Ethereum Price Analysis: ETH retraces to $2,450, ready for further upside?

TL;DR Breakdown

• ETH failed to set further highs yesterday.
• ETH/USD retraced overnight.
• Support around $2,400 yet to be tested.

Ethereum price analysis is bullish for today as a retracement was seen overnight back towards the previous resistance area around $2,400. Therefore, we expect ETH/USD to reverse later today and move towards further highs from there.

The cryptocurrency market traded with a loss over the last 24 hours as a strong decline was seen overnight across the board. Market leader, Bitcoin, has lost 2.76 percent, while Ethereum has around 4.3 percent. Polkadot (DOT) is among the worst performers with a loss of almost 6 percent.

Ethereum price movement in the last 24 hours: Ethereum retraces from $2,700 high

ETH/USD traded in a range of $2,449.35 – $2,665.73, indicating mild volatility over the last 24 hours. Trading volume has remained unchanged and still totals around $23.13 billion. Meanwhile, the total market capitalization trades around $291.6 billion, resulting in market dominance of 18.7 percent.

ETH/USD 4-hour chart: ETH ready for another push higher?

On the 4-hour chart, we can see the Ethereum price retracing overnight to retest the $2,400 previous resistance in preparation for further upside.

Ethereum price action has traded with a strong bullish momentum over the last weeks after support around $1,725 was retested on the 20th of July. Since then, ETH/USD has rallied by around 55 percent to the $2,700 high. 

Yesterday, ETH struggled to reach further highs and started to consolidate around the $2,600 mark. From there, the Ethereum price started to retrace overnight and has already reached the $2,400 previous resistance, which should act as a support.

Overall, this means that Ethereum should reverse once again over the next 24 hours and look to reach further highs later this week. The next upside target is located around the $2,900 mark and would mean a further gain of around 15 percent later this week.

Ethereum Price Analysis: Conclusion 

Ethereum price analysis is bullish for the next 24 hours as another higher low currently is being set after a retracement overnight. Therefore, we expect ETH/USD to reverse later today and start heading towards further highs over the next 24 hours, with the next major resistance target around $2,900.

While waiting for Ethereum to decline, read our articles on Satoshi Nakamoto, DeFi advantages, as well as Bitcoin fees.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Source: https://www.cryptopolitan.com/ethereum-price-analysis-2021-08-03/