ETHBTC MARKET CONDITIONS 3D CHARTDespite current ATH zone in the ETHUSD pair, for us, BTC bulls, the ETHBTC pair has been a huge dissapointment.
After reaching a peak in May´17, downtrend has remained strong for too long.
There is however, a falling wedge formed, and a week ago the market tested prior resistance zone as support.
I would expect several tests of the possible support zone given this massive downtrend. And given there is a divergence in the Stoch RSI and RSI itself that could mean the end of this downtrend into a range period. A break of this bear trend seems more likely to shift into range rather than into bullish. If you are long ETH longterm, you could try to take advantage of the range scenario to build up your position.
Opening LONG positions right now could place you in a scenario of over 200% profits over 50% loss (R/R:5). But given current BTC run and ETHUSD indicators it does not seem safe at all. (Take a look at Vitalik´s twitline regarding cryptos real-world use achievements).
Opening SHORT positions could be more profitable, specially if support is broken. I will post in a few days a SHORT analysis and try to time out to choose between ETHZ17 or ETHH18 .
MA20 for this setup (60 days) is also a mayor resistance line and the angle from current lower highs is in the same range than in May.
There is a gap, however between current levels and bellow Resistance/Support zone around 0.024 with no volume significance between 0.024 and 0.034. If we take advantage of that gap, from a Short perspective, it is a 40% profit.
On fundamentals, it is worth to mention that IMO new capital entering the market is not likely to measure ETHBTC directly, but will rather pump BTC, LTC, and ETH randomly.
WNZ
Get live updates and analysis of the cryptocurrency market: t.me
