Ethereum price analysis: ETH drops to $2,850 major support, break lower today?

TL;DR Breakdown

• Ethereum price analysis is bearish today.
• ETH/USD continued to decline yesterday.
• Consolidation formed above $2,850.

Ethereum price analysis is bearish today as we expect more downside to follow after a sharp drop to the previous low at $2,850. Likely ETH/USD will break even lower and target the $2,700 mark next.

The market has declined over the last 24 hours. Bitcoin has lost 6.5 percent, while Ethereum 5.43 percent. The rest of the market has followed with similar results.

Ethereum price movement in the last 24 hours: Ethereum drops 10 percent

ETH/USD traded in a range of $2,861.85 – $3,066.46, indicating strong volatility over the last 24 hours. Trading volume has increased by 0.6 percent, totaling $14.72 billion. Meanwhile, the total market cap trades around $346.4 billion, resulting in a dominance of 18.73 percent.

ETH/USD 4-hour chart: ETH looks to break $2,850 support next?

On the 4-hour chart, we can see the Ethereum price action forming consolidation above $2,850, with the upside being rejected over the past hours.

Ethereum price has seen strong signs of reversal so far this week. After retracing from the new major swing high at $3,300 last week, ETH/USD set a strong higher low at $2,850.

After several days of consolidation, most of the retracement was reclaimed on15th of February as a lower high was set. Therefore, the market structure turned bearish and another push lower was seen yesterday as a conformation.

Today, we have seen the Ethereum price action reach the previous local low at $2,850. If the support breaks, we should see a lot more downside over the weekend. Else, the market could form a consolidation.

Ethereum price analysis: Conclusion 

Ethereum price analysis is bearish today as we have seen a sharp drop towards the previous low at $2,850. Likely ETH/USD will look to break even lower and reach the next support at $2,700.

While waiting for Ethereum to move further, see our articles on Coinbase vs Coinbase Pro, Hardware vs Software wallet comparison, best Crypto trading platforms in the USA.