The purpose of this publication is to examine the ETH USD price over time in the context of Wyckoff accumulation and distribution schematics. It appears that we entered a period of distribution or re-distribution in early May with a buying climax (BC) observed on May 10. This event was followed by an automatic reaction (AR) and an upthrust (UT). Resistance lines are placed at the BC and the UT highs; a support line is placed at the AR low. On May 14, we observed a secondary test (ST) of supply and demand at price levels in proximity to the BC. On May 16, the ETH USD price descended below the AR support line and sign of weakness (SOW) was observed. Supply was now in control. The SOW was followed by a last point of supply (LPSY), a feeble rally in which the ETH USD price had quite a bit of difficulty advancing upward.
On May 18-19, ETH USD may have transitioned to Phase A of re-accumulation. With supply in firm control, the price was marked down considerably, found preliminary support (PS) and a selling climax (SC) was observed. The SC was followed by an AR. From May 20 to 23, the ETH USD price was marked down considerably, with the ETH USD price observed in proximity to that of the SC, which defines the ST. The ST dipped below the SC. Note the resistance lines placed at the high of the AR and the rally that followed the ST. Support lines were placed at the low of the SC and the ST. To the best of my knowledge, ETH USD is in Phase B of re-accumulation and its price will be observe in the trading range defined by the support and resistance lines. It is likely that the ETH USD price will test the remaining supply with the price observed near the support lines (Phase C) before being marked up in a sign of strength (SOS) in Phase D.
This is not financial advice. I am not your financial advisor. This is my opinion.
On May 18-19, ETH USD may have transitioned to Phase A of re-accumulation. With supply in firm control, the price was marked down considerably, found preliminary support (PS) and a selling climax (SC) was observed. The SC was followed by an AR. From May 20 to 23, the ETH USD price was marked down considerably, with the ETH USD price observed in proximity to that of the SC, which defines the ST. The ST dipped below the SC. Note the resistance lines placed at the high of the AR and the rally that followed the ST. Support lines were placed at the low of the SC and the ST. To the best of my knowledge, ETH USD is in Phase B of re-accumulation and its price will be observe in the trading range defined by the support and resistance lines. It is likely that the ETH USD price will test the remaining supply with the price observed near the support lines (Phase C) before being marked up in a sign of strength (SOS) in Phase D.
This is not financial advice. I am not your financial advisor. This is my opinion.
