Ethereum price analysis is bearish today as we have seen a decline from the $1,275 resistance and a drop back to $1,200 support. Therefore, we expect ETH/USD to drop further overnight and break past the $1,200.
The market has traded in the red over the last 24 hours. The leader, Bitcoin, lost 2.27 percent, while Ethereum lost 4.26 percent. Meanwhile, the rest of the market followed close by.
Ethereum price movement in the last 24 hours: Ethereum forms double top at $1,275
ETH/USD traded in a range of $1,205.55 to $1,273.52, indicating substantial volatility over the last 24 hours. Trading volume has remained almost unchanged at $12 billion, while the total market cap traded at $147.91 billion, resulting in a dominance of 17.88 percent.
ETH/USD 4-hour chart: ETH prepares to spike below $1,200?
On the 4-hour chart, we can see strong selling pressure over the last hours, leading back to $1,200, which should soon be broken.
Ethereum price action has traded with strong selling pressure over the first half of October, leading to a new swing low at $1,100 support. From there, ETH/USD reacted higher and began to consolidate sideways over the past week.
After consolidation area was established around $1,200 support and resistance at $1,275, ETH lacked clear direction. Resistance at $1,275 was retested yesterday, slowly leading back lower today.
Since then, we see Ethereum price action preparing to move lower, with the $1,200 support likely to soon be broken. Once that is done, we expect a swift drop to the $1,100 previous swing low. In case it is broken, we should see a lot more downside over the rest of the month.
Ethereum price analysis: Conclusion
Ethereum price analysis is bearish today as we have seen a decline since midnight leading back to $1,200. Likely ETH/USD will look to break even lower and look to breach the $1,200 support next.