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Analysis

Ethereum [ETH] Technical Analysis: When the bear is away, the bull plays

Namrata Shukla

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Ethereum [ETH] Technical Analysis: When the bear's away, the Bull plays
Source: Pixabay

The third-largest coin on the CoinMarketCap list, Ethereum [ETH], has been bleeding ever since the bear attacked the market. However, the coin has been trying hard to recover and its efforts are appreciated by the bear market.

At the time of press, the coin was valued at $105.93, with a market cap of $11 billion. ETH registered 24-hour trade volume of $2.9 billion with an overall fall of 10.37% over the week. The coin has grown by 1.30% in the past day but continues to register fall by 0.4% over the past hour.

1-hour

Source: Trading view

Source: Trading view

As per the coin’s one-hour chart, it registered a massive downtrend from $117.66 to $102.57, while a minuscule uptrend was traced from $102.85 to $103.68. The coin marked resistance at $105.47, with strong support at $102.57.

Bollinger Bands appear to be at a diverged point, indicating increased volatility in the market. The moving average line is under the candlesticks marking a bullish market.

Awesome Oscillator marks a bullish market but losing its momentum.

Chaikin Money Flow also indicates a bullish reign with the marker above zero but it can dip any moment and turned the green market vermillion.

1-day

Source: Trading view

Source: Trading view

The one-day chart of ETH marks a downtrend from $434.48 to $157.15, which further continues till $115.01. The coin is falling and has registered an uptrend from $83.51 to $115.61. The coin met with immediate resistance at $157.15 with support marked at $83.51.

Parabolic SAR indicates a bearish market as the markers have aligned themselves over the candles.

MACD line is seen to be under the signal line, pointing towards a bearish market.

Relative Strength Index indicates that the buying and the selling pressures are evening each other out.

Conclusion

As per the indicators, Chaikin Money Flow, Awesome Oscillator and Bollinger Bands, a bullish trend is predicted. However, MACD and Parabolic SAR do not seem to be in an agreement with the aforementioned indicators as it predicts a bearish run.





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Namrata is a full-time journalist and is interested in covering everything under the sun, with a special focus on the crypto market.

News

Wall Street is on the losing side of Bitcoin’s impressive price rally

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Even as Bitcoin breaks $13,000 Wall Street is on the losing side of the price rally
Source: Unsplash

Wall Street, complete in their tailored suits, suede shoes, and leather briefcases, have once again placed their bets against Bitcoin.

Despite the fact that the collective cryptocurrency market broke the $350 billion mark, with Bitcoin alone accounting for 62 percent of the same and trading at $2,000 over its price at the beginning of the week, hedge funds were not impressed.

The Wall Street Journal citing data from the Commodity Futures Trading Commission reported that crypto-vested managers were holding 14 percent short positions more than long ones on the now, primary avenue for BTC Futures contracts, the Chicago Mercantile Exchange [CME].

A key point to remember here is that CME contracts are cash-settled and hence, no Bitcoins are actually being transferred, with the traders simply placing bets on the cash-equivalent price of Bitcoin.

Well-suited hedge fund owners however weren’t alone, with other stakeholders excluding the small scale crypto-investors holding a 3x on short positions, indicating a further pessimistic sentiment.

Smaller investors were however, long on the BTC market, with the CFTC report stating that investors holding 25 BTC or less were holding four times the long positions as their more exuberant counterparts. It should be noted that the CFTC report was prepared as the price of Bitcoin was still in the $9,000 range, prior to the five-figure surge.

BitMEX, a popular cryptocurrency exchange offering derivatives trading services, saw over $64.38 million in shorts liquidated when Bitcoin broke $10,000. The same was replicated when the price shot past $12,000.

Short positions indicate not just a sheepish position, but rather an investors’ contractual affirmation that the price of an asset will more likely fall than rise. Long positions on the other hand, indicate a pessimistic point of view. Hence, based on Wall Street’s trading activity, institutions are not buoyant about the cryptocurrency market.

In what could be a reverse-catalyst for the digital assets industry, Bitcoin decided to use this negativity as fuel to breach $11,000 earlier this week. Not done with the Wall Street bears just yet, BTC pumped yet again on June 26, with the price breaking the $12,000 ceiling with a further climb to $13,000 looking likely.

Who said Coin Street doesn’t go past the Wall Street express lane?





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