Ethereum (ETH) Prints a Double-Top, a Concern for Bulls
Ethereum may evolve to become ultrasound money following the London Upgrade and on course of replacing gold and BTC.
However, there are concerns for bulls reading from price action. In the weekly chart of the ETH/USDT chart, clear in CryptoAltum, there is a double top—a technical candlestick pattern interpreted by chartists to signal peaks.
For this reason, there is a section of traders who think the coin—despite solid fundamentals—could post deep losses in the medium term. As ETH/USD prices contract, the resulting correction would clear the path for $4.4k or better in the course of the year, ridding the market of speculators and 'weak hands.'
At present, technical candlestick arrangements in the daily chart seem to favor bulls. However, this is only valid provided prices hold above crucial price levels in the weekly chart. One of them is the rejection of lower lows below $3k. If sellers come on top and ETH slips below this psychological level, it will be highly likely that prices might dump towards $1.7k—the H2 2021 lows—and later $800.
This could provide more trading opportunities for traders keen on riding the trend regardless of direction. CryptoAltum traders can short at spot rates without commission or high trading fees and with high leverage of up to 500X, magnifying profits.