Main Cryptocurrencies are starting the week with extended falls across the board after altcoins fell during the weekend
US regulator's decision on Ethereum is anxiously awaited
Altcoins broadly sold off over the weekend and that is now translating into the main Cryptocurrencies, experiencing losses across the board to start the week. BTC/USD has awakened in Europe with falls over 3.5%, while Ethereum is retracing around 6%.
ETH/USD 4H chart
Ethereum is falling heavily at the start of the European session. ETH has led the rises over the last weeks and is natural that its retracements are bigger than Bitcoin's ones.
We shouldn't forget the Ethereum-Bitcoin ratio when conducting our daily trading, as both are assets that act as base currency for hundreds of Altcoins, and choosing one or the other might heavily affect future results. Right now, ETH/BTC is resting around 0.07890, just above the bullish trendline that has guided ETH outperforming relatively BTC. You can track ETH/BTC here.
ETH/USD is trading around $732.82 after leaving a relative high at $834.16 during the weekend. Ethereum has broken below the 50-EMA and is now heading down to the $700-$720 area, with a strong support in the $680 area that should be respected to avoid going back to bearish outlook in the mid-term. On the upside, ETH/USD needs to recover the lost levels at $755, $800 before heading to new highs, mainly the aforementioned $834.16.
MACD in the Ethereum 4-hour chart shows a clearly bearish profile, nearing the mid-area of the indicator, where it will probably find its support. We should widen the time frame of the chart to gather more information about the mid-term price action.
Directional Movement Index in the same chart is confirming the weakness and sellers have taken control of the situation. D- is moving above ADX, so the move might have enough room over the time. This could change quickly depending on the decision of the US regulator about Ethereum's financial status.
BTC/USD 4H chart
Bitcoin is taking a breath in its downwards trajector
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