- ETH moved higher overnight.
- Previous local low at $2,800 tested.
- Closest support at $2,500.
Ethereum price analysis is bearish for today as the market still fails to set a higher high and has set a lower high over the past days. Therefore, we expect the ETH/USD price to move towards the closest support at $2,500.
The overall market has remained relatively calm over the last 24 hours. Bitcoin has seen a small gain of 0.23 percent, while Ethereum is up by 1.85 percent. Rest of the altcoin market follows this pattern of relatively calm price action, with Tezos (XTZ) being among the only exceptions as it has gained 13.5 percent.
Ethereum price movement in the last 24 hours
Ethereum traded in a range of $2,657 – $2,797, indicating a moderate amount of volatility. The 24 hour trading volume has decreased by 20 percent and totals $25 billion. The total market cap trades at $322.9 billion, resulting in a market dominance of 19.48 percent.
ETH/USD 4-hour chart – $2,900 resistance still holds
On the 4-hour chart, we can see the market still failing to move higher, indicating that further downside could be seen later this week as the market wants to set another higher low above the $2,200 mark.
The overall market continues to make an attempt to reverse from the bearish momentum seen over the past weeks. After the market set a new all-time high at $4,400, a retracement of over 60 percent was seen last month until the $1,725 support. Therefore, bears are likely exhausted and we do not expect any further substantial downside.
The first signs of recovery were seen over the past weeks. Ethereum price action saw a sharp rally to the $2,900 resistance on 24th to 26th of May. From there, ETH/USD retraced and established a higher low at $2,200, signaling that the market wants to reverse start trending higher.
Over the following days, ETH/USD slowly moved higher until resistance at the $2,900 mark was retested again. However, bulls failed to push further and another reversal started to form over the following days.
Over the weekend, Ethereum set a slightly lower high, meaning that we can expect another several day retracement this week. Potential support level to be tested is located at the $2,500 mark. From there, ETH/USD will likely establish a higher low and start moving towards the $3,000 minor and $3,200 major resistance target.
Ethereum Price Analysis: Conclusion
Ethereum price analysis is bearish as the market still fails to move above the $2,900 mark. Since a slightly lower high was set previously, we can expect ETH/USD to retrace to $2,500 support to establish a higher medium-term lwo, from which to push higher later this month.
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