The crypto market closed the trading day bearish as the Ethereum price led the Altcoin dump, crashing more than 10% in less than 24 hours.
This crash was caused after the Ethereum price failed to hold the converging pattern support we talked about in our previous End of Day Analysis ETH To $3,412! Watch This Coming 7% Rally.
But does this bearish crash mean the end of the Ethereum and Altcoin rally or can we expect to see the price find support and bounce back up soon?
In this Altcoin analysis, we will be talking about the key levels we are watching as well as our bias for the Etherem and Altcoin markets in the coming days.
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Has The Ethereum Bull Run Ended?
While the Ethereum price might have broken through a key pattern, it is important to understand that the price is still trading above a key support level.
This support is very important for the Ethererum bulls as it can have a big influence on whether the Ethereum price will continue to sell-off or find support, reverse, and rally higher in the coming days.
This support is the $2,836 price level on the 15 minutes timeframe. We talked about this $2,836 horizontal support in detail in our bearish prediction for ETH Warning: Watch This Key Resistance Forming On ETH. Price Dump?
This support has held prices up on numerous occasions and might do so again soon. As far as the Ethereum price continues to trade above this key support, we can expect to see this Altcoin dump end soon.
Ethereum Bullish Prediction
For the Ethereum bullish prediction, we want to see the price respect and find support at the $2,836 price region. If this level holds, we can expect to see bullish momentum come back into the market and push the Altcoin price higher.
So no matter what Ethereum does in the coming days, we will remain bullish on the Altcoin as far as the price continues to trade above that horizontal support in the 15 minutes timeframe.
A break of this support however spells doom for the altcoin bulls and points to a deeper retracement for Ethereum.
How Will This Affect Altcoins?
We saw a massive sell-off in the Altcoin market today as most altcoins continue to follow the Ethereum price closely. We can expect to see this sell-off go on as far as the ETH trend remains bearish.
But once that bearish trend ends, we can resume the bull run in the Altcoin markets again soon
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