Ethereum recently rejected the confusion zone, including 0.618 Fibonacci. With the price of control, traders carefully monitor signs of a deeper stroke or trap.
The price action of Ethereum (ETH) was stalled in a technically significant area, the level of recovery Fibonacci 0.618, taken from the very last high to low level. This area is also enhanced by daily horizontal resistance and descending VWAP, adding to its weight as a decision -making zone. After several unsuccessful attempts to raise above, ETH began to turn over, exchanging at the control point (POC) of the local range.
Key technical points
- The main resistance cluster: 0.618 Fibonacci is aligned with daily resistance and descending VWAP, forming a strong technical ceiling.
- Loss POC: The price fell below the volume of control, which indicates that sellers are controlled by a short -term auction.
- Construction of a bear structure: Lower maximums and a stopped breakthrough increase the likelihood of movement in the direction of the next key support of about $ 1540.
Detailed analysis
After the impulsive step, the price of Ethereum spent several sessions, consolidating below the heavy resistance zone. The level of 0.618 Fibonacci, a widely observed recovery marker, is intensified by daily horizontal resistance and a decrease in VWAP, drawn from the last high maximum. This merger attracted a noticeable pressure on the sale, and now ETH could not break higher.
Which adds further caution to the current structure is the recent loss of the control point in this region. Price has now decreased below the node with the highest volume of the recent range, suggesting that the market no longer accepts the cost at these levels. This often precedes the rotation or continuation of the range in the direction of refusal, in this case, down.
The technical landscape also reveals a clear short -term bear structure. ETH could not print higher maximums or maintain higher low rates, increasing the likelihood of wider correction. The next level of logical support costs about $ 1540, not only the structural level of previous sessions, but also the zone with visible inefficiency of prices (for example, incomplete ruptures of fair value and individual prints), which can act as magnets for the price.
This installation opens the door for a potential transition to 10% of the shortcomings from current levels, especially if recent swing fails. Nevertheless, traders should remain on his guard with the possibility of falsification, since Ethereum previously showed sudden power from similar zones of rejection.
What to expect in the upcoming price action
The inability of Ethereum to break out of the merger zone 0.618 and its deviation from POC involves a higher probability of rotation in the direction of lower supports. If the price breaks below the recent swing, the region in the amount of $ 1540 may be the following purpose.
However, if buyers can protect current levels and restore POC, this may turn out to be local false before resuming up. At the moment, caution is justified, since the price is soared near the decisive level.
