Ethereum is a market that nobody’s paying attention to now, so that’s why I’m bringing it up, as there could be a nice opportunity here.
Ethereum
Ethereum has rallied just a touch during the trading session on Friday as the 50-day EMA comes in to offer support. Ethereum is a market that nobody’s paying attention to now, so that’s why I’m bringing it up.
While Bitcoin will get a bulk of the headlines, the reality is that Bitcoin is doing fairly well, all things considered. Ethereum, of course, will follow that despite the fact that interest rates are extraordinarily high in the United States. It looks like Bitcoin still has a decent base of believers.
Institutional flows into the ETFs that circulate in the Bitcoin markets show that Wall Street is willing to go back to Bitcoin now. Really, at this point in time, it’s all about risk appetite. If we get more of a risk appetite-based system going in the markets again, I think Bitcoin has a real shot and by extension, so does Ethereum.
Market Outlook and Technical Support
Ethereum sitting on the 50-day EMA with reasonable volume, despite the fact that the whole world is chaotic, is a sign that there is a place in the future for Ethereum. $2500 is my target. We will probably take our time getting there. I don’t think that’s an easy move, but I think eventually we do test it again.
The 200-day EMA is currently just about the $2600 level. I imagine the two will converge somewhat, being price and the 200-day EMA. Even if we break down below the 50-day EMA, I think it’s pretty obvious here that Ethereum has a pretty hard floor right around the $2000 level.
But if we can get interest rates to drop in the United States meaningfully, that should help most assets, and Ethereum won’t be any different.