Beyond the limit of growth, after closing last week’s candle above the global trend line, sellers have left for the buyers a false breakdown of the blue trend line and a chance for buyers to try to make a difference. However, after an attempt to get back to the growth channel, Ethereum buyers had a problem.
After a short fight, sellers have shown that they continue domination on the market and turning the price into a blue growth channel will not be easy. Now sellers have returned the price to the consolidation zone, from which buyers organized a shot up to $200. The first attempt to break through this range was unsuccessful. We will see if buyers have enough strength at least to continue consolidation and test $200:
An interesting fact is that growth happened on less volume than falls.
On a daily timeframe we see that the next target of Ethereum sellers is in the yellow price range of $155-160:
Also, we want to pay attention to the decreasing volumes tendency since December 2018. The daily timeframe clearly shows that interest has been decreasing with each local high and the current fall is without volume. Therefore, we believe that it is early to talk about the ending of the fall and expect a yellow price zone test.
With regard to the mood of buyers, we see that both locally and globally marginal positions of buyers are in consolidation. And now is the big probability of decreasing in positions, which should entail an accelerated fall:
By the way, the situation with Ethereum buyers’ marginal positions is very similar to the mood of Bitcoin buyers. Positions are at historical highs and in consolidation.
For sellers, the situation has remained the same since April 2019. Sellers are trying to break free of historical lows:
According to the wave analysis, we think that wave (X) is over and Ethereum sellers have started forming a new wave of fall (Y):
The first critical point for sellers at the Fibonacci level is 38.3% ($175 price mark). However, the final target may be lower than the price range $155-160, and having coped with it, sellers have the potential to test $133.
Therefore, it remains to be expected that sellers will have enough capacity to tether price at $175. And further than that, we will have to fasten seat belts, as the speed of falling can increase. Let’s see on Friday, how the working week will end and what is the likely forecast for the weekend!
Charts Courtesy: TradingView
The post Ethereum Technical Market Analysis 21st August 2019 appeared first on BitcoinNews.com.