Connect with us

Blogs

Ethereum (ETH), Like Most Cryptos, Enters Consolidation Mode

Published

on

READ LATER - DOWNLOAD THIS POST AS PDF

Ethereum (ETH), like most crypto assets, is currently consolidating. There is little fundamental news driving prices at present and the best option for traders is to use short-term price levels to initiate short-term positions.

Fundamental Analysis

While there are several ongoing stories about Ethereum, none of them are currently driving the price.

The ICO market has seen a recovery in May, which is helping to support the ETH price. Successful ICOs on the Ethereum blockchain attract more ICOs, which in turn drives demand for ETH tokens. However, increasing numbers of blockchain projects hold ETH on their balance sheets. They need to sell these to release working capital, and in the case of a downturn in the ETH price, there is a risk of these companies liquidating their ETH holdings. This dynamic is sure to lead to continued volatility in the price of Ether.

While there have been no major announcements with regard to addressing the scalability of Ethereum, scalability is also not currently a problem.

Ongoing debates in the US over whether or not Ethereum is a security or a commodity are actually more likely to have implications for other coins than for ETH itself.

Technical Analysis

With few fundamental drivers to go on, investors and traders alike need to focus on the price action. The largest 5 cryptocurrencies have been very highly correlated since March – most of them put in a low on 6th April and a high on 6th May. Any significant moves are therefore likely to occur across the board.

The high correlation means that for longer-term positions, traders should look for confirmation from BTC, LTC, and BCH before initiating positions in Ethereum.

Ethereum 4 Hour Chart (Image Credit: www.tradingview.com)

For short-term positions, there are two levels to watch. The down sloping resistance line going back 10 days, has been rejected four times. Resistance is now at $715, and if this level is broken a rapid move to $760 and possibly $820 would follow.

The support line has been very sharply rejected five times, suggesting very little selling at these levels. This support level is now at $650 and would be a good level for long-term bulls to accumulate. However, a break below this level would suggest a move back to $500, and possibly even $365.

Ethereum vs Bitcoin Weekly Chart (Image Credit:www.tradingview.com)

As far as the relative performance of ETH and BTC is concerned, if history is to repeat itself we may only see another week or two of ETH outperformance before we see a sharp reversal. If the above pattern was to hold it would imply an average long-term ratio of 0.07 BTC per ETH. Alternatively, if the ratio breaks out of the pattern we could see a much longer period of outperformance.

Conclusion

The next move for Ethereum, like most other cryptocurrencies, is unclear at present. After a large three to four-month correction, we saw a one-month rally followed by another smaller correction. Most crypto assets are now consolidating – Ethereum included.

For now, traders can look for short-term trades around the levels mentioned above, or use the volatility to build longer-term positions. It must be said, however, that the long-term picture is far from clear at present.

This article was written by FX Empire.

Blogs

How Can Foreigners Get Loans in Singapore

Published

on

loans for foreigners in Singapore
READ LATER - DOWNLOAD THIS POST AS PDF

Foreigners who are residing in Singapore and looking for financing could do so in the form of a payday loan. It is good to find out that you can borrow the money from a reputable lender and that the interest rates are low enough for it to be a viable option. Online lenders that specialize in doing business in the country can certainly help one. These online companies are not only reliable, but their service is fast.

At the same time, many cannot afford a high standard of living. Many individuals cannot afford essentials, such as a car or a house. It can be difficult for the majority of the working class to scrape through on their basic salary. 

What defines a foreigner in Singapore? 

A foreigner in Singapore means that you are not a permanent or natural citizen there. As a foreigner, you will not be holding a Singaporean passport. The rules can differ a little for foreigners and residents. Singapore, being a multinational hub, houses many foreigners within the city. Foreigners come to Singapore for the many attractions it offers. Many people come to Singapore for Work-related purposes. A lot many also come for vacations or to visit a friend or a relative. Some foreigners come with a plan to move to Singapore permanently, attracted by their lavish lifestyle. Singapore also…

Continue Reading

Altcoins

Aluna.Social is a Compelling Social Platform for Crypto Traders and Investors

Published

on

Aluna.Social
READ LATER - DOWNLOAD THIS POST AS PDF

When one thinks about the social media landscape, the companies that first come to mind are most likely Facebook, Instagram, LinkedIn, and Snapchat.  These platforms are a great way to stay connected with friends, families, and colleagues, especially when geographic distance is a factor.  But, in addition to just chatting about life in general and sharing pictures, social media can be used to bridge the information gap that exists within the investment community.

Over the last decade, many trading offices have been established in large cities all over the world which allow solo traders and investors to pay a monthly fee in exchange for a workspace.  The real benefit to trading in these offices is to participate in the free flow of trading ideas and information.  Proprietary trading is one of the most challenging careers to be successful at and the exchange of ideas is almost required in order to succeed.  Traders at hedge funds and investment banks work in teams so why shouldn’t remote traders?

While these trading offices are a great way to help bridge the information gap, Aluna.Social may provide an even better way, especially as it relates to cryptocurrency trading.

Mission Statement

Aluna.Social, founded by Alvin Lee and Henrique Matias, is a multi-exchange social trading terminal for crypto traders and investors.  The goal of the platform is to help newcomers shorten their learning curve,…

Continue Reading

Altcoins

CoinFlip Scores Big with BRD Wallet Partnership

Published

on

CoinFlip
READ LATER - DOWNLOAD THIS POST AS PDF

As the crypto markets move closer to mass adoption, one of the keys for future success will revolve around attracting as many market participants as possible.  While many crypto users are extremely tech oriented, a lot of those on the sidelines are not.  The cause of waiting on the sidelines could be due to a variety of reasons such as fear of the unknown, lack of knowledge, age, or a combination of all of the above.  In order to entice new users to join the crypto revolution, crypto ATMs are rising up across the country.  Of those, the largest and most influential crypto ATM company by a significant margin is CoinFlip.

In early October, CoinFlip announced on its Twitter that it had officially partnered with BRD Wallet to re-introduce their crypto ATM map.  Now, BRD wallet users will be able to locate their nearest CoinFlip ATM and receive a 10% discount for both buys and sells.  BRD brand awareness is growing quickly within the crypto community thanks to its innovative and entrepreneurial spirit.  The team strongly believes in the value of financial freedom and independence, and want to empower people across the world by leveraging the possibilities that Bitcoin and other cryptocurrencies provide.

Cryptocurrencies are already making a huge difference around the world.  Citizens of Venezuela, a country devastated by rampant inflation, have been using several cryptocurrencies…

Continue Reading

Press Release