Ethereum Bearish Signal Goes Off As 100k ETH Flows Into Binance

News BTC

Today’s Ethereum price chart may suggest the formation of a bearish pattern called the “double top”. 100k ETH also flowed into Binance.

Ethereum Price Chart Shows Famous “Double Top” Bearish Formation

As explained by a CryptoQuant post, the cryptocurrency formed a bearish pattern on the price chart earlier today, and at about the same time, Binance also noticed a netflow of around 100k ETH.

How To Get Free Crypto  

Here is a Ethereum chart that clearly shows the bearish pattern:

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!

ETH's price chart showed a bearish formation earlier today | Source: CryptoQuant 

As the above chart shows, Ethereum seems to have formed what’s popularly known as the “double top” pattern. Historically, formation of such peaks has been a bearish signal.

However, a double top can’t be confirmed until the price drops below the support level marked by the dip between the two peaks.

Get 110 USDT Futures Bonus for FREE!

Related Reading | Flash Crash, Ethereum Tests Support With 17% Drop And Risks Further Losses

The above chart was actually posted by the analyst a few hours ago. A more recent version of the chart looks something like this:

ETH's price continues to show volatility | Source: ETHUSD on TradingView

It looks like right after forming the two peaks, the price seems to have crashed down to $3.2k, which is below the 3.3k support level.

Coinbase Banner  

In most cases, such a dip confirms that the formation is a bearish double top. However, here the price seems to already be moving back up the support level.

Related Reading | Twitter To Allow Users Receive Bitcoin And Ethereum Via Its Tip Jar Feature

Following a double top event, the support level becomes resistance so that the price stays below it for a while. It’s possible it could just be a shoulder formation, and that the bearish trend might still be active.

Though the opposite could also be true; the price might keep going back up instead. However, another bearish signal also went off…

About 100k ETH Flows Into Binance

Around the same time that the two peaks formed, the netflow indicator for Ethereum showed that about 100k ETH flowed into the crypto exchange Binance.

FreeBitcoin Banner  

The “netflow” is a metric that shows the net amount of coins moving into or out of exchanges. It’s calculated by simply taking the difference between the inflows and the outflows.

When the indicator takes a negative value, it means more ETH is moving out than in, while a positive value implies the reverse.

Here is a chart that shows the Ethereum netflow for all exchanges:

The ETH netflow spikes up | Source: CryptoQuant

The spike on the chart shows that about 100k ETH flowed into exchanges, and chain data confirms it was into the crypto exchange Binance.

Such a positive spike generally implies investors are facing heavy selling pressure, and thus they are sending their coins to exchanges for dumping them.

Go to Source
Author: Hououin Kyouma


Recommended Crypto Services, Products and Strategies:

The first thing any crypto investor needs is is a reliable and secure Crypto Wallet.  Whether you’re looking for an online wallet, hardware wallet, desktop or mobile wallet, Crypto Renegade provides you with all the Best Crypto Wallets in each category.

Best Crypto Wallets Banner

When you’re ready to buy more crypto, or exchange your coins for others, Crypto Renegade’s list of the Best Crypto Exchanges has you covered.  The Crypto Exchanges recommended here offer everything from simplicity and convenience to advanced trading platforms and profit sharing. 

Best Crypto Exchanges Banner

If you want to learn more about the methods and tools that can be used to find Great Crypto Projects, then be sure to check out Crypto Renegade’s strategy for How To Find The Best Cryptocurrency.

Crypto Strategy Banner

For those people that don’t have any money to invest right now, or just want to understand the technology a bit more, you’ll definitely want to check out Crypto Renegade’s Free Crypto Strategy and start collecting Free Coins today!

Free Crypto Banner

What do you think about cryptocurrency? Do you have any questions about it? Be sure to leave a comment below.

This site uses Akismet to reduce spam. Learn how your comment data is processed.