From our point of view, the crypto market broke when Ethereum (ETH) cracked. There's no way the crypto market can survive with Ethereum (ETH) going down 8% every day.

Looking at the 2-day chart, we see a grizzly Elliot Wave scenario unfolded. The recent range trade - which we initially thought would be a base to move higher - has turned out to be a bearish triangle that could produce a Wave 5 lower. In English, that means there is a risk that people could give up on Ethereum (ETH), and it could just plummet below 100.

The key will be to see if Ethereum (ETH) can back above a critical point on its 2-day chart. The crucial point is a horizontal resistance point at 153. If ETH is above that, the bearish Elliot scenario may not unfold. If ETH is below 153, chances are more downside is coming.

Bitcoin Cash (BCH) may also be a problem for Ethereum (ETH). The implosion of BCH may be at hand. If that's true, BCH may drag all other big coins down with it.

Bottom Line: We can hope this decline somehow stops. The key to recovery or stability will be to see if Ethereum (ETH) can recover back above 153. If not, big coins are in trouble.

DISCLOSURE: Token Metrics is a regular publication of information, analysis and commentary and does not provide individually tailored investment advice. The Token Metrics team has invested and advised in many blockchain companies. A complete list of the team disclosures, advisory roles and current holdings can be viewed here: https://blog.tokenmetrics.com/disclosures/.