- ETH price started a strong upward move after it broke the key $250 resistance against the US Dollar.
- The price even broke the $255 and $260 resistance levels to move into a positive zone.
- There is a major bullish trend line forming with support near $252 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is correcting lower, but dips remain supported near the $255 and $252 levels.
Ethereum price rallied recently with a positive momentum versus the US Dollar, similar to bitcoin. ETH price is now trading with a bullish bias and dips remain supported on the downside near $255.
Ethereum Price Analysis
After forming a support base near the $240 level, Ethereum price broke the $245 resistance against the US Dollar. The ETH/USD pair gained bullish momentum after it broke the $250 resistance and the 100 hourly simple moving average. The bulls took control and pushed the price above the $255 and $260 resistance levels.
As a result, the price traded to a new weekly high above the $260 level at $264. The price traded close to the $265 level and it is currently correcting lower. At the moment, the price is correcting lower below $260 and the 23.6% Fib retracement level of the recent wave from the $246 low to $264 high. On the downside, there are many support near the $255 and $252 levels.
An initial support is at $255 and the 50% Fib retracement level of the recent wave from the $246 low to $264 high. Moreover, there is a major bullish trend line forming with support near $252 on the hourly chart of ETH/USD. The trend line coincides with the 61.8% Fib retracement level of the recent wave from the $246 low to $264 high.
Therefore, if the price corrects lower, it is likely to find a strong buying interest near the $255 and $252 levels. A break below the trend line might push the price back towards the $250 pivot level. On the upside, an initial resistance is near the $262 and $264 levels. A clear break above the $265 level might call for a test of $275.
Looking at the chart, Ethereum price is clearly trading with a positive bias above the $255 and $250 support levels. As long as there is no close below $250, the price is likely to grind higher in the coming sessions.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is currently moving in the bullish zone, with a few negative signs.
Hourly RSI – The RSI for ETH/USD is currently well above the 60 level and is correcting lower.
Major Support Level – $255
Major Resistance Level – $265
Ethereum Forecast and Analysis September 16 — 20, 2019
Ethereum ETH/USD closes the trading week at 177.42 and continues to move as part of the fall and the formation of the bullish «Wolfe Wave» pattern. Moving averages indicate a bearish trend for ETH/USD. At the moment, we should expect an attempt to fall and test the support level near the area of 130.45. Where again we should expect a rebound and continued growth of the Ethereum rate with a potential target above the level of 250.00.
Ethereum Forecast and Analysis September 16 — 20, 2019
In favor of raising the ETH/USD quotes for the current trading week from September 16 to 20, 2019, a test of the support line on the relative strength index (RSI) will come out. The second signal will be a rebound from the lower boundary of the bullish «Wolfe Wave» model. Cancellation of the growth option will be a fall and a breakdown of the level of 95.00. This will indicate a breakdown of the support area and a continued decline in ETH/USD with a potential target below 55.00. A confirmation of the growth of the Ethereum cryptocurrency will be a breakdown of the resistance area and closing of quotations above the level of 215.00.
Ethereum Forecast and Analysis September 16 — 20, 2019 implies an attempt to test the support area near the level of 130.45. Where can we expect a rebound and continued growth of the cryptocurrency in the region above the level of 250.00. An additional signal in favor of the rise in Ethereum will be a test of the trend line on the relative strength index (RSI). Cancellation of the growth option will be a fall and a breakdown of the 95.00 area. In this case, we should expect continued decline with a target below the area of 65.00.
Harbor Tokenizes Real Estate Funds Worth $100 Million on Ethereum
Harbor has pivoted from helping companies issue security tokens to helping them tokenize existing securities.
Announced Monday, the startup has created tokens on the ethereum blockchain representing the shares of four real estate funds worth $100 million.
The move is intended to make these private securities easier to trade for the 1,100 investors that hold them, along with 17 broker-dealers and 17 placement agents that work with the funds’ manager, iCap Equity.
“For years, we’ve been looking for ways to create the best investment experience we can and for us that means providing liquidity for them,” said Chris Christensen, CEO of Bellevue, Washington-based iCap.
The news also represents a strategic shift for Harbor, from helping clients raise funds by selling security tokens to providing an infrastructure layer for such instruments.
Harbor “evolved from crowdfunding and tokens to being the Salesforce.com” of the security token industry, said Josh Stein, CEO of San Francisco-based Harbor.
Initially, the company tried to build tokens backed by real-world assets. It reckoned that if investors were interested in initial coin offerings (ICOs) issued by projects with only a promise, they would “be excited” for backed tokens, Stein said.
However, he added:
“The overlap between investors demanding tokens and investors interested in security tokens was zero. People were buying tokens but they weren’t buying it to invest, they were buying it to speculate.”
Last year, Harbor partnered with DRW Holdings’ real estate wing to facilitate the sale of nearly 1,000 tokenized shares in an apartment building. However, the deal fell apart earlier this year due to issues between the mortgage lender and issuer.
