Ethereum Posts Massive Losses as Likelihood of a Recovery Decreases
Ethereum has been one of the worst-performing major altcoins throughout the past few days, with the cryptocurrency plunging from weekly highs of $490 to lows of $330 that were set earlier today.
The cryptocurrency now appears to be at risk of seeing even further downside, as it lost the support it was attempting to establish at $350 and is currently in the process of sliding lower.
If it breaks below its recent lows of $330, the crypto may soon see a massive influx of selling pressure that sends it reeling to fresh multi-week lows.
Analysts believe that this is a growing possibility, as the recovery that the cryptocurrency attempted to conduct earlier this morning proved to be short-lived and followed by a continuation of its downtrend.
One trader is even targeting a near-term movement to the sub-$300 region, which would strike a heavy blow to the cryptocurrency’s outlook.
At the time of writing, Ethereum is trading down over 12% at its current price of $340, which is around where it has been trading throughout the past few hours.
Earlier today, the crypto dived as low as $330 before seeing an influx of buying pressure that allowed it to surge up to highs of $360.
The resistance at this price level proved to be insurmountable, with the rejection here sparking another bout of selling pressure that has since led its price down towards its recent lows.
One trader believes that this will cause the cryptocurrency to set fresh multi-month lows in the sub-$300 region.
“Just woke up and took a look at the charts. Sub $300 ETH likely on the cards, even if just for a quick wick,” he said.
One analyst explained that Ethereum is now approaching a technically significant level, with a potential dip to $320 potentially catalyzing a sharp rebound up towards $400.
“One of the massive levels of ETH is coming up. If you want to catch a long, that’s one of those zones. First bounce area towards the $400 zone. ETH is one of the coins you’d want to hold for the coming years. The lower, the better,” he explained.
Image Courtesy of Crypto Michael. Chart via TradingView.
Bitcoin may also play a role in Ethereum’s upcoming price action, as any dip below $10,000 may cause the aggregated market to see some serious downside in the near-term.
Delisting Risk Amplified – news.kuaidiantou.vip
Beleaguered Ethereum Classic (ETC) blockchain suffered yet another 51% attack on August 29. The latest attack caused the reorganization of over 7,000 blocks and this corresponds to approximately two days of mining. At the time of reporting, it was not clear if there had been any double-spending as was the case in the last attack. In that attack, it was reported that the Okex exchange suffered a loss of $5.6 million directly as a result.
A statement revealing the attack adds that “all lost blocks will be removed from the immature balance and we will check all payouts for dropped transactions.”
Meanwhile, in their initial comments on the latest attack, developers working on ETC are attributing ongoing attacks to the network’s known vulnerabilities.
“ETC is ~3% of the overall ETH network hash rate. We are well aware of potential repeated attacks while solutions such as “reorg caps” and the subsequent ECIPs are being tested and evaluated. If you haven’t already please increase (which most have) please raise confs above ~10K,” reads a Twitter statement from the main ETC team.
Furthermore, the statement urges miners, exchanges, and other service providers to keep “confirmation requirements levels well above 7k for now.”
Meanwhile, the timing of the latest attack is certain to raise eyebrows. The latest network attack, which is the third time this has happened in a month, occurred shortly after some community members had announced the addition of two new Ethereum Classic Improvements Proposals (ECIP).
Proposed by Input-OutputHK, the first ECIP introduces a checkpoint system to prevent the possibility of another attack while the second one proposes a decentralized treasury.
However, following the last attack, the ETC community had been split on the way forward and particularly over the second proposal. After heated exchanges, it appears the Charles Hoskinson’s camp, which favors the controversial proposition, has prevailed.
Interestingly, however, news of the latest attack appears to have had a little effect on the ETC price. At the time of writing, the ETC traded at $6.71 marginally down from the $6.74 at around the time the breach was discovered.
Still, there is a real possibility that some exchanges will delist the token following this attack. Okex has already stated that it will “consider delisting ETC, pending the results of the Ethereum Classic community’s work to improve the security of its chain.” The latest attack might now force the exchange to act on the threat.
Do you think the ETC community is doing enough to stop these attacks? Share your thoughts in the comments section.
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
EOS, Maker, Ethereum Price Analysis: 05 September
When Bitcoin dropped in value from $12,000 to $10,200 a few days ago, so did most of the crypto-market. Over a longer timeframe, however, it is likely that what BTC is noting is only a retracement in its bull run. That being said, the drop in question did take many traders by surprise. Further, while Ethereum fell below the $400-level, EOS continued to register gains on the charts. Finally, Maker was facing significant resistance in its attempt to note an upside move.
Ethereum fell from near $490 to $370 in the space of just four days, falling almost as quickly as it did when it surged towards $500. The VPVR showed that the Point of Control was at $389, while the nearest support level lay at $375.
If ETH traded above $390, it could eye the next level at $405. However, ETH might continue to trade in the high 300s in the coming days and might not ascend a lot following the recent depreciation on the charts.
Finally, the Awesome Oscillator showed that momentum remained strongly in favor of the bears.
EOS rose above the down trendline (yellow) to rise as high as $3.50, before falling with the rest of the market. The crypto’s price found support at the trendline, and ascended levels $2.78 and $3 with momentum, something represented by the above average trading volume.
The Aroon Oscillator showed a crossover of the Aroon Up above Aroon Down, a development that underlined the uptrend in the market. However, the same had reversed itself at press time, and the next few trading sessions will show what kind of movement is in store for EOS.
At the time of writing, EOS looked very likely to re-test its support level at $3, with the crypto also likely to test its resistance level at $3.35.
MKR could not hold on to its $685-resistance level, after flipping it for a brief moment before falling beneath the same. At press time, MKR was trading below its resistance at the $600-zone.
At the same time, the RSI was showing a reading of 43, a neutral reading that indicated possible bearishness in the short-term for MKR.
MKR had the $600-zone, its 50 SMA (yellow), 100 SMA (pink), and the $682-level as significant resistances above the price it was trading at.