Following legacy markets, Ethereum and XRP have undergone strong corrections over the past week. According to an analyst, though, the price of ETH could soon undergo a bullish recovery above $400.
This comes as analysts have affirmed that ETH’s fundamentals are more bullish than ever. These fundamentals include persistent development in decentralized finance and development in scaling solutions like ETH2.
This XRP Fractal Suggests It’s Time for an Ethereum Recovery
Ethereum is primed to move back above $400 in the near future if it is to follow the trajectory of XRP, one crypto analyst observed on September 22nd.
The analyst shared the chart below, which suggests that XRP’s price action is moving ahead of Ethereum. Should this relationship continue to play out, ETH will bounce at current prices towards and above $400, at which point it will reject.
“#XRP and #Ethereum: Something I’ve been keeping an eye on and why I’ve been looking for longs on this #ETH dip. Similar price action and levels being respected between the two charts. Lately XRP has been a little ahead of BTC and ETH on the way up and back down.”
Chart of XRP’s recent price action and ETH’s price action over the past few weeks with a fractal analysis by crypto trader NebraskanGooner (@nebraskangooner on Twitter). Chart from TradingView.com
Related Reading: Critical On-Chain Signal Predicts That Bitcoin’s Next Move Will Be Upward
Fundamentals of ETH Better Than Ever
The fundamentals of Ethereum remain better than even despite some uncertainty about ETH’s price action.
Spencer Noon, head of DTC Capital, recently remarked on the matter:
“Crypto markets are red today. But consensus among most instl investors is that this is macro driven; not crypto driven. The fundamentals for $BTC $ETH and $DEFI have actually never looked better. Some will BTFD. Others will scale in. I expect both will be rewarded handsomely.”
Crypto markets are red today. But consensus among most instl investors is that this is macro driven; not crypto driven. The fundamentals for $BTC $ETH and $DEFI have actually never looked better.
Some will BTFD. Others will scale in. I expect both will be rewarded handsomely.
— Spencer Noon (@spencernoon) September 21, 2020
In terms of pure technicals, it was recently affirmed by developers that the ETH2 upgrade remains near. Analysts think that the upgrade will dramatically bolster the viability of Ethereum, making it important that it moves forward.
Afri Schoedon, a prominent Etthereum developer, recently stated on the matter:
“The Ethereum 2.0 beacon chain will launch in November unless we find severe bugs in clients or protocol. I’m in-between Vitalk and Justin with my estimation here, I don’t think that we necessarily need to delay Ethereum 2.0 into 2021 unless we find critical issues. We are well on track for a late 2020 launch.”
There are some uncertaintites around ETH2, though, due to security concerns discussed by some in the space.
Source: Read Full Article