Let’s talk about the best cryptocurrency pairs trade right now.
It’s been a bloodbath in the crypto space over the past few weeks — June has not been kind to the coins, to say the least.
Those of you who have been following me for a while know that I’m a big proponent of the Ethereum branch of crypto.
While I’m not going to sit here and pretend I’m some big tech expert, the reason I like it most is because of how useful Ethereum is.
It isn’t just another typical cryptocurrency… It’s a whole decentralized computer network. Ethereum uses blockchain tech to replace centralized computing systems — like Apple, Amazon and Google — that store people’s personal data.
However, these types of computing systems tend to have one drawback: It’s easy for cybercriminals to hack into them.
By utilizing blockchain technology to create a decentralized app store, Ethereum solves the problem of hackers getting access to users’ personal information. The app store can’t force different regulations on the users, and companies are unable to store any type of personal information.
Ethereum is also a network used for NFT’s (non-fungible tokens), which has allowed everything from art and music to sports highlights to be monetized. This trend will only grow. In the future, we won’t remember a time without NFTs. So one way to think of Ethereum is it’s like owning early internet companies.
With that said, I’m going to show you a technical breakdown of the crypto in general, and the best cryptocurrency pairs trade right now… And then I’m going to show you a Money Link that’s playing out between the two.
The Best Cryptocurrency Pairs Trade: Ethereum and Bitcoin
Taking a look at Ethereum’s chart, I first noticed the extreme highs it made in May of over $4,000 a coin. It then immediately collapsed all the way down to $1,700 — about a 61% drop…
It’s important to pay attention to these numbers because they’re fibonacci retracement numbers. Fibonacci retracement numbers show where support and resistance is most likely going to be in a stock or crypto. Investors use this information to place entry orders, determine stop-loss levels or set price targets.
And I’m betting that the interim low in Ethereum is in. Since we’re going to be bouncing off of that number, the next step is figuring out where it’s going to rise from there.
The first key level to look at is the previous bounce, which was 30% from its previous low. That’s up to around $2,740, which is a big gain from today’s $2,100 price tag.
The next bounce after that should be where the big money’s at…
Now if we look at my Money Link pairs trade I have between Bitcoin and Ethereum, you’ll notice something interesting…
Over the course of the past five years, Bitcoin has trounced Ethereum — but that tide is turning. And when you compare the two charts year to date, you’ll notice that Bitcoin has underperformed by about 150%.
Ethereum is up 172% in 2021 while Bitcoin is barely scraping by with an 18% gain.
And when you flip the charts around, you’ll notice the massive profit opportunity setting up…
Check out my short video below to learn more about the best cryptocurrency pairs trade right now.
Also be sure to share your thoughts in the comments section below.
And as always, send any trading questions to jeff@joyofthetrade.com and stay ahead of the markets, especially these choppy ones, by subscribing to our YouTube channel.
