Ethereum Price had a stellar performance between the months of December 2017 and January 2018. Even CNBC couldn’t help but highlight the 13,000% increase in Ethereum price. Today, most Cryptocurrencies were shaken from the South Korean news and the possible Cryptocurrency trading ban in the country.
Ethereum price held strong and recorded so far a 9% drop at press time. The price was due for a healthy pull back and even a correction before resuming the uptrend as stated in our Ethereum price levels to watch in January. However, we wanted to update our readers on an important indicator that measures the strength of Ethereum’s price move: The Ethereum to Bitcoin Ratio.
We previously shared how Ethereum price could strengthen even more in 2018 and one indicator to watch is the ETH to BTC ratio. Back then, this is what the ratio looked like:
The Ratio continued on the upwards movement and as of press time, this is what the ratio looks like:
And this is why investors need to keep an eye in the next days on this ratio: It is approaching an important level at 0.10. If the ratio is rejected at that level, it could imply that we are close to a temporary Top in Ethereum price (Similar to July 2017). If not, we might be in for spectacular new highs in Ethereum price.
Again, this is not a ratio that investors should rely solely on. It is very important to consider the Ethereum price and volume analysis for a more comprehensive analysis. Another important component is Bitcoin price as well as the progress of Ethereum’s Casper upgrade.
Ed. note: Our sister site InvestingHaven is now the first in the world to offer a Blockchain Investing Research service, subscribe now to get the top 3 to 5 tokens per year and our proprietary risk/reward score for all blockchain stocks trading on public exchanges.