Things may be looking up for Ethereum's native token, ether.
At the time, ETH was extremely oversold, with the 14-day relative strength index at record lows.
A corrective rally was overdue and, accordingly, ETH has created a minor double-bottom bullish reversal pattern as seen on the chart below.
What's more, ether was trading above the neckline hurdle of $418 earlier today, signaling increased odds of a corrective rally to $475. However, today's drop in bitcoin prices from $7,100 to $6,700 seems to have played a spoilsport.
ETH backed off from the daily high of $430 and is currently trading at $392. So, ether has failed to hold on to gains above the double bottom neckline.
Still, ETH is holding well above the recent low of $358 and could close above $418 if BTC regains poise.
There is always a risk of bitcoin extending losses further and the ether-U.S. dollar exchange rate chart will likely follow suit.
ETH bulls risk being trapped on the wrong side of the ETH/USD market.
Still, the ETH's oversold status could work in its favor against bitcoin - i.e. ether will likely outperform bitcoin, irrespective of any bitcoin bull/bear move.
It also means that ETH has effectively appreciated by 4 percent against bitcoin.
Relief Rally Ahead? Oversold Ether Eyes Gains Against Bitcoin
Publié le Apr 9, 2018
by Coindesk | Publié le Coinage
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