ETH is complicated

I believe BTC is going to continue a downtrend to the approx. $13,500 mark, which I outlined in a recent chart. The TA seems fairly straight forward considering the current situation within the US Financial markets (inflation, interest rates increasing, uncertainty of FED regulation, etc).

ETH is a bit more complicated because it has a use case outside of a store of value. Provided, the current 'use case' is the equivalent of trading digital beanie babies, which on their own hold no true value. Having said this, there are use cases for the technology. It just may not be rooted in Jpeg images of 'punks' smoking cigarettes, apes in space costumes, or whatever inane thing someone wants to burn their money buying.

Now, ETH has always had an issue. The use goes up and in exchange so do gas prices. Interestingly enough, if ETH were to crash to the point of BTC, ETH would become less expensive to use; assuming demand/use/price are directly correlated. This decline could open up opportunity for better development of ETH2.0, because the traffic within ETH would be reduced.

This is where ETH gets complicated. A BTC drop pulls the market down. ETH would likely follow suit as it always tends to do. A drop in ETH would reduce the demand for NFTs, because their values are more often than not attributed to the value of ETH. This would mean less use of ETH, because NFT demand would drop as people find safer havens for their money. However, ETH would then become less expensive to use, which could in turn increase the volume of people using ETH, because it would then be more affordable dealing with gas prices.

ETH can realistically drop a long ways down before it's use case can be rediscovered by people wanting to get in on using the technology. It has retraced 95% in the past and there is nothing to suggest it cannot do the same. Meaning, don't be surprised if you see a <$250 ETH, before ETH2.0 launches.