Ether Price Analysis: Price Movement Shows Strong Market Value

By Bitcoin Schmitcoin

Ether Price Analysis

What the heck is happening in the crypto world? Is Ethereum finally dead? Is ETH taking its last breaths?

Not likey. In fact, the recent pullback on the ETH-USD market is probably one of the best and healthiest things investors and traders could have asked for. Given ether’s 300% price rise in just over a month, this pullback has a left many traders and investors bullish on the ETH-USD market.

On a macro-scale, we can see ETH-USD had a very nice, textbook market correction along the 50% Fibonacci Retracement Line (shown in brown). This test of the 50% line was immediately rejected and is illustrated by the massive spike in volume (shown in blue).

For healthy, growing markets 50% retracements are a very common occurrence, and the market response to the retracement can be viewed as a sort of litmus test for the strength of a market (i.e. a positive rejection of the 50% line with upward price action tends to indicate the market still desires higher prices, and a negative move from the 50% line will typically indicate the market is still extended and thus overvalued).

ETHUSD Macro View.png

Figure 1: ETHUSD, GDAX, 12HR …read more

Source: http://bitcoinmagazine.com/