Ethereum Bounces at the 200-day SMA
The Ethereum baby has gotten thrown out with the Bitcoin bathwater. But now all sorts of interesting things could be happening with the No. 2 cryptocurrency.
The first big technical event is price bouncing at the 200-day simple moving average (SMA). BTC has been mired below this average since May 19, while ETH has seldom closed below it.
Next are the quick rebounds from the lows around $1,700. That level is near the breakout zone in late March. It’s also noteworthy that the ETHBTC ratio started climbing shortly afterwards -- a sign that’s when the market got excited about Vitalik Buterin’s project:
And, of course, there are reasons to be interested in ETH with fee burning (EIP-1559) scheduled to begin under the London hard fork next month.
Finally, ETH is back above $2,000 after almost a week of probing below that psychologically important number.
Overall, the cryptocurrency market has taken a beating in the last seven weeks. But now a lot of bad news (mostly involving Bitcoin and China) is priced in, while potential good news (involving Ethereum) is coming into sight.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
The first big technical event is price bouncing at the 200-day simple moving average (SMA). BTC has been mired below this average since May 19, while ETH has seldom closed below it.
Next are the quick rebounds from the lows around $1,700. That level is near the breakout zone in late March. It’s also noteworthy that the ETHBTC ratio started climbing shortly afterwards -- a sign that’s when the market got excited about Vitalik Buterin’s project:
And, of course, there are reasons to be interested in ETH with fee burning (EIP-1559) scheduled to begin under the London hard fork next month.
Finally, ETH is back above $2,000 after almost a week of probing below that psychologically important number.
Overall, the cryptocurrency market has taken a beating in the last seven weeks. But now a lot of bad news (mostly involving Bitcoin and China) is priced in, while potential good news (involving Ethereum) is coming into sight.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
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