Here's why I think ETH just double bottomed
Hi everyone, here is why I think ETH just double bottomed. First of all, the entire crypto market is considered speculative so overall it all has had unrealistic gains (read about "Tulip Mania" for more info and how these speculative markets held up in the past). However, out of all of them ETH is the strongest one and is soon to take over BTC in market cap. It is faster, cheaper, more secure and a big point that not everyone realizes is that most of these ICOs and altcoins are built on the infrastructure of the ETH network. Now wether these altcoins are traded using BTC or ETH it is still processed on the ETH network and if ETH were to crash you could expect every single one of these coins to follow suit by a larger scale. Blockchain is this decades SSL and will definitely be a large part of how we do transactions and keep track of them in the future, the issue is finding the true value behind these coins.
The entire crypto market has had unprecedented gains over the past two months and was due for a big correction, usually 50% of a correction would be too high for a double bottom, but considering that ETH was trading at $2.50 only a year ago it could still work. Most of the long term oscillators and moving averages are pointing towards a bullish market by the end of the month.
A double bottom for those of you who don't know is a simple chart pattern that usually happens during the correction of a bull market; it is shaped like a "W" and is confirmed when the last part of the "W" breaks above the middle peak. Now for a double bottom to take place one of the biggest keys is for the second leg to sell off even just a little bit lower than the first trough, which has already happened as of today. I have used an XABCD chart to show how the double bottom could play out.
It looks like this pattern could be complete by the end of the month, as always all mentioned above is only my opinions and not to be taken as trading advice. Trade at your own risk, and good luck!
The entire crypto market has had unprecedented gains over the past two months and was due for a big correction, usually 50% of a correction would be too high for a double bottom, but considering that ETH was trading at $2.50 only a year ago it could still work. Most of the long term oscillators and moving averages are pointing towards a bullish market by the end of the month.
A double bottom for those of you who don't know is a simple chart pattern that usually happens during the correction of a bull market; it is shaped like a "W" and is confirmed when the last part of the "W" breaks above the middle peak. Now for a double bottom to take place one of the biggest keys is for the second leg to sell off even just a little bit lower than the first trough, which has already happened as of today. I have used an XABCD chart to show how the double bottom could play out.
It looks like this pattern could be complete by the end of the month, as always all mentioned above is only my opinions and not to be taken as trading advice. Trade at your own risk, and good luck!
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