Last trading week on the YFII market set a record for the lowest trading volumes. Market participants have never seen such low volumes before. Sellers managed to test the critical mark of $1660 and then the fall wave from 4 December ended. Buyers met the price of $1660 without much enthusiasm.
For the last 4 days, buyers have been trying to fix above $1820. This local mark delayed the price fall on 8-10 December and has no significant impact on the YFII market. The daily timeframe shows that the bottom trend line of the blue channel is withstanding the blows of sellers for the fourth time:
However, if we take into account that sellers have the initiative in the YFII market since 21 November, their strength is noticeably exhausted. If on 26 November the daily YFII candle resembled the Horsemen of the Apocalypse, then on 11 December buyers did not even resist sellers’ attack. Thus, the YFII price reached the target of our previous article and began its reversal.
In addition, on the daily timeframe is a triangle, the range of which currently reaches 15%. The price is between two strong levels $1660 and $1900. The current slow and weak initiative of buyers is aimed at a new attempt to break $1900. If buyers fail this attack – the YFII consolidation will be delayed until the end of the month.
Scenarios and targets after the YFII price leave consolidation
At low volumes in consolidation, market manipulation is highest. At that time, it is difficult to forecast short-term price movements. Tough, the global picture looks clearer.
The strong growth momentum in the YFII market, which lasted throughout November, reached the range of $2580-2850. The main problem for buyers during this rally was the level of $1660.
There buyers had stopped for almost 50 days. The beginning of the growth wave correction and its transition to a triangle was completely based above this mark. Moments of false breakouts of the mark $1660 were rare and meticulously guarded by buyers.
Given this fact, the main scenario in the YFII market will be the growth continuation within the blue channel. Therefore, the next medium-term target is at $3260. This triangle is created to completely suppress sellers and redeem their offer at relatively cheap prices.
An alternative scenario will take effect after breaking the mark of $1660. In this case, it will be obvious too few active buyers in this range and the price will quickly fall into the range of $1300-1400.
Therefore, it is worth gaining patience and follows buyers’ efforts in the mark $1900. In a positive case, we will see oldy-moldy YFII with its new momentum of green growth.