Ethereum markets fell during the trading session on Wednesday again, as we continue to see crypto currencies break apart. The last couple of days have been very difficult for Ethereum as it has been for other crypto currencies, and quite frankly although I think we could get a bit of a bounce from here, it’s likely we continue to go lower.
Ethereum markets broke down significantly over the last couple of days, reaching down to the $610 level. If we can rally from here, it’s likely that we will see selling pressure rather shortly, and I anticipate that somewhere around the $650 level the sellers will return. Alternately, if we can break down below the $600 level it’s likely that this market will break apart and go much lower. I believe that the US dollar will continue to strengthen through the majority of the summer months, and that of course will have a negative influence on this market.
Ethereum markets broke down rather significantly during the trading session against the Euro as well, as one would expect. The €520 level has offered short-term support, but I think it’s only a matter time before we find sellers on a bounce. I believe that the €550 level will be rather resistive above, and I think that any type of exhaustion in that region will get sellers involved in the market, and start pushing much lower. I believe that if we can break above the €550 level, then we could get a more significant rally, but I look at several levels above as being problematic, with the initial one after the €550 level being the €575 level. Ultimately, I think that the overall attitude for crypto currencies is lower. Cryptos are to be sold, and not bought.