Bitcoin’s recent turbulence has spilled over into the aggregated crypto markets, leading most major cryptocurrencies to form a close correlation with its price action – which has proven to be highly bearish for Ethereum (ETH) and other major altcoins.
In spite of this near-term bearishness, analysts are noting that Ethereum may be attempting to form a long-term bottom against its BTC trading pair, which could mean that it will begin finding some upwards momentum in the near-term.
Ethereum Plummets Towards $140 Amidst Early-Morning Sell-Off
At the time of writing, Ethereum is trading down over 4% at its current price of $146.00, which marks a massive sell-off from its weekly highs of nearly $180.
Ethereum’s bearishness in recent times came about after it attempted to break above $190 on multiple occasions, which ultimately proved to be futile and helped perpetuate its downwards momentum.
This bearish momentum was further perpetuated by Bitcoin’s recent downtrend, which began when it failed to find enough buying pressure to maintain the upwards momentum that sent it from lows of $7,300 to highs of $10,600.
ETH has been able to find strong support at $144 over the past 24-hours, which may signal that this is a near-term support level that will help bolster its near-term price action.
The Cryptomist, a popular cryptocurrency analyst on Twitter, explained in a recent tweet that she believes Ethereum may drop to the $120 region before it finds enough support to begin climbing higher.
“$ETH Descending triangle is completed! This pennant typically breaks down as displayed. I think we could see $126-$130 region,” she explained in a recent tweet.
Descending triangle is completed!
This pennant typically breaks down as displayedI think we could see $126-$130 region pic.twitter.com/IGmrsifGmY
— The Cryptomist (@TheCryptomist) November 22, 2019
Is ETH Attempting to Form a Bottom Against BTC?
Jonny Moe, another prominent cryptocurrency analyst on Twitter, explained in a recent tweet that he believes ETH is currently showing some signs of forming a mid-term bottom against its Bitcoin trading pair, in spite of The Cryptomist’s bearish assessment of the cryptocurrency.
“Possible bottoming attempt on $ETH on the $ETHBTC pair. Interested to see how this plays out,” he explained while pointing to the chart seen within the below tweet.
Possible bottoming attempt on $ETH on the $ETHBTC pair. Interested to see how this plays out. pic.twitter.com/mElLsLqrxE
— Jonny Moe (@JonnyMoeTrades) November 23, 2019
It is probable that Bitcoin’s near-term price action will have an impact on Ethereum’s price action, as any massive downwards movement will likely lead ETH and other major altcoins to concurrently plummet lower.
Featured image from Shutterstock.
