Recently, we have been constructive on Ethereum (ETH) vs. Bitcoin ( BTC ). We felt ETHBTC could head back to its recent highs at .022 and stretch beyond that. While ETHBTC is up today, we did not imagine the spread trade idea fulfilling itself with Bitcoin ( BTC ) dropping.

The crucial next hurdle for ETHBTC is at the 50-day moving average at .021. We want to see ETHBTC rise above that to validate our ideas. If it can take out the 50-DMA , then our idea of a new uptrend starting should pan out. If ETHBTC fails at .021, we may get stopped out and have to look for ideas elsewhere.

Bottom Line: With Ethereum (ETH) sitting on its 50-DMA , it hard to be negative here. We are constructive ETHBTC until proven wrong.

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/.