Ethereum price analysis is bearish today as we have seen a strong drop lower over the past hours as the upside was quickly rejected this morning. Therefore, we expect ETH/USD to drop even further overnight.
Cryptocurrency heat map. Source: Coin36
The market has traded in the red over the last 24 hours. The leader, Bitcoin, lost 1.39 percent, while Ethereum lost 2.45 percent. Meanwhile, the rest of the market followed closely with similar results.
Ethereum price movement in the last 24 hours: Ethereum fails to recover
ETH/USD traded in a range of $1,823.53 to $1,951.68, indicating strong volatility over the last 24 hours. Trading volume has increased by 18.19 percent, totaling $19.28 billion, while the total market cap trades around $223.7 billion, resulting in market dominance of 20.01 percent.
ETH/USD 4-hour chart: ETH looks to test $1,800?
On the 4-hour chart, we can see strong selling pressure over the past hours, indicating that further downside can be expected overnight.
ETH/USD 4-hour chart. Source: TradingView
Ethereum price action has traded with strong bullish momentum earlier this month as a new major swing high was set above $2,000. However, further upside did not follow, indicating that this week we will see a steady retrace lower.
At first, ETH/USD retraced to $1,900, where consolidation was formed earlier this week. Higher low could not be set as recovery did not follow, as upside was rejected earlier today.
Eventually, the Ethereum price reacted even lower as selling pressure continued throughout the day. However, the next support at $1,800 could not be reached, likely meaning that further tests of the downside will follow overnight.
Ethereum price analysis: Conclusion
Ethereum price analysis is bearish today as we have seen rejection for upside and a swift move toward the $1,800 next support. Therefore, ETH/USD should see further downside tested before another strong wave higher is seen later in the week.