If this plays out as the technicals tell us,
we could see a pump up to this level,
- which would be $4,100. - Wow.
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Welcome to BitBoy Crypto! The largest crypto channel in all the Interwebs.
My name is Ben.
Everyday on this channel, I show you how to make money in crypto.
If you like money and crypto, make sure to hit that subscribe button.
Today, I brought on Carl from The Moon to talk about Ethereum,
everybody's favorite coin right now.
Will Ethereum pass Bitcoin?
Well, we don't know that for sure.
But what's Ethereum going to do in the short term?
And Carl's got a price target that you've got to see to believe,
and it could be coming sooner rather than later.
If you want to take advantage of any of the information in this video
and get to trading,
make sure to check out bitboycrypto.com/deals
where you can go visit Bybit or Phemex and get big deposit bonuses to leverage trade.
Also, guys, remember, use proper risk management and always be responsible with your trading.
Alright, guys, let's go ahead and jump into the interview.
Hey, everybody! Today, I'm joined by my friend, Carl from The Moon.
You guys make sure go subscribe to his channel down below in the video description.
Today, we're going to be tackling Ethereum.
We talked a lot about Bitcoin on yesterday's video,
but what is the TA saying for Ethereum?
So first and foremost, Carl, how are you doing today?
I'm doing fantastic.
I love being on your channel.
It's a great pleasure.
And, yeah, let's just take a look at the prices because we have a lot of volatility.
- Everyone wants to know, are we going to go up or down? - Yeah.
- So that's what we're going to figure out, right? - Absolutely. Well, let's check it out.
What do you see going on with Ethereum right now?
Yeah, let's go into the charts.
Alright, so this is the Ethereum price against the dollar on the 4-hour timeframe.
And I'm going to go into the short term,
but first, I want to zoom out a little bit,
and we can see that obviously, we did see a big correction, right?
After we saw a small--
it was a head and shoulders.
- You can even say it was like a diamond pattern up here. - Yeah.
So we reversed down.
We saw a very, very aggressive correction.
- It was actually something like 60% here. - Yeah.
And we talked about in the previous video that this is bear market territory technically
because when something goes down 60%,
- it's hard to say that it's a bull market at that point. - Yeah.
But then again, like, the more you zoom out, if you go on to the daily timeframe here,
you could still say that, well,
- this still looks very, very bullish trend, right? - Yeah.
Because it still looks like we're going up, right?
But I want to go into the short term because we are seeing a bullish pattern,
actually two bullish patterns,
that I want to show you.
So even though maybe Ethereum is going to go down,
it is possible,
but maybe we're going to see small bounce like this like a dead cat bounce
before we see something like this.
That's what I want to--
That's the idea I want to entertain here.
So let's go into the 4-hour again.
And first of all,
this is something that I talked about over on my channel for my audience.
We had a bullish divergence here.
And so this is the bullish divergence on the 4-hour timeframe.
- And this one has played out very nicely so far. - Yeah.
You can make the case that this divergence will continue to hold some effect,
and maybe we're going to go at least sideways here for some time
or to the upside.
What this divergence is telling me is that it's
essentially that the bears are losing momentum here,
- and the bulls are coming in defending. - Yeah.
And it's likely that we just kind of go sideways or up.
Usually when we see this divergence, we don't see another aggressive selloff,
but obviously, the more days we go on here,
the less effect this divergence will have,
and at some point, that divergence has already run its course, essentially.
- But-- - Is there like a timeframe for that?
Where you would say like,
"Okay, at this point, it's obviously, outdated and unrelated to the future price action"?
And what-- this is the 4-hour chart.
This is the 4.
- So there is probably some kind of technical timeframe, - Yeah.
but I don't really go based on that.
Usually, I just kind of use my experience with these divergences,
and usually I can tell whether it's going to be over or not.
Right now, I can say that we've probably already seen most of the divergence play out
- because we saw a pretty big play here, right? - Yeah.
From the bottom of this,
- we saw like a 64% pump. - Wow.
So you can say that we've seen already a big, a very big reversal, right?
And also you can see down in the RSI here that we saw a huge pump back up
way above the 50 level which is here,
so you can make the case that we may be already kind of lost the significance of this divergence,
but that's why I want to go into the next thing here.
And if we put a line like this,
then we can see another bullish sign, potentially.
