The recent DeFi fiasco caused a lot of damage throughout the crypto market. Despite the somewhat sideways trend that is happening to most cryptocurrencies, Ethereum holders are very uncertain of what might happen. This is not only due to the recent market crash and the negative sentiment in the DeFi space, but also because of the Ethereum Improvement Protocols that are currently in the making. Ether prices are currently nearing a very strong support area. Should traders Buy Ether today or await further price adjustments?
Ethereum Price Analysis – No Comeback in sight, YET
After the recent crash, it seems that Ether’s price managed to rebound from a low price of USD 1,730 all the way to reach USD 2,910. This price hike failed to materialize for an extended period, as prices couldn’t continue on this uptrend. In figure 1, we can clearly see how Ether’s price failed to continue on its uptrend. Prices are still sinking and making lower highs. This worries most Ethereum investors, as breaking the USD 2,000 price lower shows a definite downtrend towards USD 1,700 again. The definite comeback would be a break in the USD 3,000 price upwards.
Ethereum Price Prediction – Should you BUY Ether Today?
Since Ether’s price is nearing a very strong support area, most traders can definitely see a buying opportunity. We basically have two types of trade setups, with similar downsides:
- Short-term trade: This is where you open a trade for a day or a week maximum. Your target would be making between 5-10% returns while keeping a minimal drawback
- Long-term trade: Long-term traders tend to skip the nitty-gritty part of waiting for prices to exactly hit the support area, and don’t mind buying today in the middle of a correction.
For short-term traders, it is advisable to wait for a better price to buy, specifically around USD 2,000. Figure 2 clearly shows a further adjustment in the making downwards. A sensible stop-loss would be around USD 1,750, as prices reached this area when the previous crash happened.
For long-term traders, you might not really care for a USD 200 difference in the buy price, and that’s totally fine. But putting a stop-loss is definitely your duty, as you might want to pick-up better prices if they continue to fall downwards. Even if you feel that prices WILL DEFINITELY rebound back up, do place your stop-loss level.
The Crypto Market at a Glance
In the past 24 hours, the crypto market witnessed a red day. The is mostly due to the fiasco that happened to Iron Finance in the DeFi space. The crypto market is down by 5.46% in tandem with Bitcoin prices that lost also around 5.88%. All cryptos are in the red with the exception of Theta Fuel (TFUEL) which is up by 5.88%.
1- Bitcoin (BTC) : – 5.88 %
2- Ether (ETH) : – 6.44 %
3- Tether (USDT) : 0 %
4- Binance Coin (BNB): – 4.56 %
5- Cardano (ADA) : – 4.66 %
6- Dogecoin (DOGE) : – 5.63 %
7- Ripple (XRP) : – 5.53 %
8- USD Coin (USDC) : + 0 %
9- Polkadot (DOT): – 7.88 %
10- Uniswap (UNI) : – 8.08 %
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Rudy Fares
