The decrease and compression in trading volume on the Ethereum price chart indicate a calm weekend, and Monday's swing point may be importantThe market structure is bearish, but there is still a lack of volatility.The recent price trend of Ethereum is constrained by a resistance level of $1880 and a support level of $1750
The decrease and compression in trading volume on the Ethereum price chart indicate a calm weekend, and Monday's swing point may be important
- The market structure is bearish, but there is still a lack of volatility.
- The recent price trend of Ethereum is constrained by a resistance level of $1880 and a support level of $1750.
In the past month, the value of Ethereum [ETH] has dropped by nearly 15.2%, from the swing high of $2141 to the market price of $1816 at the time of writing. This has disappointed some ETH bulls who expect a strong rebound after breaking the $2000 mark in April.
The decrease and compression in trading volume on the price chart indicate a lackluster weekend. Will there be a breakthrough in the north or south next week? Or will the trading god prohibit Ethereum prices from hovering above the $1800 mark?
The tightening of the Bollinger band means that traders can wait for significant fluctuations to determine direction
The Bollinger band is closely related to prices, and the BB width indicator is once again at a two-month low. The trading volume has also decreased in the past few days. This occurred after ETH tested a 4-hour bullish order block in the $1720 area (cyan). The RSI also failed to break through the 45 or 55 values, indicating market hesitation.
The tight price trend means that significant fluctuations are imminent, but the direction is still uncertain. On a higher time frame, such as daily, the market structure of ETH is bearish. Before moving down, a $1880 H4 bearish order block can be tested. Traders must also be wary of liquidity chasing in any direction before reversing.
Therefore, Monday's highs and lows may be crucial for a lower time frame. Monday's strong bearish performance may set the tone for the rest of next week, with bearish targets at $1700 and $1620. On the other hand, breaking through $1880 and successfully retesting support levels may push ETH bulls back to $2000.
The increase in average coin age is inconsistent with recent exchange inflows
As of the end of April, the indicator of social dominance was close to the three-month average. In the past three weeks, it has fallen to its March low before rebounding. However, the price trend hovered around the $1820 range last week.
The balance of foreign exchange flow shows a sharp increase in foreign exchange inflows on May 19th, with a balance of 71.8kETH. The last time there was a similar surge was on May 6th, just after prices began to decline from the $2000 mark.
At the same time, the average coin age has shown an upward trend in the past month. The balance of exchange traffic indicates that selling pressure is about to rise, but the average coin age indicator emphasizes the accumulation stage. It remains to be seen whether bulls or bears will win, and Monday may be important.
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