In what looks like a possible wave 4, descending triangle correction, it appears as though Ethereum is projecting a lower-low is in the future before the end of this bear market correction.
With volume declining, the MACD looking very week and the short-term MAs still falling below the longer-term MAs, the trend is still quite possibly lower. If price breaks down below the prior low of $1701, then there are a few natural targets for the low point: $1,455, $1,136 and $875.
What do you think? Does the Bear Market still have some potency and is Ethereum projecting a new low is coming soon?
There is a bullish bias in the stock market given the fact VIX went +0.36% despite the substantial drop in SPY/QQQ (-1.64% & -2.60%). If the VIX continues to get rejected we might hit a low value of 20 which means more uptrend on the short term. Since the stocks and crypto are strongly correlated we could see ETH targeting the 1D Bollinger Bands - SD3 ... around 2100-2150. This momentum might run until Wednesday when we have the CPI print. If this falls in the expected values we might continue and hit ~2600 (mid of Bollinger Band on weekly) in the near future up until the next FOMC meeting where we expect to see another 0.5% increase. If the CPI goes south more than expected I believe your drill down will unfold :(
Crypto-Swing
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@Mucano, If ETH breaks and confirms above the declining trendline, then I am bullish. BTC is the dog the Ethereum's tail. Where so ever BTC goest, ETH is sure to follow, and there are bullish indicators in BTC, but still much indecision.
rconlon821
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It’s coming all the way down in my opinion. People are scared. Digital transformation bubble popping. Rent prices increasing. Return to office is looming.
Crypto-Swing
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@rconlon821, There are many reason to expect declines, but I'm not sure about a return to normalcy, I suspect that might play to provide economic confidence. Thanks for sharing your view. In fact, with respect to being scared, if you have a look at the Fear & Greed Index over time, you will see in the Max timeframe, it is in recovery from historic single digit lows. alternative.me/crypto/fear-and-greed-index/