Ethereum: USD/ETH (ETH=) Sees Bullish Signs from Accumulation

Ethereum (ETH) established itself at $232.07, avoiding the fate of sinking again below $200. Now, there are more signals of activity, as large-scale wallets show signs of accumulation. Based on Santiment analysis, the accumulation of ETH may be an indirect indicator of price moves.

ETH is much more than a base pair currency and a speculative bid. Its network is still instrumental in decentralized finance (DeFi), and gaming apps or other entities still need ETH for gas fees.

ETH trading also remains relatively high, with volumes above $17 billion in 24 hours. The coin’s transaction count increased slightly in the past weeks, also coinciding with a spike in mining activity. Despite the recent slide from $280, ETH looks well-established as one of the drivers of cryptocurrency growth.

The accumulation in top wallets also recalled the fact that the PlusToken scheme and other whales may put downward pressure on the price by selling. Currently, Bitfinex has the single largest ETH wallet, while DeFi and wrapped ETH lines up second. Within the top 10 is also one of the PlusToken wallets, with nearly 800,000 ETH. The EthDev wallet containing more than 593,000 coins, is still untouched. The potential for proof-of-stake is also an incentive to hold onto coins.

Technical Indicators

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

The projected upper bound is: 263.07.

The projected lower bound is: 198.95.

The projected closing price is: 231.01.

Candlesticks



A black body occurred (because prices closed lower than they opened).

During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 26 white candles and 24 black candles for a net of 2 white candles.

A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.

Momentum Indicators



Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 69.8167. This is not an overbought or oversold reading. The last signal was a buy 7 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 49.12. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 16 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -32. This is not a topping or bottoming area. The last signal was a buy 4 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 15 period(s) ago.

Rex Takasugi – TD Profile



FOREX ETH= closed down -2.190 at 229.680. Volume was 89% below average (consolidating) and Bollinger Bands were 43% wider than normal.

Open High Low Close Volume___

231.560 231.630 226.630 229.680 18,332

Technical Outlook

Short Term: Neutral

Intermediate Term: Bearish

Long Term: Bullish

Moving Averages: 10-period 50-period 200-period

Close: 225.66 216.28 179.14

Volatility: 93 87 76

Volume: 317,676 240,497 109,666

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX ETH= is currently 28.2% above its 200-period moving average and is in an downward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of ETH= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on ETH= and have had this outlook for the last 6 periods.