Ethereum: Stunning -93% Decline

On February 5, 2018, in an article titled “Ethereum: Downside Targets”, we said the following:

“In addition to the conservative downside target, we have indicated the level Ethereum would be at if it lost –93% (red line) as Bitcoin did in the period from June 2011 to November 2011 (yeah, it took only five months).  Such a decline in Ethereum would bring the price to $96.95.”

On December 14, 2018, Ethereum was quoted at a low price of $84.06.  The difference between the high of $1,385.02 and $84.06 is equal to –93.93%.  This decline was similar to the decline experienced by Bitcoin in 2011.

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On January 24, 2018, in a lead-up to the February 5, 2018 article, we referenced the comparison between Bitcoin in the run-up to the 2011 peak and the run-up to the Ethereum peak in 2018, suggesting that if they can rise in the same percentage then they can decline in a similar fashion.  This latest example only solidifies our studies of failure in markets and elsewhere.

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