Ethereum (ETH) has finally declined below the 50 day exponential moving average against Bitcoin (BTC) after testing the key resistance level yesterday. The price ended up closing below the 50 Day EMA, it tested it again today but failed to break past it. The daily chart for ETH/BTC shows that Ethereum (ETH) is primed for a strong downtrend from current levels. It is only a matter of time before we see the price break below the long descending triangle and fall to new yearly lows. This one chart should make it abundantly clear to most altcoin enthusiasts that the market is yet to come down harder on altcoins and a lot of Ethereum ICOs will be hurt pretty badly. Such a big wipe out of altcoins off the market might bring in the SEC and/or other regulatory agencies into all this and things could take a turn for the worse.
Ethereum (ETH) and the thousands of ICOs that were built on it are still under threat from regulatory agencies for serious violations of financial laws. It is only a matter of time before these agencies get involved and start questioning the dealings of some of these ICOs and how they were allowed to operate on the Ethereum blockchain. The result no doubt will also be a big blow to Ethereum (ETH) besides the thousands of useless altcoins that do nothing to add value to the market. Most of these ICOs were launched from Russia while they raised funds from other parts of the world. This has made Russian regulators and officials very lax about cryptocurrencies as they have seen the influx of new capital that these ICOs have brought. However, with the US cracking down on all things that take money from the US to foreign countries,