Ethereum price analysis is bullish today as we expect the $1,750 support to hold and reverse the market later today. Therefore, ETH/USD will likely look to set another lower high over the middle of the week.
Cryptocurrency heat map. Source: Coin360
The market has traded in the red over the last 24 hours. The leader, Bitcoin, lost 6.12 percent, while Ethereum over 8.1 percent. The rest of the top altcoins have followed close by with a similar decline.
Ethereum price movement in the last 24 hours: Ethereum drops over 9 percent, retests previous low
ETH/USD traded in a range of $1,729.41 to $1,911.34, indicating strong volatility over the last 24 hours. Trading volume has increased by 42.44 percent, totaling $20.3 billion, while the total market cap trades around $211.89 billion, resulting in market dominance of 17.48 percent.
ETH/USD 4-hour chart: ETH fails to clearly breach the previous low
On the 4-hour chart, we can see a slightly lower low set at $1,725, with immediate reaction higher and consolidation formed, indicating that bears are exhausted, and retrace will follow.
ETH/USD 4-hour chart. Source: TradingView
Ethereum price has set both a clear higher low and lower high over the past week. Therefore, a consolidation in an increasingly tighter range has been formed, meaning that there is no clear trend direction as of now.
However, the first signs of a bearish breakout can be seen by the fact that the last lower local high was set as low as the $1,900 mark. Additionally, ETH/USD quickly declined by over 9 percent and briefly set a new local low at $1,725.
Overall, this means that we could see quick retracement over the next days, during which another lower high is set. From there, Ethereum price will likely have enough selling pressure to finally attempt another major break lower, with the $1,700 support still being a key level to watch.
Ethereum price analysis: Conclusion
Ethereum price analysis is bullish today as we have seen a strong drop of over 9 percent end with clear respect of support around $1,750. Therefore, ETH/USD is ready to reverse and look to set another lower high to continue the several-week consolidation in an increasingly tighter range.