Market Structure Note: ETH and Wyckoff Accumulation
Ethereum’s recent price action is aligning with elements of a Wyckoff accumulation framework, a model often used to analyze how larger participants build positions over time.
Key observations:
Structure: Price behavior suggests potential accumulation, where supply is gradually absorbed rather than aggressively sold.
Last Point of Support (LPS): Recent support holding may represent an LPS, a phase that can appear before upward expansion.
Confirmation signal: A sustained break above near-term resistance (often called a “Sign of Strength”) would be needed to validate this structure.
Context:
Wyckoff patterns describe market behavior, not outcomes. If accumulation is confirmed, it would indicate improving market structure. Without confirmation, the range may simply persist.
Takeaway:
ETH appears to be in a phase worth monitoring for structural confirmation, with future direction dependent on how price responds at resistance.