Ethereum analysis for 26/11/2018

The drop in cryptocurrency prices in 2018 is the result of the "lack of education" of investors - said the general director of the Canadian company Blockchain Intelligence Group (BIG) in an interview published in the German newspaper.

In an interview with a representative of the German investment bank GBC AG, President of the BIG, Lance Morginn, he suggested that the combination of novice investors, regulatory uncertainty and standard rules of supply and demand resulted in the bear market: "All these factors are combined with the lack of understanding of what the average investor has in this sector, and this is the reason behind the current cryptocurrency prices "- said the company's general manager.

The idea of novice investors blindly entering the market at the end of 2017 has become a popular narrative among various commentators this year. It is expected that long-term investors will be all that remains if prices stay at a sufficiently low level.

Morginn is one of those whose crisis is not frightening: "The good news for BIG, however, is that as long as the crypto has a form of value and the criminal element can use them as a payment mechanism, our services are necessary for our clients, so this decline, in the long run, has no effect on us. The foundations of the industry are still intact" he added.

Let's now take a look at the Ethereum technical picture at the H4 time frame. The market has bounced from the level of 94.03 and is currently trading around the level of 109.32, but the bounce is not that impressive. The price is still below the black dashed trend line, so the bulls must break out above it in order to show some more strength. The next technical resistance is seen at the level of 117.40. Please notice the extremely oversold market conditions.


The material has been provided by InstaForex Company -