Cryptocurrencies Back in the Red, Ethereum Continues to face Challenges

Short-Term Bull Rally Fizzles and Bitcoin Wobbles Again

Cryptocurrencies have come under pressure again. The major digital assets all began to suffer from another downturn on Wednesday and traders are on edge as Thursday begins. Bitcoin has fallen below the 7000.00 U.S Dollars ratio and this has shaken the confidence of short-term speculators who were hoping for a bull market to build momentum.

Can Speculative Buyers Endure the Prolonged Storm in Digital Assets?

After showing the capability of a limited rally early this week, digital assets have crashed into a wall of resistance again and find themselves confronting vital support. Ethereum is being challenged near the 375.00 U.S Dollar level and if this juncture should fail, the Ether coin could see its value testing November prices which could ultimately lead to prices around 270.00. The problem for cryptocurrencies the past two months has proven to be a consistent lack of speculative buying. Simply put there do not seem to be enough buyers in the market to sustain upward momentum. If Ethereum continues to face challenges a test of long-term lows not seen since the end of July 2017 may become reality. And for speculators who believe digital assets are starting to look cheap, the question becomes one of endurance and the ability to wait out this prolonged storm.

Corrective Bear Trend Washing Away Distorted Market

At this point in time, there is a debate growing about whether the bear market in cryptocurrencies is corrective or a full-blown collapse? It should be remembered that over the past five years while digital assets have been going through their infancy, they have suffered slings and arrows via violent downward pressures before and recovered. It has been said by many, that a major shakeout would occur in the sector and this would lead to a survival of the fittest situation. What appears to be occurring within cryptocurrencies is a corrective trend which is washing away the pandemonium which distorted the market late last year.

Crypto Conference.Com Starting in Berlin

In Berlin today and tomorrow the Crypto Conference.com event will take place, which will focus on ICO’s, token sales and regulatory issues.

• April 5^th – 6th, Germany, Crypto Conference.com Berlin

Yaron Mazor is a senior analyst at SuperTraderTV.

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