gains. Meanwhile, it is steadily growing and beating Ethereum in terms of daily transactions, google searches, and daily dapp users while adding more liquidity with the addition on exchanges.

Tron keeping Ahead of Ethereum

Tron has yet again climbed one rank up to the 10th spot as per market cap of $963 million with daily trading volume of $75 million. At the time of writing, TRX has been trading at $0.0145 with 24 hours gains of 0.63 percent while surging more than 3 percent in the BTC market.

Source: Coinmarketcap

Meanwhile, Ethereum lost its 2nd position to XRP last month and is still sitting at the 3rd spot. With a market cap of over $11 billion, it has been currently trading at $107 while being down by about 4 percent.

BitcoinLinux.com/wp-content/uploads/2018/12/05155122/Screen-Shot-2018-12-05-at-2.17.12-PM-300×147.png 300w, https://cdn.BitcoinLinux.com/wp-content/uploads/2018/12/05155122/Screen-Shot-2018-12-05-at-2.17.12-PM-768×377.png 768w” sizes=”(max-width: 994px) 100vw, 994px”>

Source: Coinmarketcap

While Ethereum has slowed down in its development Tron is moving fast. When it comes to Google searches, Tron has beaten Ethereum here as well.

BitcoinLinux.com/wp-content/uploads/2018/12/05155154/Screen-Shot-2018-12-05-at-2.19.14-PM-300×141.png 300w, https://cdn.BitcoinLinux.com/wp-content/uploads/2018/12/05155154/Screen-Shot-2018-12-05-at-2.19.14-PM-768×360.png 768w, https://cdn.BitcoinLinux.com/wp-content/uploads/2018/12/05155154/Screen-Shot-2018-12-05-at-2.19.14-PM.png 1138w” sizes=”(max-width: 1024px) 100vw, 1024px”>

Source: Google Trends

Justin Sun, Founder and CEO of Tron recently shared, “Congratulations on TRON mainnet accounts surpassed 700,000 in 162 days” along with TRON contract triggers surpassing 45 million in 4 weeks.

In the past 14 days, Tron crossed 2 million transactions achieving its highest level till now while Ethereum highest has been 1349890 Transactions on January 4, 2018. However, as shown in the graph below, transactions in last 14 days on Tron network are far more volatile than that of Ethereum.

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Source: Tronscan

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Source: Etherscan

In the meantime, the Decentralized Exchange on Tron has nine cryptos listed viz. REY, SEED, IGG, dice, TONE, TWX, CDF, TERC, and TRWJ. Moreover, the Dapps on Tron network are continuously increasing as the number now crosses 25.

Recently, Tron added liquidity with a string of listings. TRX got listed on ABCC exchange and joined Blockfolio, a mobile portfolio and crypto and blockchain management platform. On December 7, RX/BTC, TRX/USDT, TRX/MDP trading pairs will be available on South-East Asia’s MBAexOfficial.

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