This is an inverse head and shoulders,
- and they are, of course, only bullish if they play out. - Yeah.
And it should also be said that we have to go up to the neckline
for this to actually confirm as a head and shoulders--
or inverse head and shoulders.
And even then, it's not confirmed--
like, it's not a confirmed trade signal until we break the actual resistance.
And we didn't break the resistance yet.
So that's what I'm watching for Ethereum right now.
You can see that this resistance is approximately around $2,880.
- It all depends on exactly where we break out, right? - Yeah.
But I think everyone wants to know where's the target in this case.
So let's take a look at that.
We do this.
Essentially, in inverse head and shoulders, you take the neckline down to the head,
you pull it up like this,
- and this should give you a rough estimate of where we can see this price go. - Whew!
And if this plays out as the technicals tell us,
we could see a pump up to this level,
- which would be $4,100. - Wow.
And that would put us right back on bullish territory, for sure.
That would definitely give us a, on the 4-hour timeframe, definitely very bullish territory.
Now, I want to say something.
- Obviously, this seems very bullish, very nice. - Yeah.
One thing is that--
and head and shoulders can go up like this
and sometimes will reverse like this.
This is not a guarantee that we're going to go up and meet the targets.
It's not even guaranteed that we're going to break out, right?
So that's a big thing.
And also, if we zoom out again,
this still looks kind of like a bubble, right?
Like a bubble pop.
- Like this. You see? - Yeah.
And then we have a big bubble pop.
And the 60% correction here indicates that this definitely was a big bubble pop.
- In my opinion. - Yeah.
So, usually in bubbles,
you see prices go sideways like this,
and then start picking up,
and then we see a big bubble like this
and then a blow-off top.
- We almost always see a second run-up in a bubble pop, - Yeah.
- and then we go down like this. - Right.
- I'm not saying that-- - The dead cat bounce.
Yeah, yeah, yeah. It's a dead cat bounce.
It's a bull trap.
Whatever you want to call it, but essentially something like this.
This could play out.
This is what happened with Bitcoin back in 2017.
It happened with--
basically, if you look at any bubble, any like hype cycle,
we almost always see this, and then a failed attempt,
and then you see the bear market come in.
So obviously, I hope this is not going to play out because I'm bullish on Ethereum,
I'm bullish on Bitcoin,
and I want to--
I hold a bunch of Ethereum.
- So-- - Yeah.
But we have to always be realistic.
And I think that's why many people follow my channel because I actually--
I tend to also give the bearish case.
I don't want to just always be bullish all the time.
- I think that's very important, right? So-- - Yeah, but people hate that.
People hate it. Yeah, I know. I know.
- Yeah. - I know. I made a video yesterday saying
Bitcoin could go to $17,000 if we break a certain level,
and I got so many dislikes
- even though in the video I'm saying, - Yeah.
"I'm not saying it's going to happen. I'm just saying that if we break this level,
we could be in trouble,"
and people hate that stuff.
- People don't like-- - "Moon!"
- "To the Moon! To The Moon!" - Yeah, right?
That's what they want. That's what they--
We're going to start calling your channel The Bear.
- "Welcome to The Bear. I'm Carl." - The Bear. Yeah. "Welcome to The Bear."
Hey, but, you know, the thing about it is
and this is something I've been trying to really stress to my audience,
which is this could be a dead cat bounce.
I don't think it is,
but it feels very similar to the bounce that we got in January 2018 for Bitcoin,
where it went back up and then, you know, it fell down much heavier and much harder.
I think, like, the feelings are the same right now,
which is very interesting.
But I think when you look at the fundamentals and what is going on with Bitcoin,
the fact that this is an abbreviate-- this would be a very abbreviated bull cycle,
when you look at 2013 to 2014,
I mean, like, here's the real crux of the situation.
We look back at 2017 and we all wanted that scenario where it goes way up.
There was not a correction-- I think the largest correction was at the beginning of that cycle.
It was like 42%.
We didn't have anything over that.
The average correction was also about 35% during that time.
This one, it was about 20-25% up until we had this huge 55% drop for Bitcoin.
And I think the thing that people really don't necessarily want to look at is
we've had two full Bitcoin cycles after a halving
because the first one was when Bitcoin was created,
it didn't have a halving event in 2012/2016.
