While many people remain worried with ETH Long/Short ratio we may be ending the consolidation period after the biggest correction since inception, almost 95% from top to bottom. The monthly USD chart supports the idea of a potential bottom formed in the last 4 months and potently followed by a strong breakout, nevertheless this may not happen yet.

The daily chart is also quite interesting and a bit Bullish considering price action with some of the following patterns. We shouldn’t forget that ETH trades below the 200Day SMA for almost 290 days (longest period trading below this MA) and sooner or later this should change.


What we need is more price action supporting this idea. Ideally we should break the blue ascending triangle testing $290 or even more, and then find support near $200. If something like this happens we may not revisit prices below 150 because the consolidation was quite extended but we can’t be sure. Anyway, this isn’t financial advice, consider this an idea with probably less than 10% chances to materialize.

Categories: Analysis