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A Crypto Trader Thinks Ethereum Could Plunge Towards $300 as Momentum Slows

Published

4 Monaten ago

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  • After Bitcoin and Ethereum attempted to surge past $12,000 and $400, respectively, the momentum has tapered off.
  • Over the past day, the leading cryptocurrencies have plunged lower despite a weakening U.S. dollar.
  • As of the time of this article’s writing, ETH is down 2.85% in the past 24 hours and now trades for $385.
  • Analysts say that Ethereum is primed to move towards $300 as last week’s highs hold as resistance.
  • The bearish sentiment can be corroborated by the trajectory of gold, which has flipped negative after a strong rally over the past two weeks.

Ethereum Could Drop Towards $300: Trader

Ethereum is preparing to drop around 20-25% towards $300 as the cryptocurrency sees multiple wicks into the ~$420 macro range high, one trader suggested on August 11th:

“$ETHUSD – 3 weekly wicks into the range highs thus far, Leaning towards a local top being formed. Looking at $300 level to long a pullback / bounce. Or flipping the range highs to get long again.”

Chart of ETH's macro price action with an analysis by trader "TraderXO" (@TraderX0X0 on Twitter). Chart from TradingView.com

The trader sharing this chart comes shortly after he noted that both Bitcoin and Ethereum are technically weak on a macro scale, despite prices consolidating near range highs:

“Im only considering 12k+ btc prices once it closes convincingly above the HTF mid range.  Until then, expecting lower prices to get back fully into bitcoin and possibly eth,” the analyst wrote discussing how ETH could move lower.

This trader isn’t the first to have discussed Ethereum retesting $300 in the weeks ahead as the bull trend stalls.

As reported by Bitcoinist previously, one trader shared this chart late last week. It shows that ETH could drop towards $300 as that would align with the “Fibonacci and horizontal confluence.”

Image

Chart of ETH's price action since the start of the year with analysis by trader "Vast" (@Cryptovast on Twitter). Chart from TradingView.com

Bitcoin Bulls May Still Be in Control

While Ethereum may look bad, Bitcoin does not look as worse for wear, say analysts. As ETH does follow Bitcoin sometimes, this may suggest that the cryptocurrency may not fall as far as some expect.

A cryptocurrency trader shared the chart below just an hour ago as of this article’s writing. He remarked that since Bitcoin bounced off the $11,300 range, it remains in a bullish short-term state. He expects this consolidation to resolve higher towards $12,000, then onto “untapped highs”:

“$BTC cleaned up some lows and finally filled the inefficiency on the move up. Fib cluster and 8H demand providing support for now. I think we march to $12k from here, untapped highs look ripe. HTF trends in tact, sitting on HTF support just below for context. #Bitcoin.”

Image

Chart of BTC's recent price action by HornHairs. Chart from TradingView.com

Bitcoin and Ethereum, though, may be influenced by macro trends that deny the bullish scenario from playing out.

Featured Image from Shutterstock
Price tags: ethusd, ethbtc
Charts from TradingView.com
A Crypto Trader Thinks Ethereum Could Plunge Towards $300 as Momentum Slows





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Ethereum

Crypto enthusiasts could make $122K per year mining Ethereum with this setup

Published

1 Stunde ago

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Dezember 29, 2020

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Simon Byrne has taken at-home crypto mining to a whole new level as he looks to capitalize on Ethereum’s (ETH) enormous price potential. 

As first reported by Anthony Garreffa, Byrne has set up an ETH mining rig consisting of 78 GeForce RTX 3080 graphics cards. Although the RTX 3080 is marketed toward high-end PC gamers, crypto miners are using these powerful specs to enhance their capabilities.

With each card using roughly 300W of power, Byrne’s setup uses 23.4KW of energy. And that doesn’t even factor in associated costs like AC. All said, his electricity bill is estimated to run up to around $2,166 per month.

The RTX 3080 launched in September at a price of $699, but supply shortages have caused the per-unit cost to swell to $1,199. At the shortage price, that’s a price tag of $93,522 for Byrne’s setup.

Still, these costs could be offset by the operation’s mining capability. One GeForce RTX 3080 graphic card has a hash rate of around 83MH/s using Ethash, which should generate roughly 0.22236870 ETH per month, according to Garreffa. All 78 cards would therefore generate 17.3 ETH per month, which is equivalent to around $12,352 at today’s prices.

Stripping away the electricity costs, that’s roughly $10,200 per month or $122,000 per year. And that’s not factoring in Ethereum’s price potential during the next bull market.

Ether’s price zipped past $700 over the weekend, the first such move since mid-2018. The return of altseason, as some have predicted, could send ETH’s price even higher over the medium term as investors cycle from Bitcoin to other large-cap cryptocurrencies.