Alright, for once I’m going to post a short analysis. Just wanted to post a chart with these crazy lines I’ve been looking at. As I’ve been saying in my updates, I’ve been seeing some warning signs that we could be in for another leg down soon. Looking at this chart, you can see we have a GIANT diagonal resistance from the peak to very near the current price. I think it has validity, based on how price has behaved every time it’s touched it (we are now close to our 4th near touch). I’m using the Bitfinex chart here because even that crazy Tether fiasco pumped it EXACTLY to that line. If we somehow manage to get above it soon, we still have the other triangle resistances to contend with.
This is not really a trade setup, although it does show an immediate target of 2K, or another 50% decline in price from here. I function better as an analyst, rather than a trader myself. I can analyze more objectively that way, even when I do provide trade setups. In any case, this is just to post some lines, and to see how price reacts to them in the future. The fact that the big line from the has served as a selling point, makes it seem to me that the selling is controlled by computers. These computers may have calculated that the target price is close to zero, which means they will keep selling at that exact point. Obviously, this sounds a little crazy, I know. But this would explain why even human bullishness hasn’t been able to save the market so far. If someone programs a computer to make the most amount of money possible, it could conceivably get stuck in this sort of loop. Sounds like SciFi. It’s probably the fiction writer in me coming out.
In any case, a 4th failure at that line would be a very bad sign. ETH has already failed at a major resistance that it hadn’t touched since JULY! That’s nuts. This was longer than I originally intended.
Definitely not financial advice. This is what i’m seeing in the charts, and I’m just putting it here for reference, or if anyone else finds it useful for some reason.
Good night & good luck!
-Victor Cobra
Published at Mon, 07 Jan 2019 23:05:10 +0000
