Like the rest of the market, Electroneum has eased up a little bit and is down by about 20% today. However, this is a minor correction for a crypto that has gained by over 300% in a week. The correction is mainly driven by profit-taking after a week of supernormal profits.
Besides, volumes usually drop on weekends, as people take a breather from crypto to enjoy themselves. The only time that weekends experience heavy trading is in anticipation of some news release and in this case, there isn’t any, at least not with regards to Electroneum (ETN). However, even with this retracement, the momentum of Electroneum is positive. It looks set to continue making strong positive gains going into next week. From a look at the daily chart, Electroneum (ETN) is likely to be in the green next week. That’s because, after retracing to a low of 266 satoshis it has gained support at 307 satoshis. This is holding strong and Electroneum has now retraced to around 319 satoshis. What is emerging now is a bullish continuation pattern that could see the value of Electroneum beat its last high of 400 satoshis. It could touch a high of 500 to 600 satoshis in the course of the week.
This retracement will attract in new money going into next week, and add to the bullish momentum. There are lots of investors who missed out on last week’s Electroneum FOMO buying and would like a piece of the action, now that the price has stabilized. This explains why Electroneum buying volumes are quite high at the moment, relative to the rest of the market. It’s an indicator that investors are taking up positions in ETN, which cements its possibility of pushing higher going into the new week.
Electroneum’s possibility of a second wave of gains going into next week and beyond is also based on its solid fundamentals. The use case of this crypto is quite strong and points to a possibility where it could revolutionize payments, especially in emerging economies. Its instant payments feature could see Electroneum gain in adoption by millions of smartphone users all across the world, users who don’t have access to financial services at the moment. Since this is one of the biggest use cases of blockchain technology, it then follows that Electroneum has an edge in a market has a massive growth potential going into the future.
This gives it the impetus to continue making huge gains going forward. As a matter of fact, since its instant payments feature still has a patent pending, it is still early days for Electroneum. That’s because, once this patent is approved, it will unlock lots of value for ETN users.
More short-term is the Electroneum cloud mining feature that is expected to come to fruition in Q4. They are currently beta testing it and once it goes live, it will drive up demand for ETN mining. The demand it will spur could see ETN close the year with far higher gains than those it has experienced presently. Essentially, ETN stands to continue making gains not just in the short-term, as can be seen in the chart above, but also in the long-term, driven by strong fundamentals, that are getting stronger by the day. It’s a low-risk buy for superior returns in Q4, and most likely all the way into 2019.