Sirwin
Sirwin

ETH Waiting for Bitcoin to Move First? (3/11/21 Forecast)

By Biz Wisdom | Crypto Daily FX | 11 Mar 2021


Ethereum was flat on Wednesday, rallying early to a new local high before pulling back to about the open, closing the day down just a hair around $1,790. This is a neutral Doji candle that is more indicative of Bitcoin strength as opposed to Ethereum weakness, as ETH held its ground in the USD chart but retreated a bit in satoshis. 

291bb020b1550df54db7ab4bf78601bf7120536aea88f208ef7bed824e10bca8.png

(March 11, 2020 9:30 PM EST)

Short-Term:

ETH has formed a nice V-shaped recovery and is only $200 off the January highs of ~$2,050. If ETH continues to grind higher, it'll face resistance at $2,000 where it'll either break higher or get rejected and consolidate lower, possibly testing support around $1,600 which looks to be new higher support. If ETH breaks above $2,000, then we could see a quick move to $2,500 or even $3,000. ETH's chart eerily resembles Bitcoin's in early 2017 when the asset finally broke back above $1,000 after a multi-year drawdown and initiated a period of rapid price discovery higher into previously unseen price territory. 

Long-Term:

ETH is projected to outperform its 2020 performance, which was ~450%. Accordingly, this equals a minimum price target of >$3,000 ETH by EOY 2021. Below you'll see what the ETH/BTC ratio suggests where ETH's price could peak at during this cycle, but if ETH even somewhat tracks BTC's 2017 cycle, then we could potentially see a blowoff top sending ETH upward of $10K or even $20K, especially with the rampant fiat money-printing regime that just passed another $1.9 trillion stimulus round. 

ETH/BTC:

ETH fell again on Wednesday, getting rejected by the 50 Day EMA early in the day and dropping to about the 0.032 level, closing the daily candle near the lows. This is a bearish candle obvious as ETH lost value against the satoshi. ETH/BTC is now just 0.01 above the all-important 0.0311 200 Day EMA and 0.03 levels. These support levels should offer a confluence of support for ETH, though if it breaks lower, then we could see ETH pullback in price or ETH could trade sideways while Bitcoin surges. 

If ETH/BTC peaks around 0.1 or higher as it historically has done in previous crypto bull cycles, ETH is set up for a conservative 300%+ price appreciation from current levels ($5,400+).

0388feb6596a3561097437642926a6020f1dd7eeabe069619d980ffc5735f8f8.png

From my perspective, all signs indicate it's probably wise to buy ETH or earn ETH now before prices continue to ascend in dramatic throughout the rest of 2021 and further. Buying ETH under $2,000 is like buying Bitcoin under $30K; not much higher than the previous ATH, and not likely to last much longer. 

Support:

$1,600, then $1,500, then $1,400.

Resistance:

$2,000, then $2,500, then $3,000. Pay more attention to the ETH/BTC ratio for resistance levels. 

 

Please support the channel by "Tipping" this post below, or using either of these referral links.

Buy Ethereum here.

Earn Ethereum here

How do you rate this article?

3


Biz Wisdom
Biz Wisdom

Big questions. Anonymous answers.


Crypto Daily FX
Crypto Daily FX

Your Daily Support to Break Resistance.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.