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Ethereum continues to weaken this week, down an additional 32.21% compared to the US dollar as a mass exodus of investors, Ico and miners crush the PF market demand. Ethereum's short films on the futures market increased significantly during the past week, as financial derivatives expect a continuous slide to the value of the asset.
A constant shuffling of priorities and the lack of communication with the wider community in the last month has created a great deal of uncertainty about which direction the project is actually taking, leaving many investors looking for safer assets elsewhere.
On August 31st, Core Developers were finally able to reach a consensus and engage with EIP 1234, which will delay the 12-month difficulty bomb and reduce the ETH block premiums from 3ETH to 2ETH. The new proposed version of Casper (V2), the new algorithm of Ethereum that modifies the Proof-of-Stake algorithm, has been decidedly postponed until about 2019-2021 according to Mango Research. These decisions were not unanimous and there are still many people who opposed Casper's postponement and the reduction of the issue as a threat to community trust and network security.
Ethereum is in a hole right now, but can it return to bullish assets as it approaches the Forcella di Costantinopoli next month, or has the damage already been done? Let's see.
Immersing ourselves in the 1D ETH / USD table we can see that Ethereum has been steadily declining since May, showing little sign of returning to its previous highs. In the last 48 hours, the increase in forced sales has forced operations through the $ 200 support region, bringing ETH to the lowest prices we have seen since September 2017.
Right now the ETH is resting along the highest level of a new support region between $ 197 and $ 170, but with so many short positions on Ethereum that accumulate on top of the resource it is likely we will see it keep slipping – unless, of course, bullish whales come in to squeeze them.
Looking at the indicators on a range of 2-hour candles, we can see a series of bearish signals that support this idea:
- On the MACD, the 12MA went through forcefully on the 26th, but this is only a reflection of the recent correction now that ETH is at its new support. Both moving averages are still below the signal line and the histogram shows a decrease in momentum.
- CMF has crossed the signal line but is already starting to turn back towards it when the sales pressure resumes again.  CSR is showing a more faithful representation of price action at this time, with the line of indicators beginning to diverge bearish towards the oversold line.
- On the Ichimoku indicator, a Kumo resistance is protruding in the face of price action accompanied by a bearish T / K crossover.
Ethereum Price Target (ETH)
All price targets are set by current support at $ 197.
Target 1 price: A bearish continuation at the support level below $ 170. (-13.71%)
Target 2 price: If sentiment continues to worsen in the current trend, it is likely that we will see the resource find the support region less than $ 137 before correcting. (-30.46%)