Yesterday was not as successful for Ethereum buyers as it was on 1 October. The fact is that buyers did not succeed in updating the local high during the new attack. Buyers could not even re-test $186 by stopping in front of the midline of the blue growth channel.
Instead, the sellers managed to update the local low without any problems. They even broke the lower trend line of the blue channel on the 4-way timeframe, where the price moves from 25 September. In addition to breaking the trend line, sellers fixed below the local price mark $175:
As we can see, buyers tried to find support in this price mark, but today it is broken. If the situation develops the same, the test of $155 is inevitable.
On a daily timeframe, the sluggish blue growth channel is more like consolidation with a lower limit at $155 and an upper at $186:
Right now, the price vector is headed for the lower limit of consolidation. But after such a sharp price fall, we think that the price will be trading in this range at least, giving us a clearer answer for the future scenario of the movement.
The analysis of the mood of market participants we will begin with sellers, who for several days believe and try to finally leave the protracted consolidation and are near its upper limit. However, today we want to show the global mood as an example of a weekly timeframe:
As we can see, if Ethereum sellers manage to get out of consolidation, then the potential to increase their positions is simply huge.
Another situation for Ethereum sellers who are stuck near historical highs in the chart of their marginal positions:
Activity of Ethereum buyers was stopped by the price fall on 24 September. Now, although the price has come out of the black wedge, the initiative still belongs to sellers. Oh well. We will be waiting for the new test of the price mark $155 and hope to see clearer signals about the future price movement.
Image Courtesy: TradingView