A Different View On Bitcoin and Ethereum / The Flippening Is Coming

in bitcoin •  7 years ago 

For those who follow me and have seen my previous analysis on Bitcoin and other cryptocurrencies, know that I mainly focus on the daily chart and use a fairly simple approach regarding Technical Analysis (TA), such as Moving Averages, Trend Lines, Support and Resistance levels. I have seen a lot of Technical Analysts on Steemit and almost all of them use small time frames - minutes, hours, days. So today I decided to do things a bit differently and look at Bitcoin and Ethereum charts from a different perspective - Weekly and Monthly charts.

Bitcoin

Weekly chart.PNG
Bitcoin Weekly Chart

Weekly doesn't look very optimistic. Price is between the 8 and 21-day EMA. Obvious downtrend, a very solid red bar, not much else to comment.

monthly.PNG
Bitcoin Monthly Chart

On a first glance what I see is that on a Monthly chart Bitcoin is still extented from Moving Averages, which usually means that a consolidation/correction is ahead until they catch up. (As far as I have seen in the crypto sphere, we can't make a lot of assumptions for such long periods, because we don't have enough data. It's like chart analyzing an ICO.)

In my opinion the monthly chart is still more bearish than bullish.

Ethereum

eth weeklz.PNG
Ethereum Weekly Chart

The last time I wrote something about ETH I said that it is the strongest crypto at the moment. Of course some people countered with XRP, well I guess today we won't see such comments. I can now add that Blockchain projects are the strongest in the market, EOS,NEO,ETH - every one of them is holding very well in this correction.

ETH Weekly is neutral. Kind of ranging in 1000-1400$, just waiting for bitcoin to do something spectacular.

ETH Monthly.PNG
Ethereum Monthly Chart

See a difference between BTC Monthly and ETH Monthly ? Yes ? Ok.
If you look closely at it, it's like ETH is lagging 1 month behind bitcoin. Should we expect a 40% drop from here then ? Only if BTC crashes to 5750$.

Although price is well extended from MA's, so we can expect a consolidation or a correction, so they can catch up.

Ok, if ETH holds better than BTC and ETH gains faster than BTC, isn't it logical to see a flippening soon ?

The Flippening

Basically the flippening is when Ethereum will claim the number 1 spot regarding market cap, thus flipping places with bitcoin, i.e. The Flippening. Many are expecting to see it this year - I am one of those people, ETH has so much more to offer. Big things ahead of ETH, the team is a beast, numerous quality ICO's are built on top of Ethereum, so this Monthly chart is well backed in my opinion.

Disclaimer

I am not a crypto-expert. This is only my opinion :)

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Bitcoin is the bow, altcoins ride in the wake. I believe in ETH & NEO, they both offer platforms for creativity and engineering. The market will rise again, buy the dips and HODL.
Screen Shot 2018-01-29 at 8.02.54 PM.png

Nice analysis! In one perfect world ETH would be No1 Crypto for now. But I really thing that dumb money are buying mostly BTC as it is the most popular Crypto and they hear and read about it everywhere. So may be when the next rally comes BTC will fly high again.

Dumb money already bought Btc, now they are unloading. Dumb money will come again, when the hype is high again. Thanks for your input

Interesting Analysis, I didn't think of that way. I like it :) My analysisDQmXVC6mjNeLbnHpCFeEpYUafjAfFpL1fzJ9EHw2ufDkVsX.png

Still expecting Bitcoin to fall to $8,000 -$7,500 this would be my ideal target. Trend line drawn from July 17, 2017, tested on September 15.2017, and now I'm waiting for a confirmation of the trend line which would be a bounce in the highlighted zone. Haha i've been waiting for weeks for this happens, Bitcoin at a huge discount!!!! Great Analysis i use the same the EMA's and recently switched to trading price action with Stochastic RSI for momentum confirmation.

My Ethereum analysis: Looks like another bull run
https://steemit.com/cryptocurrency/@kid-martin95/ethereum-eth-usd-ready-to-breakout

Please let me know what you think!
You got my follow! :D

It's definitely headed that way :D I am kind of more bearish, I think a 6000$ level test will be ideal ! It will be a great shakeout !

