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The past performance of any digital token is not a guarantee
that future results will present themselves in the same way. However, when history repeats itself
it often becomes difficult
ignore what these price positions imply. This
it is easily the case with the Ethereum price table (ETH). The price of Ether
(Ethereum's native cryptocurrency) is
starting to imitate the Bitcoin price structure of 4 years ago.
Price Ethereum (ETH) today – ETH / USD
The ether that mimics the bearish bottom of Bitcoin since 2015
An analysis of the price movement of Ethereum since September
last year indicates that the price action
of the second largest digital currency by market value has imitated the
structure of the Bitcoin bearish fund (BTC) market starting from 2015. In
technical analysis and trading of cryptocurrency, a situation in which a similar o
the repetitive structure of the market is known as fractals, which are actually similar to recurrent patterns in art,
mathematics and nature.
Normally two emotions
including fear and greed are the protocols that drive cryptocurrency prices.
Thus, the behavior of repeated investors that
continues to provide similar results may not be far-fetched, particularly when such emotions create fractals
in the digital goods market.
BTC / USD vs ETH / BTC
Similarities
The comparison chart shows the disturbing fractal that it indicates
The fund of BTC starting from 2015 is repeated on the ETH / BTC chart. However, the price
the action of both charts is closely related
identical only with some differences.
As noted, going
from left to right, both digital resources have formed a "V" background,
which is followed by a minor rally before a subsequent breaking down of the
trendline. After the breakdown of the trend line,
both markets suffered an anomalous period of low volatility. Boring market periods
it should never be short because of periods
how this was found when the markets accumulate energy first
moving forward significantly.
Larger players typically tend to lose interest when the
the markets are boring, leaving only minors
retail traders who, in large part, favor long positions on short-term and in
transforming a market that will favor the
bulls. After the boring market, both tokens
produced a minor rally, followed by a sale, as shown by the
curved lines down blue on both charts. Both activities quickly rebounded
forming a curved bottom fashion and driving the price action to a "V"
above, followed by the bullish continuation of the former rebound.
What are the differences?
The similarities are surprising, but there are differences
between both parties could have an impact on how the fractal will actually develop. According to Richard D.
Wyckoff a legend of the stock market, price charts generally comply with the law of
"Cause and effect". It means that the longer this trend remains on the side (the cause), the stronger and longer lasting the next
the model will be (the effect) that another reason why shorting a boring market could be a risky proposition.
In this context, the
The present activity is essential because the cause of Bitcoin 2015 (BTC)
the fund lasted for almost a year. While that of Ethereum (ETH) has just finished
three months, considering this, it is
sure to say that a long-term upward movement would not be likely if ETH / BTC
continues to advance because the cause is noticeably smaller than that
of BTC even if a bullish effect is still valid
one chance. Perhaps one that will be more proportional to the 3-month cause in the case of Ethereum.
reported
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