Bearish Ethereum Signals Across the Board
- By Bilal Hafeez and Dalvir Mandara
- 12 min read
Summary
Trading View (next 2-4 weeks): We like to be bearish ethereum.
Investment View (next 1-3 years): We like to hold ethereum.
Macro Signals
- Inflation is at 40-year highs.
- Tighter liquidity conditions will continue to hurt risk markets.
- The ethereum and equity correlation remains high.
- The probability of recession within the next 12 months is still over 40%.
- The macro backdrop is bearish.
On-Chain/Flow Signals
- We have four bearish signals and three neutral signals this week.
Overall View
- With the macro backdrop bearish and on-chain/flow metrics bearish, our overall signal is bearish ethereum (Chart 1).
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