- ETH spiked below $1,850 overnight.
- Major support at $1,725 was reached.
- Ethereum is likely to retrace some of the gains.
Ethereum price analysis indicates bullish momentum to follow over the next 24 hours as the major support of around $1,725 was reached today. Therefore, we expect ETH/USD to retrace some of the loss seen over the last 24 hours and retest the $1,850 previous support as a resistance next.
Bitcoin has declined by almost 5 percent over the last 24 hours. Ethereum has seen an even worse performance with a loss of almost 6 percent. The rest of the market follows the majors with a more substantial drop of around 7-10 percent.
Ethereum price movement in the last 24 hours: Ethereum spikes to $1,725
ETH/USD traded in a range of $1,722.05 – $1,867.97, indicating a moderate amount of volatility. Trading volume has increased by 33 percent and totals $17.46 billion. The total market capitalization stands around $204.44 billion, resulting in market dominance of 17.2 percent.
ETH/USD 4-hour chart: ETH ready to retrace?
On the 4-hour chart, we can see the Ethereum price rejecting further downside around $1,725, which should lead towards a retracement over the next 24 hours.
Ethereum market trades with a strong bearish momentum over the past week after a failure to move higher on the 12th of July. A strong consolidation area was formed around $2,100-$2,150, after which Ethereum could not break past the $2,200 again.
What followed was another sharp decline to the $1,850 mark. From there, Ethereum set two lower highs, with the 50 period moving average red line offering additional resistance. On the 18th of July, Ethereum gathered strength and made another strong wave lower below the $1,850 mark yesterday.
This Ethereum price development resulted in a strong spike below the $1,850 support overnight, and the $1,725 mark quickly reached. Currently, ETH/USD rejects further downside, indicating that we will likely see bulls take over the momentum and retrace some of the loss seen over the last 24 hours.
Previous support around $1,850 will likely be retested as resistance, and ETH/USD will likely reverse and start pushing lower again latest this week. Once the $1,725 major support breaks, the market will continue reaching further lows over the next weeks as the several-month downswing continues.
Ethereum Price Analysis: Conclusion
Ethereum price analysis indicates bullish momentum to take over later today as the market looks to retrace some of the loss over the last 24 hours. Therefore, ETH/USD is likely headed to retest the $1,850 previous support as resistance before heading lower later this week.