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Ethereum [ETH/USD] Technical Analysis: Bear reclaims its control over the coin

Priya

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Ethereum [ETH/USD] Technical Analysis: Bear reclaims its control over the coin
Source: Unsplash

Ethereum [ETH], the third-largest cryptocurrency by market cap, witnessed a massive drop in its value earlier today, along with all the other major cryptocurrencies. The bear’s return was unexpected by the investors, especially with the upcoming upgrade. Also, the coin lost its position to XRP  in terms of market cap again within a fraction of minutes.

According to CoinMarketCap, at press time, Ethereum was trading at $128, with a market cap of $13.35 billion. The cryptocurrency has a trading volume of $2.55 billion and has plunged by over 19% in the past seven days.

1-hour

Ethereum one-hour price chart | Source: Trading View

Ethereum one-hour price chart | Source: Trading View

In the one-hour chart, the cryptocurrency pictures a steep downtrend from $149.21 to $126.89. The sharp uptrend is recorded from $113.48 to $122.52. The cryptocurrency will have to face the immediate resistance first, which is set at $128.63, in order to defeat the strong resistance, which is set at $150.75. The immediate support for the coin is at $122.50 and the strong support is at $113.57.

Parabolic SAR pictures a bullish trend as the dots have aligned below the candlesticks.

Chaikin Money Flow shows that the money is currently going out of the market as the line is below the zero mark, forecasting a bearish wave.

Bollinger Bands is forecasting a less volatile market as the bands are pictured contracting in the market, making less space for major price movements.

1-day

Ethereum one-day price chart | Source: Trading View

Ethereum one-day price chart | Source: Trading View

The one-day chart demonstrates a downtrend from $714 to $155.91 for the cryptocurrency. The uptrend is pictured from $83.74 to $125.83. The immediate resistance for the coin is set at $155.91 and the strong resistance is at $218. The cryptocurrency has immediate support at $114.37 and the strong support is set at $82.78.

Klinger Oscillator is forecasting the bear’s return as the reading line and signal line have recorded a crossover in the market, with the reading line going down south.

MACD pictures the bear’s presence as the moving average line is placed below the signal line after a crossover.

RSI shows that the buying pressure is currently evened out by the selling pressure for the cryptocurrency in the market.

Conclusion

The coin is forecasting a strong bear’s wave as majority of the indicators have started to support the winter animal. This includes Chaikin Money Flow from the one-hour chart, Klinger Oscillator, and MACD, from the one-day chart.





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Priya is a full-time member of the reporting team at AMBCrypto. She is a finance major with one year of writing experience. She has not held any value in Bitcoin or other currencies.

News

Bitfinex LEO token comes out of nowhere to take the 13th spot on CMC with $1.8 billion in market cap

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Bitfinex LEO tokens comes out nowhere to take the 13th spot on CMC with $1.8 billion market cap
Source: Unsplash

It has been less than two months since the New York Attorney General’s Office slapped Bitfinex in the face with an accusation of “fraud,” over their $850 million undisclosed loss cover-up. Now, their “LEO” token curated to remedy the ordeal is officially up on the 13th spot on the biggest crypto-market aggregator, CoinMarketCap [CMC].

With a valuation of over $1.8 billion, LEO officially referred to as “UNUS SED LEO,” was placed higher than the likes of Monero [XMR], Dash [DASH], IOTA [MIOTA], and Ethereum Classic [ETC]. While the entire crypto-space was still mulling the prospects of Facebook’s Project Libra, LEO came out of nowhere and climbed the coin ladder.

Paolo Ardoino, CTO at Bitfinex, hailed the quick-climb of LEO as “not a bad start.” He tweeted,

Source: Twitter

Shades of the Bitcoin SV [BSV] price climb were revisited when the cryptocurrency shot up to the 8th spot on the ladder, less than a month after forking from Bitcoin Cash [BCH] in December 2018.

Bitfinex released the LEO whitepaper on May 8 and stated that the price of LEO tokens would be 1 USDT, but later clarified that “other forms of consideration” and “USDt equivalents” would also be accepted. In the whitepaper, the utility of LEO was spelled out as,

“LEO will be the utility token at the heart of the iFinex ecosystem. Token holders will experience benefits across the entire portfolio and are expected to obtain benefits from future projects, products, and services, whether or not detailed within this white paper.”

The exchange stated that the main objective of the proceeds generated via the LEO token sale will be towards replenishing the working capital of the exchange and to pay for any general business expenses. The whitepaper highlighted that LEO tokens can be used to redeem fee reduction on either Bitfinex or EthFinex.

Further, with the larger community viewing the LEO issuance as a ‘scapegoat tactic’ to remain in the vicious Bitfinex-iFinex-Tether circle, the exchange clarified its stance on the repurchasing and burning of tokens. Bitfinex will buy back the tokens on a monthly basis for a price, “equal to a minimum of 27% of the consolidated gross revenues of iFinex,” based on previous month’s calculations. This will carry on until no tokens are in public circulation.

At press time, the circulating supply was exactly LEO 1 billion, while the token was priced at $1.82. It was experiencing a 5.1 percent decline against the US Dollar over 24 hours.





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