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Ethereum Price Forecast January 16, 2018, Technical Analysis

By:
Christopher Lewis
Updated: Jan 17, 2018, 08:16 UTC

Ethereum markets went sideways during the session on Friday, but that’s not a huge surprise as Americans were away at holiday, from the Martin Luther King Jr. celebrations. With this in mind, we do have significant support below, especially near the $1280 level, and the uptrend line that I see just below.

ETH/USD daily chart, January 16, 2018

Ethereum markets went sideways on Monday, essentially going nowhere. The markets continue to hover around the $1300 level, with the $1280 level offering support. Volume was missing, as Americans were celebrating the Martin Luther King Jr. holiday, and therefore a sideways day is not a huge surprise. I have an uptrend line just below, and I think it’s only a matter of time before the buyers get involved, but if we were to break down below the $1250 level, I think then the market goes looking towards the $1200 level next.

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ETH/USD Video 16.01.18

Crypto currencies in general have stuttered a bit during the year, and I think that we are going to see most of them cool off, especially the ones that are of decent volume such as Bitcoin and Ethereum. Because of this, the “easy money” has been made. Although I believe that we do go higher over the longer term, it’s going to act more like Forex pair, and a lot less like the bubble that we had seen forming. The $1500 level is probably the longer-term target currently, but it will take a while to get there so I’m not expecting to see that anytime soon. Buying on the dips probably remains the best way to play this market, as there is a certain upward bias, especially considering that the US dollar has been pummeled against almost every other currencies the world, as the “anti-US dollar bias” continues.

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ETH/USD daily chart, January 16, 2018
ETH/USD daily chart, January 16, 2018

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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