Ethereum's Boring Price Action — Why It’s Not Unusual But Still Dangerous for Traders!
For the past 12 days, Ethereum (ETH) has been stuck in a $200 range.
* Support: $2,550
* Resistance: $2,750
In fact, if you look at the price from 12 days ago, it’s almost identical to what it is now. Simply put, the last 12 days have been boring and, some might say, pointless.
But before we get too frustrated, let’s remember: this kind of price action is pretty normal. In the crypto world, markets range sideways 70-80% of the time.
So, what’s causing this?
1️⃣ Market Consolidation:
After a big move—like the sharp drop Ethereum experienced at the beginning of August—the market often takes time to consolidate. During this period, prices move sideways as traders and investors reassess their positions.
2️⃣ Volatility and Liquidity:
Even though ETH and other cryptos are known for their volatility, that volatility often comes in short, intense bursts. The rest of the time, prices stabilize within a range.
However, trader impatience is a hidden danger in this kind of prolonged consolidation.
When the market is stuck in a range for too long, traders can start to see opportunities where none exist. This often leads to entering risky trades, only to be stopped out when the real price action finally kicks in.
So, what should you do?
Watch and Prepare.
This is the time to strategize for the breakout. Be ready for movement in either direction. Select your most promising tokens, and nail down the key details—like entry points, stop losses, and more.
