The Ominous Ethereum Comparison That Will Leave Bulls Petrified

All across finance, the conversation of the day has been centered around China and the ongoing regulatory crackdown  As it pertains to the crypto market and assets like Bitcoin and Ethereum, holders are wondering if there could be spillover effect and additional FUD that could on the ongoing recovery in play.

But it is in the Tencent chart itself that suffered a devastating collapse today that should have Ethereum bulls worried due to a frightening comparison between the two. Making matters worse, knocking on wood won’t help, as the Lumber futures chart could help shed a light on what the next target might be for the top ranked Ethereum nearly four times as much, and even the stock market is more than double the value it was more than one year ago.

Cryptocurrencies corrected harshly a few months ago, but the stock market kept on climbing. The US stock market still is, although as of today the rally to new record highs has taken a pause – a pause due to fear related to a completely different region.

Related Reading |  TA: Ethereum Trims Gains, Why ETH Could Restart Its Rally

In addition to the country banning Bitcoin mining and causing other dramatic that hurt crypto prices, China has been rolling out a widespread regulatory crackdown that has crippled certain stocks in the country. For example, Tencent dropped more than 10% in the last 48 hours alone. Such a drop is nearly unheard of in the stock market, while that type of move is typically a walk in the park by crypto standards.

An equally sized move in an

Let's hope Ethereum doesn't fall victim to a similar fate | Source: ETHUSD on TradingView.com

Ethereum Chart Comparison Has Bulls Knocking On Wood

A comparison with Tencent is exactly why crypto bulls need to be worried and fearful. The top Why The Next Crypto Bear Market Will Be The Worst Yet

Random-length lumber futures have a chart that shows a drop so nasty, that if the same thing happened in Ethereum, it would take price per

Not loving the similarities in these charts. Could #Ethereum follow this path? pic.twitter.com/filaaaFJMa

— Tony “The Bull” Spilotro (@tonyspilotroBTC) July 27, 2021

What do you think, is Ethereum in trouble?

Follow @TonySpilotroBTC on Twitter or via the TonyTradesBTC Telegram. Content is educational and should not be considered investment advice.

Featured image from iStockPhoto, Charts from TradingView.com

Source: https://www.newsbtc.com/analysis/eth/ethereum-tencent-lumber-crypto-comparison/