Ethereum price analysis is bullish today as we expect the second retest of $2,650 to offer enough support for a reversal to follow. Therefore, ETH/USD should head higher and retrace some of the previous losses.
The market has seen slight bearish momentum over the last 24 hours. The leader, Bitcoin, lost 0.08 percent, while Ethereum 0.47 percent. Meanwhile, Terra (LUNA) is the worst performer, with over a 9 percent loss.
Ethereum price movement in the last 24 hours: Ethereum retests previous low, prepares to move higher
ETH/USD traded in a range of $2,645.34 – $2,721.10, indicating mild volatility over the last 24 hours. Trading volume has declined by 37.79 percent, totaling $16.835 billion, while the total market cap trades around $323.48 billion, resulting in a dominance of 19.65 percent.
ETH/USD 4-hour chart: ETH ready to retrace?
On the 4-hour chart, we can see selling pressure diminishing over the last hours, indicating that the Ethereum price will look to retrace later in the weekend.
Ethereum price action has seen more downside reached over the past days. After a strong spike to $2,950 on 4 May 2022, ETH/USD quickly reversed and broke past previous lows.
Therefore, the overall trend remains heavily bearish. However, bears are exhausted again as the market consolidates around the $2,650 mark.
Likely Ethereum will soon look to reverse and set another lower high before more downside follows later in the month. Overall, as long as the $2,950 current high is not broken, we expect ETH/USD to reach more downside.
Ethereum price analysis: Conclusion
Ethereum price analysis is bullish today as we have seen a slowdown for the previous swelling pressure and a second retest of the $2,650 support. Likely, ETH/USD will reverse from there and look to test $2,775 previous support as resistance next.