Home Latest News Ethereum price paints ugly picture on chart of what is to come...

Ethereum price paints ugly picture on chart of what is to come – FXStreet

Filip Lagaart Filip Lagaart

Ethereum (ETH) price action has been in the crosshairs since Wednesday after claims that crypto platform Genesis blocked any payouts and repayments of funds. It might be the next domino in the wake of the FTX meltdown from last week.
Several other platforms are moving to similar actions, foremost of which is even the Winklevoss-backed platform Gemini delaying withdrawals on its lending program. Again, the alarm bells are flashing for cryptocurrencies, and the price action perfectly translates that sentiment.
Ethereum price is down 1% for the day in early European trading as specifically cryptocurrencies are battered yet again on overnight news that crypto provider Genesis is halting withdrawals. To make matters worse, even the famous and well-known Winklevoss twins, known for their leading role in Bitcoin and Facebook, have cut the withdrawals from their lending program in service provider Gemini. This could spell trouble ahead as the market cap of Gemini is much bigger than FTX. 
ETH price action technically is in an area that fits the current narrative in cryptocurrencies. The drop of 2.88% on Wednesday made ETH price close below the red descending trend line. Bulls have been trying, but the rejection came in hard and pushed price action down 1%, with the risk of more declines toward $1,050 and a possible testing of the low from November.
ETH/USD daily chart
ETH/USD daily chart
Should the Genesis situation be contained and simply amount to a forgetable little fallout in the aftermath of the FTX debacle, expect to see a push back up to the low of February 1, 2021, at $1,243.89. Next, a fourth test at the monthly S1 support level will come into play. Should bulls be able to take that out and break above it, expect to see some follow-through in ETH price action toward $1,350.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Join Telegram
Join Telegram
Solana (SOL) price remains trapped within a bearish technical and could continue south unless bullish momentum returns to the market. The situation could have been worse if not for the blocks imposed by the court when it allowed the liquidation of FTX exchange's $3.6 billion crypto.
Hifi Finance (HIFI) price slumped after a remarkable seven-day rally, which was much-awaited by token holders after a long-standing consolidation. The rise and fall came while Bitcoin (BTC) price remains lull, with the broader market craving for impulse. 
Brad Garlinghouse says XRP could be the next Bitcoin if “we solve a multi-trillion-dollar problem. The CEO says Ripple has been working with regulators and regulated institutions like banks all along where there is regulatory clarity. 
FTX claims portal has resumed operation after accounts were affected by a cybersecurity incident in August. The attack targeted Kroll, the third-party agent leading the creditor claims for the FTX bankruptcy. No FTX accounts were affected by the incident and freezing was done merely for precaution.
Bitcoin price remains unfazed by the US CPI announcement on September 13 and continues to move in a range. The weekly chart, however, shows a potential short-term recovery rally that could set the stage for a steep correction.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer.
Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.
Opinions expressed at FXStreet are those of the individual authors and do not necessarily represent the opinion of FXStreet or its management. FXStreet has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: errors and omissions may occur. Any opinions, news, research, analyses, prices or other information contained on this website, by FXStreet, its employees, clients or contributors, is provided as general market commentary and does not constitute investment advice. FXStreet will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.