Ethereum Breached Crucial Resistance, Setting the Stage for a 15-20% Rally: Analyst

It has been a rock for Bitcoin, Ethereum and other top cryptocurrencies in recent days. From the monthly highs against the dollar, most digital assets have fallen by 10%.

But when measuring the performance of some cryptocurrencies against Bitcoin, some investments perform better. Ethereum is a perfect example, which has risen 10% against BTC in the past nine days.

TradingView.com chart of ETHBTC’s price action in recent weeks. The trading pair has risen about 10% in the past nine days.

Analysts say this is a precursor to performance to even greater gains, although there is still a risk of medium to long-term decline in the broader altcoin market, which would likely threaten ETH.

Ethereum is about to go against Bitcoin, analysts say

Luke “Venture Coinist” Martin – a prominent cryptocurrency and podcaster trader – suggested this week that ETHBTC will continue to rise in the coming days.

He shared the graph below, indicating that Ethereum has risen above a critical resistance level amid the recent outbreak that has led to 15-20% gains in the past:

“ETH is rising by an important level today. The previous outbreaks at this level led to a further + 15-20% in the following weeks. ”

Chart of recent months' ETH / BTC price from crypto trader Luke Martin (@VentureCoinist's handle on Twitter).

Chart of recent months’ ETHBTC price from crypto trader Luke Martin (@VentureCoinist’s handle on Twitter).

Martin’s optimism about the trading pair was echoed by Chris Burniske, a partner at Placeholder Capital who recently wrote:

“I wouldn’t want to be a short ETHBTC, either.”

The cryptocurrency could also be fundamentally supported by the news that the Winklevoss Twins – Tyler and Cameron Winklevoss – may have thrown hundreds of millions of dollars to support Ethereum. Twin Cameron said to former Bloomberg journalist Camila Russo in a recent interview:

“We certainly have a lot of ether. They are large and it is a material quantity. Yes, quite large […] A few years ago, we made a concerted effort to buy a lot of ether. ”

It is only going to be temporary

While the technicals may be in the court of Ethereum bulls, that doesn’t mean it will be better than Bitcoin forever.

Kelvin ‘Spartan Black’ Koh from The Spartan Group – a crypto asset investment company based in Hong Kong and Singapore – said recently that he is currently hesitant to believe that ETH will outperform Bitcoin due to “significant uncertainty” about the Ethereum 2.0 upgrade:

“We are closely following the ETH2.0 transition to understand the crypto-economic implications and impact on the ETH price. At some point, we can make ETH more bullish. It is a big event, but at the moment there is a lot of uncertainty. ”

Skepticism about the fundamentals of ETH as an investment was echoed by Arca’s chief investment officer, Jeff Dorman, who shared that the fact that all altcoins fell last week is a sign that “most digital assets are not needed to own”.

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