December monthly candle closed below the critical price zone $138-145 and looks pretty confident.
If buyers manage to regain the range $138-145, the next global target is $210.
In case of closure of the next few weekly candles below $138, a test of $115 is inevitable.
New Year miracle. This term expresses something light, pleasantly unpredictable and unusual. However, this concept was not present on Ethereum market this time. For the last two days of the old year, buyers did not start fixing Ethereum price above the price range $138-145. After testing this range on 29 December, buyers simply stopped and apparently went out to celebrate, giving a local initiative to sellers. It is how the local consolidation which has formed since 18 December has seamlessly transitioned into the new year:
The weekly timeframe shows us that unsuccessfully closed candle of the previous week for sellers, did not inspire buyers to try to regain the purple range $138-145. Thus, for the third week, the candle is trading below the critical price range. And with each new weekly candle, sellers will have increased confidence that they will continue to fall.
The monthly weekly candle in Ethereum market closed much more confidently than in Bitcoin market:
Of course, the pin is present, but most of the candle consists of the body, which indicates the dominance of sellers. The only fact which should be alarming is the decrease of volumes during updating local lows and identical volatility of Ethereum price.
Buyers’ marginal positions have been consolidating at the historical high for 4 months now:
The last truly confident monthly candle on the chart of buyers’ marginal positions was recorded in December 2018.
During the year, sellers were able to update the historical low on the chart of marginal positions 2 times:
The latest update was just on 30-31 December. Isn’t it a New Year’s miracle?:)
Ethereum coin sellers were able to correct the growth from December 2018 by almost 78.2%, which is a pretty deep correction:
For example, on Bitcoin chart correction was 50%. It indicates to less investors interest at the moment. In case of Bitcoin growth it is unknown how actively buyers will raise Ethereum price. The global buyers critical point is at $210. However, first let’s see if buyers can still fix above $145. Otherwise, there is nothing to stop sellers from trying to re-test $115.
Image Courtesy: TradingView