Confidence in the future can be incredibly stimulating to new achievements! Somewhere under this slogan looked like a whole trading week in the ETH market. Sellers failed to take the initiative in the market into their own hands. Although at the beginning of the week they had all the chances for this:
-confident fall on 25 November.
– sluggish interest of market participants to buy ETH at the beginning of the week.
This sluggishness was traced in the growth dynamics of the Eth2.0 deposit contract. At the beginning of the week, the average percentage of locked ETH per day increased by 1.45.
ETH price correction of is lost
Hopes for a further reduction of sellers’ price faded on Tuesday. The whole thing turned out to be in the local mark $460. In fact, if buyers were weak, they should not be fixed above this mark. Keeping a few false breakdowns on the 4-hour timeframe is a noticeable victory for buyers:
Confidently fixed in the range $470-480, buyers bought the last ones willing to sell and arranged a new rally. Since Thursday, the ETH price has risen by 23%. Thus, buyers have reached the growth channel upper line, where the price is traded from April 2020.
The frantic growth of staking in Eth 2.0
Over the weekend, buyers felt so confident that they actively began the transfer of their ETH in Eth2.0 deposit contract. If before the weekend the growth dynamics did not exceed 1.45% during the day. Then, over the weekend there was a jump from 23% to 55% (at the time of writing):
Trading volumes and ETH dominance
Analyzing the trading volumes last week, it becomes clear that buyers are not afraid of local price highs. From 16 November, it is noticeable trading volumes increase accompanied by price growth. The situation was identical in the period from 3 to 6 November and confirms the continued buyers’ dominance in the ETH market.
If we talk about the ETH dominance in general, then last week the indicator went beyond the corrective falling channel. If the ETH influence on the crypto market fixes above 12.4%, then we will expect an active indicator growth to the level 15.5%.
At the moment, the cryptocurrency market has created a comfortable environment for ETH growth. Bitcoin consolidation at frantic highs and the gradual capital flow from BTC to the main altcoins gives the right to predict the ETH growth trend acceleration. The critical point for such a scenario is the mark – $600. Having taken control of this mark, buyers will continue growth to the range $800-840 without any problems.
Given the previous weekly candle closing – all cards in the hands of buyers:
An alternative scenario of price movement is a second test of $470-480, but on a weekly timeframe. This scenario will increase the ETH price growth prospect above $840. The week promises to be positive. Let’s see if there will be a fly in the ointment.