Bloomberg’s senior macro strategist Mike McGlone came up with his negative prediction for Ethereum (ETH), the second largest cryptocurrency. McGlone emphasized that Ethereum’s price action is dependent on a key support level. Here are the details…
Mike McGlone points to significant level for Ethereum (ETH)
Popular analyst Mike McGlone says things will get worse if Ethereum loses the $1,000 support level. According to McGlone, if ETH loses $1,000, the coin will regress to $500. This, in turn, causes the coin to see its lowest level in the last two years. It signals that Ethereum’s support is a key pivot level around $1,000. In the chart he shared, he talks about the importance of the biggest altcoin not losing its permanent upward performance trajectory. He also uses the following expressions:
Our chart shows the persistent upward performance trajectory of crypto #2 against Bitcoin and the lack of support to around $500 if it breaks $1,000.
ETH is “more than a market revolution”
In addition, the analyst points out that Ethereum is a pioneer in developments that connect cryptocurrencies and traditional finance, such as futures and exchange-traded funds (ETF). He even says that for Ethereum it “represents more than the financial market revolution happening in cryptos.” On the other hand, according to McGlone, Ethereum’s transition from a proof-of-work (PoW) consensus algorithm to a proof-of-stake (PoS) algorithm has positively affected the price.
According to the expert, it was a good move for ETH to switch to the PoS consensus mechanism in the midst of the energy crisis. This gave a boost to ETH as the leading platform. At the time of writing, Ethereum is changing hands at $1,228, down 3.4 percent. So, there is $228 to lose the $1,000 level the analyst pointed out.
The analyst, who kept some predictions, also made a Bitcoin prediction
Returning to Bitcoin (BTC), McGlone says that the biggest crypto asset needs to flip the $20,000 resistance level to support the bullish outcome. According to the analyst, $20,000 is the level where he ultimately hopes Bitcoin to take a long upward trajectory. However, it points to the $10,000 to $12,000 levels should BTC move to the downside. Bitcoin is changing hands at $16,544.82 at the time of writing. It has lost 2.1 percent in the last 24 hours.
cryptocoin.com As we have also reported, Mike McGlone is seen as an important analyst in the market. The analyst has come up with some accurate predictions in the past. McGlone correctly predicted that critical levels of $6,000, $12,000 and $50,000 would come in BTC in the past period.