Good analysis on ETH, keeping it simple! I like it :) You also got my follow, keep it up ! :)

Cool post time to buy more not sell i definitely think this month or so will be a good one! up voted and followed i'm new to steeemit but if you get the chance please check my blog out I think you will enjoy it thanks!

Well, I hope it will be a good month ! I don't have a problem being wrong, I want to see people get rich, lol. I will definitely check your profile :) Thanks for the comment, appreciate it.

ETH or BCH, either of those two are better the BTC.. AT least ETC can handle 25+ transactions a second compared the 7 of BTc.. BTC is a dinosaur and needs to make big changes fast if it wants to hold on and survive...

It surely will have the first mover advantage. After the upgrades it will be a very good crypto to have in my opinion. The race is on and everyone is fighting for their fair share in crypto. Bitcoin is bitcoin though, I doubt it will be dumped that much :) Losing first place to ETH is fine, number 3 is ripple. Can you imagine XRP having larger market cap than BTC - that would be a big fail for the crypto-community.

true, I agree, a crypto basically owned entirely by its creators being number 1.. yes that is a fail..

The flippening will come soon, but it won't be ETH moving up, it will be EOS.

I can't wait for the main launch. It will be epic, Dan and Brendan have thought things far ahead ! I think in 2 years EOS will be at least in top 3 for sure :)

You are correct in that bitcoin will not be able to hold the top spot forever.

I also think so ! I guess the only hope for BTC hodlers is the Lightning to arrive faster. If it arrives and does what it is supposed to do, BTC will explode.

The Flippening...if you are right about it happening this year, then I need to move all my bitcoin holding into ethereum. What effects do you see the termination of mining of ethereum having on the price?

Well, the Casper hardfork will be a game-changer for sure. PoS will take ETH to the next level. I don't know if you should move your btc into ETH, you should think about it and decide based on the facts :P

Very interesting and informative post. I normally like to follow the daily chart as well. Here you see that I also like to take a very simple approach when it comes to TA. I place a lot of emphasis on fibonacci pivot points and trend lines.

Recently, Bitcoin has been in a down trend as we all know. I believe that we need to win the small battles on the smaller time frames before we can analyze the larger time frames. Check out my smaller time frame analysis here to see if the bulls or bears are winning the small battles.


Disclaimer:
At the end of the day anyone's guess is as good as the next person. It is all a game of probabilities and psychology. Do your due diligence and remain persistent. It will pay off in the end.


Goodluck and Godspeed, my friend

I will definitely check your work:) thanks for the comment

ETH is a great project, with the visionary of visionaries at the helm, and now they will have the Petro token based on the ETH network so I understand why currently it's a great coin to have invested in...but at the same time I am concerned about the scaling issues of the technology itself. If any team can solve such a serious problem it is the ETH team, but scalability is everything when we begin the adoption phase of the blockchain revolution. I feel like the market and many companies are just now understanding the value of smart contracts and their platforms, but other platforms such as NEO and decentralized apps like Steemit already outperform ETH on a transactions per second basis. ETH is currently a strongest "brand" of smart contract platforms, but how will this play out for the rest of the year? If the Flippening does happen, how long will it last when there are so many second and third generation projects that are/ speculate that they will be more efficient and scalable? What if ETH is just the BTC of smart contract platforms?

Most likely it is. EOS, Ada and other third generation projects will evetually take the lead, unless devs keep up with progress.

I agree mate. Ethereum has the advantage of early adoption for Dapplications. This is where the real value of blockchain lies.

Totally agree. Its the technology that matters.

Coins mentioned in post:

CoinPrice (USD)📈 24h📉 7d
BTCBitcoin10247.600$2.35%-10.96%
EOSEOS11.925$3.06%-17.17%
ETHEthereum1156.950$7.71%7.18%
XRPRipple1.152$3.16%-15.24%

16.95% @pushup from @ervinneb

So as your opinion, if flippening replaced Btc from its 1st place...,ETH price can move upward to over $10000 in one year? (like Btc price raised from $800 to $19000 in 2017)