Ethereum markets rallied a bit during the trading session on Wednesday during the early hours. The $440 level has offered a bit of support, but the market is still very much in a downtrend. Because of this, I suspect that this will end up being a selling opportunity if you are patient enough.
Ethereum markets bounced off the $440 level initially during trading on Wednesday, as the markets had been a bit oversold. As I record this, we are at $460, and look likely to try to go to the $480 level. However, there are a lot of concerns with Ethereum overall, and I believe that we are still very much in a downtrend. I think that given enough time, the sellers will return, especially near the $500 level and the $525 level. I remain a “sell on the rallies” trader when it comes to Ethereum, I believe it is simply far too sick to continue going higher for a significant amount of time.
Ethereum markets also rallied against the Euro, reaching towards the €375 level in early trading. There is a significant amount of resistance near the €380 level as well, so I would anticipate that we could probably get some selling rather soon. It’s not until we break above €400 that I would be comfortable buying this market, as I think it is far too bearish. In a bounce of this point is probably profit-taking or simply the market going through a short-term correction of the longer-term trend. Very bearish of Ethereum right now, and until we cross a few technical levels, will continue to be. Ethereum simply does not perform well recently, and it doesn’t seem to be changing its attitude, despite this short-term bounce that we have seen.