Continues to Power Through Resistance

[ad_1]

If interest rates continue to drop, then it’s possible that we could see a crypto rally.

  • The Ethereum market has rallied a bit during the trading session on Thursday as we continue to see a little bit of bullish pressure.
  • It looks like we are going to continue to swim upstream.
  • The Ethereum market did give back quite a bit of the gain by the end of the session though, so it looks like we might be setting up for a shooting star to form.
Advertisement

image

That shooting star would be at the “perfect level, with the $2000 level being a massive resistance barrier. If we were to break above the $2000 level, then it’s possible that the market could go much higher. If we break above the $2000 level, then there’s a lot of psychology that goes into that move, suggesting that Ethereum is going to continue to break much higher. At that point, it’s likely that the market will enter a new bullish trend.

On the other hand, if we were to turn around and break down below the $1800 level, then the market could go down to the $1700 level initially, perhaps down to the $1400 level after that. After all, we have seen a nice run to the upside, mainly due to the idea of upgrades coming to the Ethereum network and moving right along. The idea is that Ethereum will be much more efficient and quite a bit cheaper as far as gas fees are concerned, and therefore makes it a bit more viable.

That being said, Ethereum is still pretty far out on the risk appetite spectrum, so we need to have more of a bullish market when it comes to risk in general. While we are not going to be overly bullish for the long term unless we get some type of help, which the market is currently trying to glean from the Federal Reserve. If interest rates continue to drop, then it’s possible that we could see a crypto rally. That being said, Ethereum clearly is the leader as far as a layer one solution is concerned, second only to Bitcoin. If Bitcoin starts to rally, then it’s likely that we will see Ethereum rally right along with it. However, if Bitcoin starts to sell off, that could be very negative for this market as well. Keep in mind that there is a high correlation between the two markets.

ETH/USD chart

Ready to trade our Ethereum forecast? We’ve shortlisted the best MT4 crypto brokers in the industry for you.

[ad_2]

Leave a Reply

Your email address will not be published. Required fields are marked *

Risk warning: Trading in Contracts for Difference (‘CFDs’) carries a high level of risk and can result in the loss of all your investment. As such, CFDs may not be appropriate for all investors. You should not invest money that you cannot afford to lose. Before deciding to trade, you should become aware of all the risks associated with CFD trading, and seek advice from an independent and suitably licensed financial advisor. Under no circumstances shall we have any liability to any person or entity for (a) any loss or damage in whole or part caused by, resulting from, or relating to any transactions related to CFDs or (b) any direct, indirect, special, consequential or incidental damages whatsoever. For more information about the risks associated with trading CFDs please find and read our ‘Product Disclosure’.


Please recognize that this website is the only official website, please do not enter other clone websites through Internet search or advertisements.


© 2011 - 2024 mgtinvesting.com. All Rights Reserved.

en_USEnglish