Investors have experienced considerable stress over the past two weeks in the ETH market. The long-awaited break of the range $625-$635 on 17 December filled the eyes of investors with bright colors about a bright future. However, this confidence has been confidently extinguished since 20 December. The failure of buyers to maintain this range and the continued BTC dominance growth gave rise to a negative scenario of ETH price movements. In the previous article, we wrote that to maintain the growth trend, it is important for buyers to keep the mark of $565. Buyers coped with this task and kept the initiative. In fact, since 24 December, the ETH price has been rising steadily, without slowing down before the critical range of $625-$635.
The ETH Price Stopped Due to the Intensification of Sales
After the breakout of this range, trading volumes in the ETH market significantly increased. Today buyers’ attempt to update the local high has not yet succeeded. The whole problem is that sellers became active after breaking the mark of $700. The opposition of sellers led to local consolidation, which buyers are trying to push up. Although, there is one fact that can help sellers start a local price correction and test for strength the range $625-$635 again. If we analyze where the main trading volumes are located in the consolidation, it becomes clear that sellers are trying to change the market situation:
Placing main volumes on top of consolidation could mean the beginning of a price reversal in the ETH market. To rule out this hypothesis, buyers need to break through this consolidation at high volumes and firmly fix themselves above $747. In this case, the next step of buyers should end in the range of $800-$840. We will follow the changes in the ETH market and write fresh analyses on it!