Ethereum price analysis is bullish today as we expect a higher local low to finally be set as bearish momentum has calmed down. Likely ETH/USD will reverse above $1,000 previous low and begin to retrace further in June.
Cryptocurrency heat map. Source: Coin360
The market has traded with slight bullish momentum over the last 24 hours. The leader, Bitcoin, has gained 1.63 percent, while Ethereum has just over 2 percent. Meanwhile, some of the top altcoins have gained 6-9 percent, potentially indicating that the rest of the market will follow soon.
Ethereum price movement in the last 24 hours: Ethereum fails to break $1,250 resistance, retests downside again
ETH/USD traded in a range of $1,091.68 to $1,246.14, indicating a moderate amount of volatility over the last 24 hours. Trading volume has declined by 16.39 percent, totaling $24.63 billion, while the total market cap trades around $134.25 billion, resulting in dominance of 14.83 percent.
ETH/USD 4-hour chart: ETH looks to retest $1,000?
On the 4-hour chart, we can see a steady decline since morning as the $1,250 mark served as resistance again. Ethereum price seems to have slowed down over the past hours, potentially meaning that a higher local low will finally be set.
ETH/USD 4-hour chart. Source: TradingView
Ethereum price action has seen heavy selling for more than a week now. After the previous consolidation in a descending triangle pattern, ETH/USD quickly broke past the $1,700 support of 10 June 2022.
From there, the first support was found at $1,450, meaning a total loss of around 25 percent from the previous local high. Selling continued after a quick reaction higher as bears remained in control over the market.
The next stop was seen as low as $1,150 support, with a reaction to $1,250 shortly after. Ethereum price could not sustain further recovery, leading to another quick spike lower yesterday – this time to the $1,000 mark.
ETH/USD returned to retest previous local high resistance at $1,250 overnight, indicating that reversal could soon begin as selling pressure has decreased. However, further upside could not be reached as another test of downside followed.
Currently, we can see another steady push lower. Since the momentum to the downside has decreased, likely ETH will finally set a higher local low, which in turn, will send the market above $1,250 local resistance.
Once that is done, the rest of June should be spent in a retracement. The potential target to the upside is likely the $1,700 previous consolidation support. This would mean another clear major swing lower high to be set, and from there, another major push lower later in the summer to follow.
Ethereum price analysis: Conclusion
Ethereum price analysis is bullish today as we have seen a steady decline towards the $1,000 previous low turn into consolidation over the past hours. Therefore, a reversal could soon follow, meaning that a higher local low is set, and ETH/USD is ready for a much more substantial retrace over the next weeks.