The downtrends in both Ether and Dash are continuing. Both cryptos have made new lows since our update last Thursday.
Ether Downtrend Continues
Ether keeps making new lows versus BTC, trading at 0.05 BTC, down from 0.053 BTC last week. We traded as low as 0.04661 going into the bitcoin fork. People dumped everything to buy BTC in order to receive the ‘free dividend’. These money flows got sharply reversed post-fork on October 24th when prices spiked to a high of 0.05545 BTC. But these highs were quickly sold into and we are quoted near the 0.05 round figure again.
The downtrend is still in place. To end it the bulls will have to push ETH/BTC above the 0.05875 BTC level. A new rally requires a breakout above the 0.07136 BTC swing high. On the lower end, we find weak support at this month’s low of 0.04661 BTC, followed by the 0.04405 swing low. Further down we have another round level at 0.04 and the 2016 high at 0.03720 BTC. Lower still we find a strong support area consisting of the 0.03409 swing high and the 0.03383 swing lows. A clearing of this area could lead to more ETH losses.
On the longer-term charts, we have a change. The weekly chart switched from range-bound to bearish. The monthlies remain in rally mode but note that these charts may take many months to switch allegiance.
New Lows for Dash
Similarly to ETH, Dash keeps making new monthly lows versus big brother. During the past seven days, a low of 0.0442 BTC was hit, matching the lows seen back in August of this year. We are currently trading at 0.04783, down from 0.05054 last Thursday. This is a loss in value of 5.3 percent.
The 0.0442 double bottom coupled with another former swing low at 0.043 BTC now form a strong support area. A decisive break below here could open the door for larger losses in DSH/BTC. On the upside, the bulls need a break of the 0.05402 swing high to end the downtrend. A move beyond the 0.07 BTC round figure is needed for a new rally. You can see more potential support/resistance levels on our chart above.
On the longer-term charts, the picture is unchanged. Both the weeklies and the monthlies remain in an uptrend.
Start trading Bitcoin, Ethereum or Dash with cryptocurrency broker FXOpen.
FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage, 30% margin call, 0.01 lot minimum transaction size with no maximum — at your service. Open your trading account now or learn more about making your money go further with FXOpen.
*At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules respectively. They are not available for trading by Retail clients.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
