Ethereum price analysis: Bearish momentum to drag down ETH below $1,271

The Ethereum price analysis is bearish as selling pressure has built from the bearish side. The market followed the bullish trend for the last two days, and the coin gained significant value during this time, but a correction was due for continuing further upside later on. The conditions have changed as the bears have resisted further up moves today, and the crypto pair has started a correction. Resistance for the move up was seen at $1,336, and the pair is currently seeking support just below the $1,268 level.

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Cryptocurrencies price heatmap, Source: Coin360

The market started the day with a gap down as the bears took over from here. The Ethereum prices fell to $1,271 before buyers stepped in to push prices back up. The price is down by almost 3.47% on the day as the market is correcting from here. The 24-hour volume traded in the market is $6,760,877,371, and the market cap for the coin stands at $155 billion.

ETH/USD 1-day price chart: price levels descend to $0.4877

The 1-day price chart for Ethereum price analysis shows bears are defining the price curve today. The ETH/USD is correcting after the bullish recovery of yesterday. And today, the selling pressure has returned, and the trend is the same as the bears are defining the price function by bringing the price down. ETH/USD pair is trading hands at $1,271 at the time of writing.

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ETH/USD 1-day price chart: TradingView

The RSI indicator is currently at 51.26, and it is rising, which signals that the current downtrend might see a reversal soon, but for now, the market sentiment remains bearish. The MACD indicator is bearish as the signal line is above the candlesticks, and the bulls need to take control soon to turn this around. The 50 SMA is currently at $1,275, and the 200 SMA is at $1,274, which shows that the path of the least resistance is downward, as the 200 SMA is well above the current market price.

Ethereum price analysis: Cryptocurrency value steps up to $1,271 after recovery

The 4-hour price chart for Ethereum price analysis shows a continuous degradation of price, and no considerable bullish effort has been observed today. The bulls and the bears have constantly been interchanging the leading position, but the bears are now in charge. The market is expected to be quite volatile today as the price levels are close to a major support level.

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ETH/USD 4-hour price chart: TradingView

The volatility is declining, which indicates that future market trends might turn out to support cryptocurrency buyers. If we discuss the SMA, the short-term 50 SMA is well below the current market price, which suggests that the market might see some resistance around the $1,336 level. On the other hand, if we look at the long-term 200 SMA, it is well above the current market price and might act as a major support level in case of a bearish breakout.  The Relative Strength Index (RSI) score has dropped to 59.44 due to the downward tendency shown by the price. The MACD is looking quite bearish, and it seems like the market is losing its bullish momentum.

Ethereum price analysis conclusion

Looking at the Ethereum price analysis, it can be said that the market is currently under a bearish spell, and a downward breakout might take place if the bears continue to dominate the market. The major support and resistance levels are $1,263 and $1,336, respectively. A bearish close below the $1,336 mark might result in a downtrend toward the $1,263 level, and a break above the $1,336 mark might result in an uptrend toward the $1,350 resistance level.

While waiting for Ethereum to move further, see our Price Predictions on XDCCardano, and Curve.

Source: https://www.cryptopolitan.com/ethereum-price-analysis-2022-12-15/