Sellers managed to keep the mark $216.
The main scenario of the test of $250 remains valid.
An alternative scenario the test of $194-196 is possible after fixing below $208.
The previous two days in Ethereum market were under buyers initiative with the target to fix above $216. During 18 May, Ethereum price rose by 5%, and closed with a small pin. During this day, some of the largest trading volumes from 12 May were recorded. However, these were not breaking volumes, with the help of which you can start a new impulse. And as a result we see that on 19 May sellers reminded about themselves.
After slowing down the price under $216, sellers tried to start a counterattack. Though, as we can see, on the daily candle below there were impatient buyers, who did not allow sellers to close the daily candle in their favor. During 18 May, market purchases were 59%. During sellers’ attempt to counterattack on 19 May, the balance of power shifted slightly towards sellers. And the ratio of market purchases to market sales changed 49:51. However, this fact can be regarded as a probable beginning of the correction of sellers and not a change in forces in Ethereum market.
If we look at the nature of Ethereum price growth from 11 May, we see clear daily candles, which sellers can not confidently brake. Therefore, breaking $216 and the growth continuation to $250 continues to be our main scenario.
In the 4-hour timeframe, we see that Ethereum price is moving in the range $208-216:
In addition, near the mark $208 passes a trend line of buyers, conducted at local lows, where were recorded increased volume. Therefore, an alternative scenario of falling to the range $194-196 is possible after fixing the price in Ethereum market below $208.
The global critical point in this scenario is $184. Anyway, it is too early to talk about such a scenario.
While BTC’s dominance balances in place in a narrow range, ETH is meanwhile gradually losing its influence in the crypto market:
Nevertheless, looking at the dominance chart, it can be seen that it is a temporary correction and the prospect of increasing the dominance of ETH in the crypto market from 9% to 10% is quite high.
There were no significant changes in the wave analysis of Ethereum market and the marginal positions of market participants during the consolidation. Everyone is waiting for the beginning of the vector movement. We will meet on Friday and analyze whether buyers managed to break the consolidation and reach Ethereum price $250.
Image Courtesy: TradingView