ETHUSDT - DUMP before the PUMP 📉📈

25 ביולי 2022

Hi Traders, Investors and Speculators

Ev here. Been trading crypto since 2017 and later got into stocks. I have 3 board exams on financial markets and studied economics from a top tier university for a year.

A quick look at potential short term price action for Ethereum / ETHUSDT . There could be a chance for a quick swing trade here.
In this video, I briefly discuss the technique I use to get to the short term price target - the 20d Moving Average. This technique involves using Bollinger Bands with Fibonacci Retracement lines and multiple indicator Phoenix Ascending which contains the LSMA, RSI and EMA.

This video is my short term prediction for ETHUSD. However, from a macro perspective, I believe that we are currently in the market cycle of accumulation. This is according to the Wyckoff Method market phases. The four phases of the market cycle are accumulation, markup, distribution, and markdown. During the accumulation phase, a new cycle begins that generates a trading range. This often creates a strong resistance zone / failure point / spring . This is the precursor to another bull cycle, but it can last an extended period of time. The final moments of this phase will attract algorithm trading driven stop hunting , often observed near downtrend lows, where price drops just underneath key support and then triggers a sell-off. This is followed by a recovery wave that lifts the price back above support.

Incase you missed it - What Is Stop Hunt ?
Stop hunting is a strategy that attempts to force traders out of their positions by driving the price of an asset to a level where many people have chosen to set stop-loss orders. The triggering of many stop losses at once typically creates high volatility and this is often very obvious during the accumulation phase of the Wyckoff Method. This implies that there may be volatility during this phase as the price constantly rises and falls. If we take all of the above into consideration, Ethereum can still drop and increase (within a range) multiple times until a clear bottom is established and the next markup phase / bull cycle starts. This makes for a great time to accumulate, and even do a few swing trades with relatively low risk.

Also check out this related idea on Cardano / ADAUSDT :

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