Blocksmith Says: ETH Has Peaked for Now

Ethereum basis 240 minute data has reached up into the top of the channel and upside momentum is starting to peel away. This is suggestive of a downside push and we will stay on top of it this week. The markets remain tricky ahead of the 8 November US mid-terms.

Last week, we saw many fairly fixed correlations break down.

For example the Dollar Index has been -86% correlated to the S&P 500 year to day but last week decoupled and the correlation dropped to -20% (i.e they both went up, which is unusual). I think the key macro and therefore crypto is the dollar and the preferred view is for an upside extension. This implies crypto, equities and commodities down near term.