Ethereum hedges the bitcoin price crash with the ETH/BTC pair hitting a 3-year high while ethereum dwarfed losses compared to the BTC 21% price drop over the weekend so let’s take a closer look at our Ethereum price news today.
Ethereum’s native token dropped alongside other crypto-assets and still didn’t deter it from reaching a three-year high against BTC as the leading crypto by market cap. The ETH/BTC exchange rate jumped over 11.50% to reach 0.0835 BTC for the first time since May 2018 with the price rally appearing in contrast to Ether’s 15% price drop against the US dollar over the weekend which appeared in the wake of a market-wide selloff which saw the BTC dropping by 21% intraday and it seems that Ethereum hedges the BTC price.
While Ether’s losses were substantial, they were milder compared to BTC in USD terms as the pair surged to a three-year high and at the same time, some analysts believed that the innovators started treating the second-largest crypto as a haven against BTC during the market crash. Crypto market analyst Crypto Birb noted:
“It seems that investors are taking ETH as a hedge here.”
The ETH/BTC price chart showed the pair retracing a little after testing the 200-period moving average. Lukas Enzersdorfer-Konrad who is the chief product at Bitpanda who noted that the ETH/BTC close was the best one in the last 45 months which means bulls had some power left for the additional run:
“Ethereum is outperforming Bitcoin by a large margin this year […] It increased its market dominance to 22%. The number of active addresses on the network continues to climb while the net issuance of ETH continues to fall which might be the main reason for its rapid rise.”
Ether showed the prospects of continuing the upward trend in the technical support pattern dubbed Ascending Triangle. The ETH/BTC pair broke out of the Ascending Triangle range to the upside that was accompanied by the slight increase in the trading volume so in a perfect world the move on the upside should stretch until it reaches levels at a length equal to the maximum distance between the Triangle upper and lower trendlines when measured from the breaking point. In the perfect world, the pair’s move upside will stretch the levels so as shown in the chart above, the Triangle’s upside target from a breakout point close to 0.077 BTC puts the profit target near 0.1 BTC.
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