ETH-USD is currently down over 3 percent on the Kraken exchange, trading at $12.04536 at the time of writing. Even though a ‘hard-fork’ has been proposed to address the attack on The DAO, uncertainty over the outcome of this solution has plagued the market and seen sellers dominate. Exchanges will hold a lot of power once the hard fork comes into play and may choose to list both sides of the fork. Whichever coin trades higher will be supported and it remains to be seen what the exchanges will elect to do.
The chart below illustrates the short-term outlook with the hourly price action. The outlook is bearish as the price action is below the Ichimoku cloud at the moment. Also, notice that the color of the cloud is red, suggesting downward trending is more likely. Therefore, this could provide an optimal entry into a short position once ETH-USD bounces down from the cloud area, provided that it is tested. Looking over the previous trading sessions, we see that the cloud rejected the bullish advance, cutting it short at $13.00. However, this cloud was a lot thicker than the one for the trading