Ethereum made a sharp and fast break out of the bottom pattern it was making this last few weeks. Attempts to make a new low were thwarted and price gained fast above the last weeks high ending up above $500 for the first time since mid March.
This bullish move in ETH pulled the altcoin market with it.
Many altcoins have been showing signs of strength this last two weeks and was most likely due to Ethereum showing signs of bottoming out.
It’s been a long time since the altcoin market was a sea of green but it was welcomed with open arms by tired investors of recent ICOs that had suffered badly during the first quarter slump in prices.
Stars of the show included a recent addition to Binance Wanchain. This token was only added to the exchange in late March but after an initial slow start has now more than doubled from the lows.
It’s fair to say that a retrace of sorts is probably on the cards for Wanchain but this is a much sought after project and will surely offer some great upside over the coming months.
EOS was on a similar bullish run. Since late March the price has jumped over 120% and is just beginning to retrace.
Again it’s no surprise as it’s a solid project. A blockchain with much more to offer developers than many others just now. We’d expect similar moves throughout the year as more and more apps are released utilising EOS.
And what about Ethereum?
Where is it heading next?
Overall you have to say the fall from the January highs was severely overdone. All the while more and more tokens are being released on the ETH blockchain and transactional gas is being spent.
Ethereum has a real world use case, and should probably regain most of its losses over time. Just how much time it needs is the million dollar question.