Silver has an ancient history of been utilized as money through centuries and also in high demand in modern-day technology for industrial applications. Ethereum, on the other hand, is a blockchain platform for launching ICOs and smart contracts. In today’s culture, more and more people are investing and trading in trading pairs that connect the digital asset with precious metal commodities. Today we’re looking at the historical price patterns between the Ethereum and silver trading pair.
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As ICO markets decline, cryptocurrency exchanges are offering more trading pairs to whet the appetites of both digital and fiat-based investors. Major pairs like ETH/XAG are becoming popular and the charts are showing some bullish recovery after a long crypto winter.
In this post, we’ll be analyzing the underlying technical price patterns moving the price of the ETHXAG, and helping you avoid the general errors made by most novice traders.
Long-term Price Overview
ETHXAG: All-time Weekly
Just looking at the historical chart of ETHXAG below, indicates that there has been bearish sentiment that favors Silver (XAG), starting with a collapse of a bullish accumulation from 49.39 XAG on Monday 05 March ’18 down to 22.09 XAG, before Ether attempted a recovery on Monday 02 April ’18.
A subsequent increase in selling power at 44.91 XAG, and breakdown of significant support levels of 29.00 XAG on 14 May and 30 July ’18, set the pair back in a bearish course down to 5.64 XAG on 10 December ’18.
The earlier analyzed bearish trend dubbed the “Crypto Winter of 2018” came to an end following a break above bearish accumulation resistance on 17 December ’18.
An increase in Bitcoin (BTC) dominance on 24 June ’19 forced altcoins, including ETH, into a price decline. A breakdown of bullish accumulation support of 18.05 XAG on 08 July ’19 was the bearish signal on the ETHXAG.
Although the chart maintains a bearish outlook, a bullish accumulation pattern on 07 October ’19 may get the pair back in a bullish trend as the ETH shows strength against the USD.
ETHXAG: 2-day Time Frame
Efforts to restore the bullish trend on 07 August and 14 August ’19 failed to an increase in selling power, consequently setting sound resistance levels at 14.61 XAG and 49.39 XAG.
An opposite breakout of hidden bearish accumulation on 08 September ’19 launched a bullish campaign up to the 12.59 XAG price level before another breakdown of a bearish inside bar on 22 September ’19.
The ETHXAG sets triple bottom support at 8.6 XAG and 8.93 XAG after bouncing off the 8.85 XAG support of 04 September ’19.
Last week closed bullish signaling a bullish accumulation pattern and support at 9.69 XAG, positive sentiment for further increase in the ETHXAG price.
ETHXAG: 12-hour Time Frame
The 12-hour chart shows a drop in demand for the ETH after forming a double top pattern on 11 October ’19. An increase in demand for silver continued following a double bearish accumulation pattern on 16 October ’19, with significant resistance at 10.56 XAG.
Just when it seemed like it was all over, another bearish accumulation pattern on 22 October ’19 at 9.99 XAG again increased the demand for Silver down to a low of 8.93 XAG, where a bear trap pattern gets flagged.
The recent bullish pattern on 28 October ’19 suggests a strong bullish trend and a breach of the 11.18 XAG resistance.
ETHXAG: 4-hour Time Frame
Below is a bonus 4-hour chart showing the price surge that got triggered on 25 October ’19.
Conclusion and Projection
The recent breaks above crucial resistance levels across mid-term time horizons of the ETHXAG pair presented above hints at the start of a bullish campaign.
A long term projected price target would be the 40 XAG round number level, which we believe would be in the New Year 2020.
Charts courtesy of coingecko.com
Disclaimer
Content provided by CryptoTraderNews is for informational purposes only, and should not be construed as legal, tax, investment, financial, or other advice. All information is of a general nature. As always, there is risk with any investment. In exchange for using our products and services, you agree not to hold CryptoTraderNews Pro, its affiliates, or any third party service provider liable for any possible claim for damages arising from decisions you make based on information made available to you through our services.
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