Ethereum price analysis is bearish today as we have seen a strong retrace lower to $1,175 this morning, however, there are still no clear signs of support. Therefore, we expect ETH/USD to continue even lower and make an even deeper retrace later in the day.
The market has traded in the red over the last 24 hours. The leader, Bitcoin, lost 0.76 percent, while Ethereum over 2.31 percent. Meanwhile, the rest of the top altcoins have followed close by.
Ethereum price movement in the last 24 hours: Ethereum continued to decline
ETH/USD traded in a range of $1,177.69 to $1,228.77, indicating mild volatility over the last 24 hours. Trading volume has declined by 27.42 percent, totaling $9.55 billion, while the total market cap totaled $143.77 million, resulting in a dominance of 15.28 percent.
ETH/USD 4-hour chart: ETH set to continue lower?
On the 4-hour chart, we can see tests of the $1,175 support. Since reaction higher was not seen, we expect ETH/USD to drop even further and test further lows early next week.
Ethereum price action has seen a strong upsurge earlier this week. A new swing high was set at $1,275, indicating that the previous major swing high has been retested and could potentially soon break.
However, a break higher did not follow immediately as another retracement began on Friday. Yesterday consolidation above $1,200 followed, while further tests of downside were seen overnight.
Therefore, the Ethereum price has created a strong retracement back to the $1,175 support. If it holds, another higher local low will be set, and bullish momentum will resume next week.
Alternatively, if the support breaks, we expect further drop to follow and a much deeper, higher low to be set. In this case, further upside could be tested as late as the next week.
Ethereum price analysis: Conclusion
Ethereum price analysis is bearish today as we have seen failure to recover at the $1,175 support. Therefore, ETH/USD should head even lower and look to set even further lower highs over the next 24 hours. However, once that is done, we expect a lot more upside later next week.