- Ethereum price analysis is bearish for today.
- ETH/USD saw a higher high finally set.
- Retracement is likely to follow towards $3,900.
Ethereum price analysis is bearish today as we expect a retracement to follow after a strong break above the descending trendline. Therefore, ETH/USD will likely set another higher low next before continuing higher.
The market overall has traded in the green over the last 24 hours. The market leader, Bitcoin, gained 5.86 percent, while Ethereum 5.22 percent. Meanwhile, Avalanche (AVAX) is the top performer, with a gain of voer 15 percent.
Ethereum price movement in the last 24 hours: Ethereum breaks out of consolidation
ETH/USD traded in a range of $3,796.33 – $4,058.82, indicating substantial volatility over the last 24 hours. Trading volume has declined by 3.79 percent, totaling $18.85 billion, while the total market cap trades around $476 billion, resulting in a market dominance of 21.16 percent.
ETH/USD 4-hour chart: ETH peaks at $4,060 today?
On the 4-hour chart, we can see selling pressure currently returning for the Ethereum price action, likely leading to a retracement over the next 24 hours.
Ethereum price action has seen a steady decline over the past weeks ever since the market failed to reach its previous all-time high at the beginning of the month. When a massive decline formed a new swing low at $3,600 a couple of days later, the market saw huge volatility slowly decrease.
During the middle of December, ETH/USD slowly retraced back to the $3,650 mark after a strong lower high was set at $4,500. From there, higher lows were finally found, while the market still set lower highs, indicating an increasingly tighter range consolidation.
After another higher low was set yesterday, the Ethereum price finally had the right setup to break higher. Earlier today, ETH/USD reached a higher high at $4,060 and clearly broke above the several-week descending trendline.
Ethereum Price Analysis: Conclusion
Ethereum price analysis is bearish today as we expect a retracement to follow after a higher high was set earlier. Likely ETH/USD will move towards the $3,900 mark to set a higher low.