Skip to content
Pico y Pala – Bitcoins, Ethereum, Ripple,…

Ethereum Prints A Reversal Sign After Surging 60% In Two Weeks

08/07/2020

Ethereum prints a reversal sign factoring the flash crash over the weekend as the asset is still up by 60% in the past two weeks so let’s read more in the upcoming ethereum news today.

Ethereum prints a reversal sign after the strong rally according to a Telegram channel that is tracking certain technical analysis signals. The signal predicts that ETH will undergo a bearish reversal in the upcoming days. ETH could be saved by a drop by BTC bulls which will drive the overall direction of the entire market. BTC shows signs that it wants to move higher in spite of the weekend flash crash which only saw the asset rejecting the pivotal level.

etc chart
Chart of ETH’s price action with Tom Demark Sequential overlay over the past six weeks from TradingView.com. Chart by Telegram channel tracking TD Sequential

The Telegram channel tracking instances of Tom Demark Sequential signals reported that Ethereum is printing a bearish reversal sign. The channel noted that Ethereum formed a “sell 9+ C- 13 candlesticks” on the daily charts. According to Tom Demark, Sequential ETH has to start a correction in the upcoming days if the indicator plays out. Although Ethereum could be printing a reversal signal, Bitcoin’s directionality is all that matters. All crypto is closely tied to the price action of BTC on a macro scale. Luckily for the ETH bulls, analysts are expecting more upside for the BTC price.

token age
Chart of the token age consumed metric for BItcoin over the past few months with price action from Santiment, a blockchain analytics firm.

According to Bloomberg, technicals are printing signs that the asset is primed to move higher after the last week break of $10,000. The chief marketing strategist for Miller Tabak, Matt Maley said:

 “The break above $10,000 is very compelling and should lead Bitcoin higher… It might be able to work off this condition with a sideways correction, but its upside potential is limited over the next week or two.”

Bloomberg added that according to the Trading Envelope Indicator, Bitcoin will reach the upper level of the technical range which is considered a positive development. Santiment, a blockchain analytics firm indicated that Bitcoin will soon see volatility in the upward direction:

 “$BTC has just indicated that the 3rd largest token age consumed spike since April has taken place today, indicating a potential short/mid-term price direction change and increased volatility… More likely to the upside than down, because this indicator more often than not foreshadows short-term to mid-term price reversals.”

Also, make sure to check out our new ETH Calculator!