Since the last bear market in 2018/2019 ETH was gaining in dominance against Bitcoin. It is clear that ETH could show similar weakness against BTC like last bear market. Considering that a recession is highly probably, I have marked two simple scenarios:
— ETHBTC will retest the rage lows at 0.056
— If this level does not hold, we could see a retest of the 0.03...
The volatility of the S&P500 ( TVC:VIX ) is a good indicator for past crashes. If CRYPTOCAP:ETH builds a deviation and break under HKEX:1745 there is a high probability that the range lows are being retested
Bollinger Bands are squeezing, low volatility in a downwards move, bullish Divergence (RSI), and Break of falling Wedge.
Outstanding risk-to-reward ratio (>4).
Moonbeam to the Moon ;)
50 Years of $DXY . Inflation spikes historically correlate with local DXY lows.
Now we have DXY in 2022 at 30-year resistance - Things could get very spicy soon. Of course, I'm watching this price because of its inverse correlation to Bitcoin ... and that's a big part of why I think we could have one last rally in the markets before a possible recession sets in.
We could see an OCEAN/USD recovery:
- EMA Ribbon break on the daily
- Downward channel break
- W pattern break
- Bullish divergence on MACD and RSI
- MACD is about to turn positive
-21 day high
I am waiting for a retest of the W and EMA Ribbon breakout
1rd target - $0.59 (+16.28%)
2rd target = W target - $0.67 (+33%)
3rd target = Strong Supply and Demand...
Do you see the similarities? In the past, ETH has built a rising broadening wedge and broke it after holding over the EMA Ribbons. Could the same scenario repeat in the next months? Take care - we could see a fakeout like in March 2020. Have fun!
