Ethereum Forms Classic ICT Power of Three Setup

In today’s technical analysis, let’s take a look at Ethereum, which is currently forming a structure that many ICT traders will immediately recognize.

The setup resembles the classic ICT Power of Three model. First, we had the accumulation phase, marked with a yellow rectangle. During this stage, the market traded sideways as liquidity was building and positions were being accumulated.

After that, we saw the manipulation phase marked in red. This stage typically involves a move designed to trap traders on one side of the market before the real directional move begins.

Now the market appears to be entering the third stage, the distribution phase. In this phase, the expectation is usually for the price to move significantly lower. So far, however, the distribution is relatively mild. We are not yet seeing aggressive selling pressure.

One reason for that is the presence of a clear horizontal support marked in green. This support is currently holding the price relatively high and preventing the acceleration of the downside move.

This level becomes the key trigger for the next phase. As long as the green support holds, the distribution process remains limited. However, if the price breaks below this support, it would likely trigger stronger selling pressure.

A decisive break of the green level would therefore generate a strong sell signal and could lead to a rapid expansion of the distribution phase. For now, traders should closely monitor this support, as it defines the moment when the bearish move may accelerate.

Source: https://www.axiory.com/analytics/technical-analysis/ethereum-forms-classic-ict-power-of-three-setup