During the past week, buyers tried to break the situation on the market and did not allow sellers to test the price zone of USD 115-USD 120, about which we wrote in the previous analysis. On 5 March, buyers with the help of one day candle crossed all attempts by sellers, which lasted three days, continuing the fall:
Interestingly, sellers without much volume broke the price zone of USD 135-USD 140, although, on 24 February they did not manage to pass this point even in large volumes. However, after breaking the price zone down the buyers also on small volumes turned the price back and at the moment buyers and sellers decided their relationship in the price corridor of USD 135-USD 140.
However, the price zone of USD 135-USD 140 is not too important to focus on. If you look at a short history, the price stops around this price zone, but does not unfold:
Therefore, for us, the key price zones are USD 155-USD 160 (the key area for sellers) and USD 115-USD 120 (the key area for buyers).
If we analyze the weekly timeframe, we see that the price is globally still moving in the falling channel, which was conducted from January 2018:
For a breakthrough, this trend is not of enough volume now. The excitement around this coin has passed. Although it remains the second after BTC, buyers stopped being as aggressive as they did during the growth from 18 December.
Though, the mood of ETH buyers is much better than BTC buyers. If we analyze the marginal positions of buyers, it is clear that they are increasing from 26 February:
Nevertheless, while the price is under the price zone of USD 155-USD 160 – to talk about the willingness of buyers to change the global trend is early.
Sellers continue to close their margin positions:
Estimating the situation concerning volumes which have significantly decreased, the maximum growth that we expect at this moment is USD 185 in the form of a false breakdown of the price zone of USD 155-USD 160:
At this price, the correction may end after the fall from November 2018, and the upper trend line of the falling channel will also be tested.
However, in our opinion, the continuation of consolidation in the triangle and the test of USD 115-USD 120 are more probable now.
Follow BitcoinNews.com on Twitter: @BitcoinNewsCom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Want to advertise or get published on BitcoinNews.com? – View our Media Kit PDF here.
About the Author: Peter Oleshchuk is a trader and technical analyst. He has spent two years studying and analyzing the crypto market. Image Courtesy: TradingView