Ethereum has been moving inside an ascending triangle with its higher lows and resistance around the $166 mark. Price is still hovering close to the bottom of the triangle so it might be due for another support test soon.
The 100 SMA is above the longer-term 200 SMA for now, but the gap between the two has narrowed to reflect weaker bullish momentum. A crossover could confirm that sellers are taking over and that a break of the bottom could follow. In that case, Ethereum could slide by the same height as the triangle pattern that spans $80 to $166.
RSI is pointing down to indicate the presence of selling pressure. This oscillator has crossed the center line to confirm that momentum is in play and that there could be a bit more left until overdone conditions are seen. Stochastic has already reached the oversold region to reflect exhaustion among sellers, so turning higher could signal that bulls might defend the triangle floor.
Vitalik Buterin’s proposal for a gas-free Ethereum might be drawing some interest and criticism from the community as this would likely impact demand for the digital asset. He tweeted:
I propose we consider supporting a community norm that client/wallet devs can/should charge a 1 gwei/gas fee for txs sent through their wallet, we don’t try to circumvent such fees, and we support protocol changes to make such fees easier (eg. abstraction enabling multisends).
He explained that increasing average user gas costs by 7% would translate to at least $2 million per year in increased funding for Ethereum developers.
One response to this idea was:
So much for free enterprise? Shouldn’t wallet devs be allowed to charge what they want, even if this is zero?
Remember that an ethereum wallet/client is inherently a high trust thing; a bad one could steal all your money. This works against forking wallets to remove the fee, I would predict to a large extent.