ETH to the moon! What is causing this steep growth?WooHoo! ETH at 1450 point! But wait... What did just happened? Why the stale market turned bullish all of the sudden? 🤔
Every daily trader understands that volatility is key to profit and they are celebrating it today! Maybe that is why no one is asking WHY did this happen?
Why ETH did not go to 1200 as it was forecasted? Why Monday demand and volumes were so low? Why this obvious down-trend did not trigger a selloff? Why RSI was so high? So many questions to answer.
Let's take a look at the data - it has been a record low demand, trade volumes and volatility for 3 continues days. Most traders took their weekend off as 2% volatility did not offer much room for profit. That is perfectly understandable. Monday surprisingly was the same - almost no one was trading, record low demand, record low trade volumes and 1,5% volatility. It would be normal to assume that the market is just overpriced and a sell-off is just around the corner, but that did not happen. 3:45 GMT all of the sudden market turned greed. Not normal green, just marginal green and continued that way almost without a fault for 17 hours straight!
So what really happened? For the first few hours of price rising, there was no whale activity, no sharp rises. No demand, low volumes. However relative market data was not bad. RSI was promising and market data suggest that BOTS were slowly buying. Since there were no other participants, SRI sky-rocketed and more BOTS started to buy. Just by 10pm GMT volumes started to raise as small-time traders joined the game and FOMO began.
Here you go, empty market with no interest or demand was able to fix itself. Fascinating. 🎉
Now back to business - today's technical data: Position is long, forecasted highs are at 1455 and maybe even heading towards 1500! Foreseeable lows may be 1420 and 1400, with murky waters in regards of new support line yet to be discovered.
Have fun trading!
