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Ethereum May Soon Pop Higher After 30% Drop

Published

3 Monaten ago

on



  • Ethereum may be poised to move higher after dropping 30% from last month’s highs.
  • Futures data shows that investors are currently bearish on the cryptocurrency, which should lend to a potential short squeeze.

Ethereum Could Soon Surge to the Upside: Futures Trend

Crucial futures data suggests that Ethereum may soon revert to the upside, not move lower.

One crypto-asset analyst recently shared the data below, which shows the positioning of ETH futures traders on Binance. The data is from HyBlock Capital, a crypto-asset derivatives data firm.

The data shows that the aggregate Ethereum trader on Binance’s futures trading platform is currently positioned extremely bearish.

For instance, the funding rate of Binance’s ETH market is currently negative, which only takes place 3-5% of the time. The rarity of the current market conditions, the trader who shared this data explains, suggests that the cryptocurrency will soon break higher.

Countintuiviely, low funding rates are often seen in the cryptocurrency market before a move higher as short positions are more easily squeezed out.

Chart of ETH's futures positioning data shared by crypto trader Byzantine General (@Byzgeneral on Twitter). Data from crypto data and analytics firm
Hyblock Capital.

Technicals Agree With Optimistic Outlook

The technical trends agree with the optimistic outlook depicted by futures trends. As reported by Bitcoinist previously, one trader said on the outlook of Ethereum on a macro scale:

“Personally with so much uncertainty in the market it is very possible we see a $300 region retest, that said honestly HTF structure is looking great, lots of EMA support below us… In 2018/2019 the 55 EMA was consistently resistance, price now trending well above!”

Ethereum

Chart of ETH's price action over the past few years with analysis by crypto trader Crypto Cactus (@TheCryptoCactus on Twitter). 
Chart from TradingView.com

This was echoed by Logan Han, a prominent trader on Binance’s futures market.

Image

Chart of ETH's price action over the past few years with analysis by crypto trader and leading Binance analyst Logan Han (@loganhan_ on Twitter). 
Chart from TradingView.com

Referencing the chart above, commented that he thinks the cryptocurrency is currently in a good position because it has formed a falling wedge pattern, which is suggestive of an imminent break to the upside.

Featured image from Shutterstock
Price tags: ethusd, ethbtc
Charts from TradingView.com
Binance Futures Trend: Ethereum May Soon Pop Higher After 30% Drop





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Ethereum

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

Published

34 Sekunden ago

on

Dezember 29, 2020

By



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.