Ethereum price analysis is bullish today as we have seen a retest of the previous low at $1,550 with a slight reaction higher over the past hours. Therefore, we expect ETH/USD to begin recovery and move back above the $1,650 local high over the next few days.
Cryptocurrency heat map. Source: Coin360
The market has traded in the red over the last 24 hours. The leader, Bitcoin, lost 1.23 percent, while Ethereum 3.86 percent. Meanwhile, the rest of the top altcoins have seen a similar performance.
Ethereum price movement in the last 24 hours: Ethereum looks to form a double bottom
ETH/USD traded in a range of $1,535.01 to $1,640.94, indicating substantial volatility over the last 24 hours. Trading volume has declined by 9.28 percent, totaling $16.79 billion, while the total market cap trades around $190.7 billion, resulting in market dominance of 18.97 percent.
ETH/USD 4-hour chart: ETH looks to return above $1,650?
On the 4-hour chart, we can see reaction higher over the past hours after a slightly higher local low set, indicating that a double bottom reversal pattern has been formed.
ETH/USD 4-hour chart. Source: TradingView
Ethereum price action has traded with strong selling pressure over the past days. From the $2,000 resistance, ETH/USD has already retraced over 20 percent, indicating that sellers are likely exhausted.
After the first reaction higher at $1,550, ETH set the current local high at $1,650. This is the current target that needs to be broken in a clear way before we can expect further upside later in the week.
The current retest of the $1,550 mark will likely soon set a clear double bottom reversal pattern, offering a base from which to push higher later. Once Ethereum price action sees buying pressure resume, we expect the $1,650 current local resistance to be broken without much hesitation. From there, ETH/USD will have a lot of room to recover until the $1,800 next major resistance.
Ethereum price analysis: Conclusion
Ethereum price analysis is bullish as we have seen another quick retest of the $1,550 support, where a bullish pin bar was formed over the past hours. Therefore, ETH/USD is likely ready to reverse and look to recover some of the loss that was seen during last week.