Ethereum (ETH) Recoil From $230, Poised For A 10-Year Rally

Dalmas Ngetich

1 year ago

2 mins read

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Ethereum (ETH) stable
Darma confident, expects ETH to rally

Sellers may be ahead after this week’s drawdown, but that is unnerving to Darma. The hedge fund founders are optimistic, expecting a 10-year ETH bull run. At the time of writing, ETH is edgy, snapping back to trend and stabilizing in the last day.

Ethereum Price Analysis

Fundamentals

The bear market of 2018 damaged portfolios. Prices freely fell, and many projects folded as a result. Thirteen months later, there is a ray of hope for Ethereum and its native currency, Ether. There is sufficient evidence linking the last crypto rally and Ethereum.

From this pioneering and smart contracting platform, many projects crowdfunded, raising capital to execute their plans. However, it was after China’s intervention and consequent assault by regulators that cracks began to form. The result was a devastating death spiral that saw ETH shed 94 percent from 2017-8 peaks. By mid-Dec 2018, ETH had tanked from $1,500 to lows of $75. In short, Ether was shredded.

Nonetheless, an array of supportive fundamentals, on-chain development, and the expectation of Ethereum 2.0 plus shifting stands from regulators could be behind investor optimism. Darma Capital, a $100 million hedge fund, is overtly bullish on ETH.

While speaking to Bloomberg, Darma Capital’s founders said they expect ETH to break loose in a 10-year rally. Andrew Keys went on to say that there are “acquiring what they consider a new asset class,” and they are “10 years long” on ETH.

Candlestick Arrangement

Aligning with Darma’s overview, Ethereum (ETH) is shaking off sellers. The coin is stabilizing after losses of early this week. Regardless, sellers have the upper hand from an effort versus result perspective.

From the chart, notice that bears not only forced prices below the middle Bollinger Band (BB) but did confirm the three-bar bear pattern by close of May 30th bar. Compared to others, the wide-ranging candlestick had high trade volumes further correcting the overvaluation of May 16th.

Even so, bulls are in control thanks to the revival of May. However, the best approach in days ahead is to wait for a close above $290. If not, and as laid out before, prices drop below $230, ETH could spiral to the $170 to $190 zone in a retest.

Technical Indicators

Even as ETH recoil, sellers have an advantage. Leading this trade plan is May 30th candlestick. It is broad with high trading volumes of 410k.

Trend confirmation or cancellation depends on participation levels of the breakout bar above $290 and $230. If ETH blasts above $300 with increasing volumes exceeding 410k, traders can confidently buy the dips. Conversely, losses below $230 with similar volumes could catalyze a selloff to $170.

Chart courtesy of Trading View. Image Courtesy of Shutterstock

Dalmas Ngetich

Dalmas, a seasoned crypto reporter, brings a unique perspective to the industry. His specialization in NFTs, blockchain, DeFi, and blockchain news for NewsBTC, combined with a background in mechanical engineering and over a decade of experience in journalism, has allowed him to craft over 10,000 news and feature articles over the past eight years. His diverse range of topics, including technology, Forex, and finance, reflects his comprehensive understanding of the crypto landscape.

His technical expertise and analytical skills have been recognized and featured by leading news outlets such as Investing.com, CoinTelegraph, Entrepreneur, Forbes, and other authority sites. Notably, he broke key news, including the Ripple and MoneyGram partnership, cementing his position as a thought leader in crypto.
The news exploded. Over 100,000 people devoured this meticulously crafted report, from seasoned investors to curious newcomers. His analysis wasn't just dry facts and figures; it crackled with insight, dissecting the implications of the partnership and its potential impact on the future of finance.

His deep understanding of the financial markets, technological advancements, and blockchain developments has made him a respected voice in the industry.

Dalmas is also the founder of BTC-Pulse, a crypto news site, further demonstrating his commitment to the field. He firmly believes that DeFi and NFTs are here to stay and will continue to drive financial inclusion.

Coming from Nairobi, Kenya, it is easy to see the source of his inspiration: Across Africa, millions lack access to traditional banks. Remote villages, limited documentation, and high minimum balances create insurmountable barriers.

DeFi, not just Maker or Aave, for example, but think of Bitcoin and USDT, cuts out the middleman. Forget banks with their limitations.
Even so, DeFi isn't a magic solution. The continent still struggles with reliable internet access, and educational campaigns highlighting the benefits of this wonderful solution are insufficient. Moreover, even for those interested, understanding DeFi can look like learning a new language.

Dalmas is here to help make the tech easy to understand and digestible, even for beginners.
The story of DeFi in Africa is still being written. Challenges abound, but the promise of a more inclusive financial future is a powerful motivator. With innovation and collaboration, Dalmas firmly believes that DeFi could become the key to unlocking Africa's full economic potential.
This possibility and its immense value motivate Dalmas to continue breaking key DeFi innovations and more across the globe. His engineering background further enhances his ability to deliver well-thought-out pieces that blend technical insight with clear, impactful reporting.

Beyond his professional achievements, Dalmas is deeply passionate about technology and politics. Policies drive adoption, and being at the forefront and keeping up with how they evolve is crucial for the sphere to mature.

When Dalmas is not closely monitoring the latest crypto events, he can be found in nature, exploring the picturesque countryside, and traveling with his family and friends. His love for adventure and discovery perfectly complements his investigative and reporting skills.
You can connect with Dalmas on X: @Dalmas_Ngetich, or contact him on Telegram @Dalmas_Ngetich.