Ether:

After generating much hype and fuss, the speculative bubble in Ether (ETH) finally collapsed, providing an excellent opportunity to ride the speculative bubble out on both the uptrend (approximately 1200% price increase) and the downtrend (approximately 60% price decline to date).

ETH_BTC
The recent speculative bubble in Ether (ETH), priced in Bitcoin (BTC). (Charts taken from Cryptrader)

The question now remains, is the bottom of the crash now in?  Charts can be misleading, especially when assets are only watched when priced in one other asset.  Ether priced in a USD substitute hints that caution is advised, when calling the bottom of the bubble; further price declines may yet be seen:

ETH_USDT
When priced in Tether (USDT), a rough substitute for USD, Ether looks like a further price decline may yet be realized.  (Charts taken from Cryptrader).

So, has ETH based now? Or is this yet another fake move to spoof market participants on the long side?  Technically another bearish week could be possible, in which case, a price fall would be sharp, and significant, given the market consensus.

Bitcoin:

Meanwhile Bitcoin did indeed break out above the consolidation pattern which was mentioned here (a day before the Zero Hedge article, incidentally.)  It has bounced off key resistance with declining volume (the 470 BTC/USD mark), and had a rather significant drop this week.  So the question here is as to whether the buy pressure will prove to be enough to punch through that resistance level in a significant manner, or whether it will now decline.  Last year saw a 100% price rise, so breaking through this key resistance level will be critical to sustain the bull run moving forward, and should occur within the next 7-14 days to avoid slipping expectations.

Given potential risks to both, with capital flowing out of the speculative Ether bubble during the crash period, and Bitcoin flagging (in conjunction with precious metals), I would (and have) move(d) to safety  in the short-term while the market momentum is stalling. If momentum continues, or reverses, I will trade accordingly.

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