Ethereum price was rising steadily before and during the Byzantium fork. It even managed to touch the 350 USD level. Since then, it dropped briefly below 300 to touch a low of 287 USD. Even with this recent drop, we maintain a Bullish stance on Ethereum price, even with the recent price movement. Here is why.
First and foremost, the Chart setup
Ethereum price has been steadily making higher lows, even in its recent drop, it managed to bounce right off the diagonal dark blue support line. This shows investors and traders showed up and picked up Ether at what they believe was a decent entry.
The chart below also shows that after falling off the ascending channel, Ether price quickly found support around the dark blue line and so far, that line is holding.
But what exactly is happening with Ethereum price, and in fact, what is happening with the sector in general?
Ethereum price and the Cryptocurrency sector under pressure
This 3rd week of October was a notable one for Ethereum and Cryptocurrencies. The week was full of announcements and multiple positive catalysts for different Cryptocurrencies:
These are all important upgrades and collaborations that should boost the price and intrinsic value of these Cryptocurrencies and positively impact the sector in general.
Instead, we are mostly hearing about concerns that the sector might get crushed due to ICO bans, rumors of regulations, Russia’s Cryptoruble and that they might ban all other Cryptocurrencies. Of course, most of these concerns were shared on the usual traditional Media outlets.
For Ethereum particularly, the sell off yesterday was in part triggered by Gavin Wood’s comment of how Ethereum’s upgrade was deployed but issues could take days or even weeks to arise. We have covered these factors in details in our Ethereum price after a smooth and successful Byzantium fork.