And 50%--
and 50% of the of the cycles,
we had to drop this big.
So, you know, we had a 50-- we had an 83% drop in 2013.
So if you look at that chart,
it did rebound in about a week.
And now, we are bordering on, you know, a few, you know, longer than a week at this point,
going on two weeks,
but that was also a much sharper correction,
meaning it was going to probably get a bigger bounce,
so I'm personally not worried about it.
I'm going to be shocked if this is a dead cat bounce and we do end up going down
because it just goes against all the history that we've had.
And I think that we are going to end up going back up for Ethereum and for Bitcoin.
What are your overall thoughts and just kind of feeling on that?
I am also--
If you asked me two months ago,
I would have been very surprised if this would be the end of the bull market here in May.
Yeah.
It would be very surprising.
It seems like we should be bullish towards the end of the year
based on kind of the previous hype cycles, right?
So
if this plays out and we see the bear market here,
it would surprise me from that point of view.
- But we could also see this double bubble, right? - Yeah.
Like we saw back in 2013/2014 there.
And in that case, maybe the charts would allow us to see something like this,
where we see kind of some consolidation.
Maybe for a few months, right?
And maybe towards August, September, we start going up again.
And then we see Ethereum blast up towards $10K, $20K or whatever, you know?
- And I think that's all going to depend on Bitcoin a lot because - Yeah.
sure, you can make TA on Ethereum, and that will work out very well in the short term,
but in the big term, I think it's obvious that whatever Bitcoin does, Ethereum will do.
So we could also just go into the Bitcoin chart real quick and take a look at that.
Yeah, we-- yeah, let's check that out real quick.
- Yeah, because-- - Because it is correct what you're saying, for sure.
Yeah, yeah, right?
So, I mean, Ethereum got a dump,
but you can see that this is the reason.
Bitcoin got a big dump.
And the Bitcoin chart does not have this bubble formation that I would be looking for.
So even though we saw many signs that Bitcoin was topping out here,
where the bearish diverges,
big head and shoulders,
a bunch of bearish signals,
however, we don't have this formation, right?
- We don't have this bubble pop - Right.
that I would be looking for.
So I think this could very well be this double bubble thing,
where we go up, we go down and maybe consolidate a bit,
we might even go lower,
but eventually I think that we are going to pick up again,
and we are going to see another big leg up.
And I think in the next leg up,
we are going to hit my bullish targets of $200K, $300K.
And I think it's going to happen before the end of the year.
- And it's also very likely to happen-- - Yeah.
- yeah, before the end of the year or Q1 next year. - Yeah.
I think.
And if this happens, then obviously,
- Ethereum will also go up. - Yeah.
- That's what I would say here that - Yeah.
I think we're just going to take a big breather here.
So it's going to be like a small bear market in a bigger bull market kind of.
That's maybe the more likely scenario from my point of view right now.
Yeah, it's going to be interesting because, you know, as you know,
according to the history, we're running out of time in the bull market.
So if we're going to get that double bubble, I think it's got to probably start before August.
I think it's got to start at least sometime in July.
The interesting thing is and I think what we've seen over the last--
at the time of this recording, over the last 24 hours,
a lot of movement to the downside based upon the closing of these May futures contracts,
while in June, we've got the Q2 futures contracts closing at the end
so any momentum that we get in June may be stalled out by that at the end of the month,
so I think, you know, in July, we've really got to get this thing moving I think,
but either way, I think most of the smartest people I know,
including yourself,
people I've leaned on heavily in crypto for a long time,
we all kind of think about the same thing.
And that's pretty refreshing is that we all generally think we are probably most likely
going to see that double bubble, but we can't say 100%.
People want to know concisely what's going to happen.
If we knew that, we would be trillionaires.
So nobody knows exactly what's going to happen in this market.
But, Carl, as always, thank you so much for joining us today.
Everybody's got any questions, make sure to drop those down below in the comments.
We want to know what you guys think.
Do you guys think a double bubble scenario?
Or do you think Bitcoin is dead?
So make sure to drop those comments down below.
Carl, thanks for joining us. Everybody,
I forgot my outro.
I forgot my outro, Carl.
Can you believe that?
- I say it every day three times. - Yeah.
That's all I got.
Be blessed.
BitBoy out.