Analyst Alex Kruger in the Twitter suggested that the last stage of lifting the cryptocurrency market in General and Ethereum in particular may be short-lived.
Last time $ETH longs/shorts ratio was this high was November before the 60% crash. Constantinople comes Feb/25. Cryptos often raise in anticipation of a fork-long the narrative – reach a local top days before, and crash into the fork. Mind the current crypto pump was driven ETH. https://t.co/jc4hLoWifb
— Alex Krüger (@krugermacro) February 22, 2019
Kruger argues that the increase in capitalization segment of 12% was driven by the rapid growth rate of Ethereum, has risen in the last 7 days by almost a quarter. Appropriate remarks he made, commenting on the user Rptr45, noting that Ethereum “begins to paint an ugly picture.” The ratio of long to short positions after the recent rise was equal to 3.22.
“It is no surprise the fact that, when this ratio rises to such levels during the next 10-20 days, the price goes down,” writes Rptr45.
Kruger agrees with this view and recalled that in recent times the ratio of long to short positions has risen so high in November, after which the price plummeted by 60%.
“At the end of February there will be a fork of Constantinople. Cryptocurrencies are often growing in anticipation of the fork, reaches a local maximum, a few days before him and fall in the time of the event,” he adds.
However, Kruger does not consider the approaching hardwork Ethereum positive factor in the context of prices as it will lead to the adjustment of the emission of cryptocurrencies, which has decreased as a result of the “ice age” due to the delay of the updates, in a big way, but the market, according to him, perceived this event differently, that cannot be ignored.
The analyst, however, says that its bullish views and plans to strengthen its position, not to eliminate them, if the drop still happens.
“Clarify in case my tweets, out of context, will cause anyone panic, the desire to sell,” he explained. Discuss current news and events on the Forum