Ethereum Price Analysis (BTC/USD) August 18, 2017
Initially, Ethereum fell on Thursday but found enough support just below the $300 level to continue to go higher. We reached towards the $310 level, which is an area that had previously been supportive.
Ultimately, I look at the pullbacks as potential buying opportunities, and I think that given enough time, we will eventually break above the highs for the session, and then go looking for the $320 level, which was a recent high put in during 12 August.
I think that the $300 level should now offer a bit of support, as it is a large, round, psychologically significant number, and of course we have seen a certain amount of support underneath. I believe that given enough time, we will not only reach the $320 level, but probably much higher than that.
Buying dips still the modus-operandi
I continue to believe that buying dips will be the best way to play this market. If we did break below the $300 level, then I think we could see a bit more of a pullback, perhaps down to the $285 level.
The US dollar has been very volatile lately, and that of course influences this market. However, Ethereum certainly has enjoyed a resurgence over the last couple of sessions, and it looks like the momentum is picking up currently. I think that once we break above the $320 level, the market should go looking towards the $350 level on the longer-term.
Adding slowly on dips will be the best way to protect yourself from wild fluctuations in the market, as we have seen some erratic trading recently in all cryptocurrencies. Until we break below the $275 level, I don’t think that the sellers will be able to gain the upper hand and therefore I remain optimistic, but recognize the volatility will continue to be an issue.