As everything slides, we're looking for some hope here. ETH is desperately trying to get a close above the 55 EMA support as its done the last two major selloffs. If we fail to maintain price levels closing above this EMA support, I'd expect this to be a huge indicator that prices are peaked for now, and we will be due for a longer period of selloff and pullback. This will also be the first time we've seen prices below the EMA levels since New Year's Eve.
If prices selloff but consistently maintain higher lows compared to the previous dump, I'm thinking we could be looking at some longer consolidation.
Bear volume has been growing during this selloff. This could be a relatively bad since since volumes are still low. Volumes have the potential to keep increasing, especially as FUD causes panic.
If ETH does in fact close below, we'd now be looking at all of the EMA levels as being new resistance as we see the trend change.
Happy trading!
It doesn't help that the founder of the Ethereum project is expressing doubts over the valuation. The best thing Satoshi did was back away and let Bitcoin become itself.
I agree. If he has doubt, then sell! haha. Just like Charlie Lee. Smart man!