Ethereum continues to look miserable, but there might be hope

ETH/USD

Ethereum markets fell against the US dollar during the week, crashing towards the $375 level. That’s an area that was previous resistance, and it should now be support. I think if we can bounce, this would be an ideal to start buying for the longer-term trader, but at this point I think that the more likely scenario is that any bounce we get, there will be sellers above looking to punish Ethereum again. If we break straight down through the $375 level, that should send this market down to the $300 rather quickly. I think that the shooting star that formed just above the $500 level should continue to be a massive barrier.

ETH/EUR

Ethereum markets broke down over the course of the week, slicing through the €400 level, reaching down towards the €300 level. That’s an area that I think that will offer support, as it was previous resistance. I think that the market could bounce from here, but just as we see against the US dollar, there is a shooting star couple of weeks ago. The shooting star of course suggests that there is significant resistance just above the €400 level, so it’s not until we break above that candle that I would be a buyer. In other words, it’s not until we break above the €500 level that I can start buying. Ultimately, if that happens I think that that could be a nice “buy-and-hold” situation. Otherwise, if we break down below €300, this market falls apart.

ETH/USD Video 02.04.18