Investment idea: Buying Ethereum

Investment idea: Buying Ethereum

Author: Robert Strickland

Investment idea: Buying Ethereum
A popular analyst at TradingView Trade_lab evaluated the cryptocurrency's prospects and told if it will continue to grow

Since the beginning of this year, the stock exchanges are dominated by optimistic sentiment, the cryptocurrency market is no exception. One of the reasons for the renewed demand for risky assets is the decline in inflation in the U.S. and as a consequence, market participants expect the imminent end of tight monetary policy.

In this regard, we single out buying Ethereum as one of the most interesting ideas on the cryptocurrency market.

The price of ETH/USDT is close to the important resistance level of $1680, which it hasn't been able to break since last fall. In case of its breakdown upwards, there will quite likely be a situation, which is called "short squeeze" in traders' slang - a fast rise in price due to closing of excessively opened short positions. In case this scenario comes true, the nearest reference point for the growth is the range of $2,000-$2,200 for ETH/USDT.

For the past few months there is a wide range for ETH/BTC, where the price is at its lower boundary at the moment. An upward reversal would serve as a definite driver for Ethereum.

Trade Plan:
Buy ETH/USDT on an upside breakout of $1,700
Risk of 3% of capital for a deal
Stop loss $1 500
Take profit $2 200


Other news

Not only ETFs. How retail traders influenced the growth of the crypto market
Shift in Interest. What will happen with Bitcoin in the upcoming week
Bitcoin is growing without mass hype. When everyone starts talking about cryptocurrency
Traders in options are betting on Bitcoin to rise above $65,000.
How Bitcoin Halving Will Affect Its Price. Key Points from the Grayscale Report
Bitcoin has returned to growth and reached $45,000. What's next?