Ethereum price analysis is bullish today as we have seen another strong push lower being met with a reaction higher above the $2,100. Therefore, bulls are sending a strong signal that retracement will follow over the rest of the week.
Cryptocurrency heat map. Source: Coin360
The market has traded mostly in the red as selling pressure continued over the last 24 hours. The leader, Bitcoin, managed to remain in the green, with a 0.47 percent gain, while Ethereum lost 1.57 percent. The rest of the top altcoins declined even further.
Ethereum price movement in the last 24 hours: Ethereum retests downside again after consolidation
ETH/USD traded in a range of $2,170.84 to $2,441.08, indicating strong volatility over the last 24 hours. Trading volume has declined by 4.72 percent, totaling $43.93 billion, while the total market cap trades at $277.3 billion, resulting in a dominance of 20.3 percent.
ETH/USD 4-hour chart: ETH ready to retrace?
On the 4-hour chart, we can see massive rejection for Ethereum price over the last hours, indicating that a push higher will soon follow.
ETH/USD 4-hour chart. Source: TradingView
Ethereum price action has seen a steady decline over the past days. From the $2,950 previous local high, ETH/USD has lost over 28 percent to the $2,113 low that was set over the last hours.
Therefore, bears are likely exhausted, and we can expect a reversal to follow soon. Additionally, the sharp reaction higher also indicates that retracement should follow over the next days.
Ethereum price likely will move to retest previously broken support levels as support next. The first obvious target would be the $2,600 area, with a much stronger previous support located at the $2,700 area.
Ethereum price analysis: Conclusion
Ethereum price analysis is bullish today as we have seen a quick spike lower being met with strong buying pressure. Therefore, ETH/USD has likely finally found its bottom and is ready to retrace previous losses.