Ethereum price analysis is bearish today as we expect bears to be exhausted after another strong push higher yesterday. Likely ETH/USD will resolve the current consolidation with a push lower, with a target for the downside being the $1,250 support.
Cryptocurrency heat map. Source: Coin360
The market has traded in the green over the last 24 hours. The leader, Bitcoin, has gained 2.02 percent, while Ethereum has over 9.2 percent as it is the top performer for the day. Top altcoins like AVAX, SOL, DOT, and LTC have seen similar results.
Ethereum price movement in the last 24 hours: Ethereum gains another 20 percent, looks to retrace
ETH/USD traded in a range of $1,243.07 to $1,378.42, indicating strong volatility over the last 24 hours. Trading volume has increased by 566.89 percent, totaling $$21.5 billion, while the total market cap trades around $164.35 billion, resulting in market dominance of 17 percent.
ETH/USD 4-hour chart: ETH ready to retrace?
On the 4-hour chart, we can see the Ethereum price forming a consolidation around $1,350 as bullish momentum no longer dominates. Likely it will resolve with a push lower over the next 24 hours, leading to a much more substantial retracement early next week.
ETH/USD 4-hour chart. Source: TradingView
Ethereum price action has seen a strong upside over the course of this week. After the last swing low was set just above $1,000, ETH/USD began to push higher on Wednesday.
New higher high was set above $1,250, indicating that bulls are slowly taking control over the market. From there, quick retrace failed to push below $1,725 as buying pressure quickly returned just above it.
Another spike higher followed late yesterday, bringing the Ethereum price to reach an even stronger higher high. As soon as the $1,420 resistance was hit, ETH/USD saw a quick reaction lower, indicating that reversal was due.
Consolidation followed overnight and today, likely as bears prepare to take over the price action and retrace some of the last spike higher. The first support area is the $1,250 previous resistance. Once that is reached, ETH should see further rally over the course of next week.
Ethereum price analysis: Conclusion
Ethereum price analysis is bearish today as we have seen a strong rally higher followed by consolidation around $1,350. Therefore, bulls are exhausted again, and ETH/USD is ready to retrace towards the $1,250 previous resistance to retest is as support.