Ethereum price analysis: ETH drops further, support found at $2,900?

TL;DR Breakdown

• Ethereum price analysis is bullish today.
• ETH/USD saw another spike lower yesterday.
• Support found above $2,900 overnight. 

Ethereum price analysis is bullish today as support was found above $2,900 after another spike lower yesterday. Therefore, ETH/USD should reverse and regain some of the loss over the next 24 hours.

The market has declined over the last 24 hours with Bitcoin down by over 3 percent. Ethereum has lost 6.28 percent, with the rest of the top altcoins following.

Ethereum price movement in the last 24 hours: Ethereum continues to retrace, stops above $2,900

ETH/USD traded in a range of $2,888.66 – $3,127.45, indicating substantial volatility over the last 24 hours. Trading volume has declined by 26.57 percent, totaling $14.38 billion. Meanwhile, the total market cap trades around $348 billion, resulting in a dominance of 18.44 percent.

ETH/USD 4-hour chart: ETH looks to reverse above $2,900?

On the 4-hour chart, we can see the Ethereum price trading sideways since yesterday, indicating support has been found and a reversal is likely to follow.

Ethereum price has continued to advance this week. After more upside above the $3,000 mark at the beginning of the week, ETH/USD eventually peaked at $3,284 on the 10th of February.

From there, a quick retracement took ETH to $3,000 again, with further downside seen yesterday to the $2,900 mark. Since then, the market has moved sideways in a narrow range, potentially indicating a reversal.

In the case Ethereum price action reverses, we could see a move towards the previous high early next week. Alternatively, ETH/USD could move for an even deeper retracement, with the next support located at $2,800.

Ethereum price analysis: Conclusion 

Ethereum price analysis is bullish today as we have seen substantial retracement to the $2,900 mark, which currently offers support. Likely ETH/USD will reverse from it and look to test upside again over the next 24 hours.

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.