- ETH/USD continues to move within the pennant formation
- Resistance at $85.00 limits a potential recovery.
ETH/USD is changing hands at $85.86. The coin has lost nearly 4.5% on a day-to-day basis and remained unchanged since the beginning of Friday. The third largest coin with a market capitalization of $8.9B shed over $400M of its value in 24 hours trading in a tight range with a bearish bias.
Ethereum’s technical picture
On the 4-hour chart, pennant formation has yet to be confirmed. ETH/USD managed to stay above $85.00 after a short-lived dip to the Asian low $84.94. It’s a good signal that the price may recover towards the upper line of the pennant currently at $91.50. However, a sustainable move higher looks unlikely as the area is reinforced by SMA50 (4-hour). We will need to see a major change in the market sentiments for the breakthrough to happen.
Both the Relative Strength Index (RSI) and Momentum indicator are flat, pointing out the market indecision and implying the continuation of rangebound trading during the recent hours. RSI stays in a neutral zone, which also supports the consolidation case.
The local support comes at $85.00. It is strengthened by the Asian low and the lower line of the above-said pennant. This area is likely to stop the sell-off for the time being, however, a forceful breakthrough will open the way towards the recent low of $82.15. Once below, the longer-term support area $60.00 and $50.00 will come into focus.
ETH/USD, 4-hour chart
Ethereum [ETH] ProgPow technical audit will be conducted by Least Authority
Hudson Jameson, a core dev of Ethereum Foundation, released an update on Programmatic Proof-of-Work [ProgPow], on the official blog of Ethereum Cat Herders, on March 25. According to the report, Ethereum Cat Herders are responsible for two tasks related to the ProgPow implementation; ‘Gauge the community sentiment’ and ‘general consensus’ of the Ethereum community, and its technical audit.
On the technical audit side, the Ethereum Cat Herders decided that the audit would be conducted by the Least Authority, a security consultancy. Notably, this is not the first time that Least Authority is performing an audit on Ethereum. Previously, the consultancy performed one of the most elaborate audits on Ethereum, gas economics, and PoW puzzle. Least Authority has also performed an audit for another leading cryptocurrency project in the space, ZCash.
The blog read:
“Please note that the timeline contained in this version of the audit proposal is inaccurate. The timeline for the audit is currently unknown until the audit is funded and technical details of the audit are finalized with the auditor.”
Hudson further stated that the Cat Herders were seeking funding for the ProgPow audit from a “variety of sources”. This included miners, community members, and organizations in the Ethereum ecosystem. The team also created a Gitcoin account specifically for ProgPow funding, with a monthly goal of 50,000 DAI. At press time, the funding for the ProgPow implementation was 0 DAI. The post said,
“Note that the Gitcoin grant will only be for a portion of the funding and we will rely on larger organizations and others to contribute. We appreciate everyone who is contributing to this audit!”
Previously, there were doubts pertaining to the implementation of ProgPow and its timeline, however, these concerns were addressed by Hudson in a Reddit post. He stated:
“In summary, a decision was made to move forward with ProgPoW, but no timeline was given as to when it would be activated in a hard fork. It may be activated in its own fork or with Istanbul. If an issue is found by the ProgPoW audit, we may not go forward with implementing and activating ProgPoW.”
Ethereum market update: ETH/USD grinds closer to a triangle breakout
- Ethereum price has remained unchanged current market value since the weekend trading.
- A breakout is expected in the coming sessions today as price grinds higher toward the triangle pattern resistance.
ETH/USD closed last week’s trading at $137. The weekend session was mostly characterized by stability. However, there was a slight retracement that found support marginally below $15.00. Ethereum price has remained unchanged current market value since the weekend trading.
The 1-hour chart shows the price below both the 50 SMA and the 100 SMA. The two Simple Moving Averages will limit upward movement from the support mentioned above. $138 is the immediate breakout point for Ethereum. Trading above this level could open the path to the second resistance at $140 before tacking mid-March resistance at $146.
Similarly, a breakout is expected in the coming sessions today as price grinds higher toward the triangle pattern resistance. As far as technical levels are concerned, the RSI shows that sellers will continue to control the price. Although the MACD is horizontal, it is stuck beneath the mean line (0.0) and needs a push back into the positive region for ETH/USD to gain momentum towards $140. Below $135 short-term support, Ethereum will find other support levels at $132, $129 and $122.
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Is Ethereum Really ‘A Thing of the Past’ As Tron’s Justin Sun Claims?
The co-founders of Ethereum and Tron have recently engaged in a battle of wits on Twitter. In a recent interview, Vitalik Buterin, the co-founder of Ethereum had commented on the competition between Ethereum and Tron. He claimed that he would “lose hope in humanity” if Tron usurps Ethereum.
Justin Sun came with a witty response on Twitter satirically praising Ethereum while at the same time diplomatically placing it to a veteran status; a thing of the past. Recently, a Chinese Institution also ranked Tron above Ethereum in its list of Public Blockchains.
— Justin Sun (@justinsuntron) March 24, 2019
Ethereum vs Tron: Let’s Look At the Facts
Ethereum, released in 2015 is the pioneering Dapps Platform currently placed second w.r.t total market capitalization. Tron Foundation was initiated in 2017 on the Ethereum platform itself. However, it is far more capable than Ethereum in terms of scalability and has also implemented Proof of Stake (PoS) on its Blockchain. Tron is currently ranked 11th w.r.t total market capitalization.
Transactions per day
The transactions per day on Tron are four times that conducted on the Ethereum platform. Therefore, the usability of Tron seems greater than Ethereum. The number of Dapps that follow TRC-20 protocol is also increasing at a rate of one new Dapp every second day.
While the number of transactions executed on Tron per day is ranging in the 1.5 M to 2.9 M range, there is significant volatility in the ‘number of transactions’ on Tron. The transactions are varying by 1.5 million in a span of fourteen days. The number of transactions on Ethereum is primarily in the 500k-600k range.
The race to the Top
The Total Market Capitalization of Ethereum is almost $13 billion more than Tron. The total circulating supply of Tron is 66.68 billion, while the total quantity of Ether (ETH) tokens is 105.5 Million. Therefore, to overcome a difference of 13 billion dollars, Tron would have to gain ten times its current valuation while the price of Ethereum remains the same. Looking at the current statistic and development of Ethereum, Buterin’s Ethereum might have the upper hand.
Nevertheless, the growth of Tron has been exponential in the past year. The risk vs. reward ratio on Tron is also comparatively less than Ethereum at current prices. Moreover, Tron leads in front of Ethereum in terms of technical prowess. Hence, only time will tell whether Justin Sun’s claims are really true.