The main dishes to remember:
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Ether’s graph shows a configuration “power of 3”, with a price target of more than $ 5,000.
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The ETH Spot ETH recorded net entries of 106,000 ether last week, marking the 7th consecutive week of positive entries.
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The ETH still faces a potential correction of 25%, because the increase in whale exchange entries and short positions.
Ether’s price graph (ETH) shows a configuration of the “3” manual “after a trend difference between $ 2,100 and $ 2,200 that took place last Sunday. This movement took place after a period of price consolidation between May 9 and June 20.
The sudden scanning of liquidity led ETH to its multimon support, but buyers quickly absorbed the drop, pushing the price above $ 2,500 by Monday.
The ether is preparing for the “most hated rally” in Q3
The power of model 3, or “AMD”, abbreviation for accumulation, manipulation and distribution, offers a framework to understand the trading strategies of institutional investors around key liquidity areas.
The accumulation phase, generally marked by a silent side price action, occurred between May 9 and June 20. During this phase, market players established positions while volatility remains low, throwing the larger bases of movements.
This was followed by manipulation, visible in brief ventilation less than $ 2,200. Here, Price Action seeks to trigger the panic of retail investors and to force the premature sale or short entrances, to reverse violently against the planned movement.
While ETH rebounded at $ 2,500, against $ 2,200, the demand for institutional investors followed. Glassnode data noted that the ETH spot recorded 106,000 ETH in net entries last week, marking the seventh consecutive week of positive flows. This significant capital movement also validates the transition from the configuration to its last step.
The distribution phase is now underway, where ETH begins to move aggressively in the opposite direction of the manipulation zone. The liquidity pools above become targets and the price often accelerates as the trapped positions are unrolled. On the current market, the objective of ether distribution phase is more than $ 5,000, that is to say a 100%rally.
The power of 3 patterns reflects Ether 2016-2017 rally. Thomas Lee, the new binme leader, stressed this fractal and suggested that the ETH could be on the verge of “most hated rally”, a push that few are waiting for, but motivated by institutional investors and the structure of the long -term market.
Related: Bitmin collects $ 250 million to launch Ethereum Corporate Treasury
Ether could cope with a 25% correction
Conversely, Cointelegraph reported that a downward perspective could also emerge. The ether faces a potential decrease of 25% to $ 1,600 after having failed to break a long -standing technical resistance and to slide under the lower limit of a multi -year symmetrian triangle on the two -week graph.
At the same time, a huge ETH whale has moved around $ 237 million in ether, the implementation of exchanges, with more than 62,000 ETH which already enter Binance over five days. This wave of redistribution of major holders in mid-term wallets suggests that assembly of sales pressure and the risk of decline for ETH.
Crypto Trader Exitpumm also noted that Ether has trouble breaking the resistance level of $ 2,500, the current short-circuited market of Altcoin. The graph shows that open -minded interests increased during the New York negotiation session, even if ETH prices have decreased.
Meanwhile, short -term financing rates have become negative and the cash volume has decreased, signaling an increasingly downwall pressure. With immediate liquidity concentrated below the current beach, key drops are between $ 2,350 and $ 2,275.
Related: Ethereum risks a drop in prices of 25% while the “massive whale” spends $ 237 million in trade
This article does not contain investment advice or recommendations. Each investment and negotiation movement involves risks and readers should conduct their own research when they make a decision.
