Ethereum (ETH and ETC) Price Trends (Week of November 21st)

Ethereum’s price is forming the last wave of the short-term downward trend. After this wave ends, the medium-term structure will begin to form. There will be a good chance for increased volatility.

ETH/USD

The first wave of almost any trend is usually formed by big traders. By pouring in big capital, they provoke the mass of small traders into either selling or buying an asset. Trading volume usually falls at key levels of any trend, because the majority of traders don’t know where the price is going to go. Because of that, those that do make the first step are clearly expecting something, and have access to big money. After the first wave, the picture of buy and sell stop orders becomes clearer, upon which one can tell what is the most profitable potential situation for the large player. In our case, the first wave of the short-term trend was between $11.5 - $10.5. After the price has fortified within the second upward wave, the third one has followed, during which the big trader was collecting his profits. The third wave has stopped near $9.5, and now the scenario may repeat itself.

ETH price chart

Judging by the buy and sell stop orders, we can predict that if the big trader starts selling Ether again, it will only be profitable until $7. After that, the picture of stop orders is repeating, albeit on a larger scale. That is why if the price fortifies near $7, there will be a chance for a fall towards $5 or lower. In regards to a p