Ethereum likely to do well in 2021 as analysts say despite the recent speedy drawback at its price, all thanks to the Ichimoku signal, as we are reading more in our ethereum latest news.
The coin is now trading at $350 which is about 30% drop below the recent year-to-date high of $490 which were set a few weeks ago. Ethereum’s strong move lower was a result of the correction in the BTC market along with the rapid slowdown in the utility of the leading decentralized finance platforms. Speaking about Ethereum’s 2021 potential, Josh Olszewicz noted that the Ichimoku Cloud on the weekly charts has flipped green for the first time since 2018. The Ichimoku Cloud is an indicator that shows the trends of the asset and important levels to watch. Olszewicz believes that this indicator means that Ethereum likely to do well in Q2 2021:
“1W $ETH. Cloud green for the first time since late 2018 this bodes extremely well for Q2 2021.”
The Cloud is a leading indicator as it predicts trend changes in the future as opposed to providing insights about the current trend. Ethereum could do well in 2021 as analysts are expecting that the short-term weakness likely towards the $300 lows last seen at the start of September. Referencing the charts, the head of technical analysis at Blockfyre said:
“Looks way more bearish SHORT term I 100% will go all in if this is given. It is my bullish invalidation point and thus optimal entry. More blood yet to come imo. Buy lower grey box or buy LH reclaim flip to support.”
There is some uncertainty about the markets due to the stimulus talks being paused by the US President Donald Trump. There were rumors that the stimulus money is being restarted but there haven’t been concrete moves from both sides.
As recently reported in the ETH news, The crypto has mainly been consolidating and lacked directionality with major uncertainty in the crypto market. This trend will continue to bring fear for the investors causing assets like ETH to see more downsides in the upcoming days and weeks.