Ethereum Is Looking Strong, Bitcoin Is Disappointing
Ethereum has posted a strong close above resistance that has been troublesome for many days. See the chart below:
That 1st arc of the 2nd pair has bedeviled this market for quite some time, but as you can see, the arc has yielded to the bulls. This is not yet a buy signal, as the 2nd arc of the pair still waits for pricetime at around $47. When/if we see a close above that arc we will be given a buy signal. In the meantime, my suggestion would be to wait patiently. Of course, it is possible that the arc will be cleared by the time this piece gets published…
The good news is that when we get a buy signal, the next arc pair will offer resistance all the way at ~ $65.. See the longer term setup below:
Bitcoin continues to struggle more than I expected it would. It is currently sitting once again at the the very bottom of a short-term bear setup.
The blue arrow is pointing to both the bottom of a bear setup and also to the 1st arc of a larger long-term bull setup. Between the two supports, I would expect the market to reverse here. If it falls much further, all bets are off, as my presumption will be that a bear season is upon the market.
Here is a look at the longer term bull setup indicated in the chart above:
As you can see, this arc has been a real problem for this market. I had thought a couple days back that the market was regaining it’s footing, but it appears the bears have not given up yet. If the support at the arc fails, the next support is at the 2×1 Gann angle (red line) at ~ $875
Remember: The author is a trader who is subject to all manner of error in judgement. Do your own research, and be prepared to take full responsibility for your own trades.