Harbor is providing a user platform for the investors, broker-dealers and advisors, which includes a private marketplace they can use to trade the securities.
Christensen said the funds are “high-yield, [which] usually requires a lockup” under which investors contractually cannot sell their shares for three to five years.
“We just knew if we can provide measured liquidity for them and allow us to continue our business model [but] allow them to … exit as needed, that would be cutting-edge,” he said.
Typically, iCap investors buy securities and commit to the multi-year lockup. However, investors could need their money back before that period ended, Christensen explained. Under its old system, these investors would have to find another investor who would be willing to purchase the securities and commit to the remainder of the lockup period.
The process to find an investor interested in purchasing these securities and then transfer them was time-consuming and costly, but a market already exists: Christensen said his company has previously facilitated $2 million in trades for these funds.
“What Harbor does is they automate this entire process,” he added. “Those who want to come in come in, those who want to exit can do that.”
The 17 broker-dealers that now have access to the platform include Bradley Wealth, an investment advisor.
“It’s never going to be like a public market, but we can take something that’s illiquid or semi-liquid and make it more liquid,” Stein said.
‘Nobody’s marketing it’
iCap operates under Rule 144 of the Securities Exchange Act of 1934, which requires a one-year mandatory lockup period for securities sold, separate from the restrictions the firm imposes, Christensen said.
“Once you’ve held a security for one year, it can be freely tradeable,” he said.
What is interesting, Stein said, is that after this first year ends, non-accredited investors can trade the securities (though iCap approves the platform’s users, so it is not open to the general public).
“I don’t think it’s a goal but what it says to these broker-dealers and RIAs [is] that they have this investment … they can get their non-accredited clients into it,” he said.
He noted that unlike ICOs or other crowdfunding efforts, these fund shares, now represented by ERC-20 tokens on ethereum, are passive instruments.
“It’s not like when you think of ICOs or crowdfunding where somebody’s pushing an investment,” he said. “It democratizes it but nobody’s out there marketing it.”
Nevertheless, Stein said the new strategy is aligned with Harbor’s broader mission, concluding:
“What we’re hoping to do is increase access … in real estate and other [areas], which was kind of the promise of security tokens to begin with. We’re just going about it a different way.”
Ethereum Price Analysis – ETH On The Move Back Above $200 As Bulls Wake-Up Against BTC
|Key ETH resistance levels:||$193, $200, $202, $210, $213, $215|
|Key ETH support levels:||$185, $176, $171, $165, $158, $149|
*Price at the time of writing
Ethereum ETH, 0.94% has seen a 1.16% price hike over the past 24 hours which has allowed the cryptocurrency to reach the $190.48 level. Ethereum has been on a decent run this week after increasing by a total of 5.49% – making it the strongest performer amongst the top 5 cryptocurrency projects.
If this bullish press can continue for ETH, we could see Ethereum testing the $250 level toward the end of the month. Ethereum remains ranked in 2nd position with a total market cap value of $20.59 billion. Ethereum still has a long recovery ahead of itself after losing 28% throughout the past 3 months.
Ethereum price analysis
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What has been going on?
Taking a look at the daily chart above, we can see that the latest price increase has now allowed Etehreum to rise back above the $190 level as it currently tests resistance at the previous rising support trend line (now turned to resistance).
Ethereum price short-term prediction: Neutral/Bullish
This recent uptick has now turned this market from bearish to neutral. For the market to be considered as bullish, we would need to see price action rise and break above the $202 level to create a fresh high. If this market was to drop beneath the support at $165, then the market could be considered as bearish.
If the buyers continue to drive price action above the current level of resistance, initial higher resistance is then to be expected at the $200 and $202 levels. Above $202, resistance is then expected between $210 and $213, provided by the 100-day EMA and 200-day EMA. If the buyers can continue beyond this level of congestion, resistance is then expected at $220, $225, $235, $240, $250, $271, and $287.
What are the technical indicators showing?
The RSI has recently penetrated above the 50 level, which shows that the bulls have now gained control over the market momentum. If the RSI can remain above 50 and climb higher, we can expect Ethereum to certainly head back above $200.
Trade idea – Buy Ethereum above ₿0.0019.
Ethereum has risen quite sharply against BTC. If this bullish pressure can continue higher, we can certainly expect ETH/BTC to make its way toward ₿0.020 and further higher.
In this trade idea, we will buy ETH once it breaks up above ₿0.019. This is to confirm that the market can break above the current resistance at ₿0.0189. Stops can go a little beneath ₿0.018 to protect yourself if the market heads in the opposite direction.
The first target of this trade is located directly at the ₿0.02 level. This level of resistance is provided by the long term bearish .236 Fibonacci Retracement level. Above ₿0.02, we can then look for the next target to be located at ₿0.02180 (100-day EMA) with the last target at ₿0.02235.