Uptrend, consolidation, deviation, consolidation – This is typically how Ethereum’s price chart looked like at the time of writing. The largest alt’s price has remained well below $3500 for six straight days in a row now, and notably, the current consolidation phase is quite congruent to the one observed during mid-August.
That being said, it should also be noted that there’s one major difference. During mid-August, ETH’s price leaned more towards the lower range, but this time, the price has evidently been spending more time around the upper range.
As such, the previous correction period lasted for more than 2 weeks. So, should the same be expected this time around too?
The attitude of market participants, to a fair extent, plays a role in solidifying the direction of any on-going trend. By and large, the collective sentiment of Ethereum Options traders seemed to be quite positive while writing.
At present, there are 1917 DBT contracts expecting ETH’s price to reach $5500 by the end of this year. Keeping aside the long-term assertion, these market participants are quite optimistic about the short term as well. As seen from Skew’s chart attached, 1731 contract holders expect Ethereum’s valuation to cross above $4100 by the 17th, while over 612 of them are looking forward to a $3500 breach on the same day.
Either way, it underlines the bullishness. Ergo, the odds of Ethereum’s price drifting away from its current $3200 zone towards further highs in the coming week seems to be quite likely at the moment.
Further, the aggregate Open Interest has also been showing signs of recovery lately. As per data from Skew, the OI was hovering around $4 million on Deribit on 10 September. At press time, however, the same depicted a value of over $5 billion, indicating the re-emergence of interest. This essentially means that the number of contracts that are being squared off are less than the number of new contracts added.
In retrospect, it can be claimed that new money is flowing into the Ethereum market at this stage. The OI on other prominent exchanges like OKEx and bit.com have also parallelly witnessed spikes of late.
Q3’s mood swings
Throughout history, the third quarter has always remained quite eventful for Ethereum. In 2015, 2018 and 2019, ETH’s quarterly RoI remained negative [-75%, -50% and -38%, to be precise]. However, the market has evolved with time.
Except for one instance, as seen below, the negative returns diminished during every subsequent third quarter. In fact, the same was as high as 60% last year around. With over two weeks left for the quarter to wind up, the returns already display a decent 44% on the board.
Thus, if the bullish momentum persists and the buying pressure intensifies in the coming days, a quarterly close above 40% can be anticipated.
Keeping in mind past precedents, the collective trader sentiment and the shenanigans of Q3, it’d be fair to claim that Ethereum’s price would pick up pace in the coming days and climb towards local highs by the end of this month.
Will Smith’s Son, Rapper and Actor Jaden Smith, Posts Mysterious “ETH” Tweet
Jaden Smith joins the crypto-celebrity list with two tweets in a row
The “Icon” author, rapper, Hollywood actor and mega-star, Will Smith’s son Jaden Smith, has posted a mysterious “ETH” tweet that followed a “Web3” publication shortly after.
The purpose behind the two tweets has not been disclosed, but it is most likely tied to the rising popularity of the two industries. Previously, Ethereum’s price has reached the new ATH, which might have caught the famous rapper’s attention.
ETH— Jaden (@jaden) October 22, 2021
Both crypto-related tweets have been warmly welcomed by the audience, collecting approximately 8,000 likes and more than 1,000 retweets on Twitter. In the comment section of the Web3 tweet, Jaden said that he actually owns an NFT just like his industry partner Snoop Dog.
With the rapid price increase of the Bitcoin, DeFi and NFT industries, more celebrities are exploring cryptocurrencies and blockchain technologies. In addition to giving significant investment returns, digital assets technologies may potentially change the banking, finance and art industries in the future.
Ripple CEO Says the SEC Helped Ethereum to Surpass XRP as No.2 Crypto
- Ripple CEO aired his opinion on the crypto market and regulations.
- Brad Garlinghouse said the US SEC granted Ethereum regulatory green light.
At the DC Fintech Week virtual conference on October 21, Ripple CEO Brad Garlinghounse aired his thoughts on the state of the crypto market and regulations. Besides, he holds a grudge over the financial regulator’s approach to Ethereum.
In addition, Garlinghouse declared that the US Security and Exchange Commission (SEC) granted Ethereum regulatory green light that enabled it to surpass his firm’s XRP token.
Likewise, the Ripple boss feels that his firm has been played out. But, at the same time, Ethereum’s subsequent success is at least in part down to more favorable treatment by the US SEC. Also, Garlinghouse stated that it is affecting its market. He said,
“Within the last few years, XRP was the second most valuable digital asset. As it became clear the SEC had given a hall pass to ETH, ETH obviously has exploded, and that clarity has helped.”
To clarify, XRP was the second-largest crypto asset by market cap in late December 2017. But, currently, it has dropped to seventh place while Ethereum has kept the second spot ever since.
Furthermore, the reason why XRP dropped is the US SEC pursuing Ripple over claims that XRP is unregistered security. In fact, in January, Ripple filed a Freedom of Information Act request with the US SEC demanding to know why it didn’t consider ETH security.
As a result, later in July, a district judge allowed the firm to depose a former official who declared in 2018 that ETH was not a security.
Ripple CEO reinstates SEC bias towards ETH, claiming XRP could’ve been No.2
It is not news that the ongoing XRP lawsuit has got the better of Ripple’s XRP token. Ripple CEO, Brad Garlinghouse recently questioned the SEC’s bias towards Ethereum, claiming that XRP would’ve been at the No. 2 position instead of ETH if it weren’t for the commission’s partial crackdown. Garlinghouse spoke at the DC Fintech Week virtual conference yesterday, arguing that the U.S. Securities and Exchange Commission alleged Ripple’s XRP as unregistered security while granting Ethereum a regulatory free pass, which in turn helped ETH shoot through the roof.
“Within the last few years, XRP was the second most valuable digital asset. As it became clear the SEC had given a hall pass to ETH, ETH obviously has kind of exploded and that clarity has helped.”
XRP secured the position of the second-largest crypto asset by market capitalization during the latter half of 2017. However, the token has dropped down to seventh place while Ethereum stands strong as No. 2. Furthermore, Garlinghouse claims that the SEC’s exclusively aggressive anti-crypto stance to allegedly protect the consumers is in fact anti-investors. Referring to the XRP lawsuit, Ripple CEO emphasizes that “nearly 50,000 U.S. people who hold XRP who are trying to sue the SEC for ‘protecting them’”.
XRP Holders left with bearish and frozen funds
Earlier this week, Attorney Deaton Filed a Letter Motion on behalf of the XRP Holders (Movants) that contended SEC’s extension request, with the main argument concerning the XRP holders’ frozen funds because of the consistent postponement of the lawsuit’s final verdict. During the ongoing bull run, XRP remains considerably bear because of the regulatory crackdown on Ripple. However, the court has overlooked the community’s concern and granted the extension explaining that in lieu of pending motions, extra time will only facilitate both parties to complete pending fact discovery and thoroughly prepare for upcoming expert depositions.
“The lack of liquidity within the United States, coupled with the mass de-listings prevents XRP Holders from trading, selling, transferring, or converting their XRP. It is because of this de facto in place seizure of their property that XRP Holders took the extraordinary step to seek intervention as defendants… Any delay in the underlying action marks yet another day XRP Holders do not have access to their funds.”, wrote Deaton.