Ethereum has been stuck below its near-term resistance level at $190 for the past several weeks, and both ETH’s bulls and bears have been deadlocked as they hold the cryptocurrency steady within the mid-$180 region.
This bout of sideways trading may soon be coming to an end, however, as analysts are now noting that ETH’s Bollinger Bands are currently squeezing, which means that a massive price movement could be imminent.
At the time of writing, Ethereum is trading down 1% at its current price of $185.70, which marks a slight retrace from its daily highs of $190 that were set yesterday in a brief upwards movement that ultimately resulted in another rejection at this resistance level.
Currently, ETH is trading its lowest price seen over the past 24-hours, but it is nearing a region where it has consistently found decent buying pressure, meaning that it may be able to hold steady above this level in the near-term assuming that there is no major Bitcoin movement that guides the aggregated markets.
Bitcoin has been contributing to ETH’s bout of sideways trading, as it has been caught around $8,700 for the past several days after being rejected from the lower-$9,000 region earlier this week.
Ethereum’s Bollinger Bands are currently incredibly tight, which could signal that a massive price movement is imminent.
RJ, a popular cryptocurrency analyst on Twitter, spoke about this in a recent tweet, explaining that November has also historically been a month of tremendous volatility for the cryptocurrency.
“$ETH / USD: November squeeze, one of the biggest we’ve ever seen: BBW grinding the bottom for almost two months now. Nov ’17 – Start of the bullrun, $280 –> $1400. Nov ’18 – Start of the capitulation, $230 –> $80. Nov ’19 – ?” he noted while pointing to the below chart.
As for where this volatility could send ETH, MoonOverlord, another poplar crypto analyst, explained in the chart found within the below tweet that he believes the crypto could target $300 in the near-term.
The coming hours and days could be pivotal for Ethereum, as its response to its tight Bollinger Bands could set the tone for how it trends throughout the rest of the year.
Featured image from Shutterstock.