Ethereum price analysis: ETH spikes to $2,300, a swift retracement to follow?

TL;DR Breakdown

• Ethereum price analysis is bullish today.
• ETH/USD saw a strong decline overnight.
• Next support at $2,300 was briefly tested.

Ethereum price analysis is bullish today as a reaction higher should follow the quick spike lower seen overnight to $2,3000. Likely ETH/USD will look to set another lower high before more selling returns.

The market has declined substantially over the last 24 hours, with the leaders, Bitcoin and Ethereum, down by 6.58 and 9.54 percent, respectively. Meanwhile, the rest of the top altcoins follow closely.

Ethereum price movement in the last 24 hours: Ethereum finds resistance at $2,750, drops over 16 percent to $2,300

ETH/USD traded in a range of $2,308.91 – $2,725.95, indicating strong volatility over the last 24 hours. Trading volume has increased by 79.42 percent, totaling $24.6 billion, while the total market cap trades around $292.25 billion, resulting in a dominance of 18.16 percent.

ETH/USD 4-hour chart: ETH set to retrace

On the 4-hour chart, we can see the Ethereum price reacting higher over the past hours as the $2,300 support has been respected.

Ethereum price action has seen a steady decline over the last week as the market has reversed once more after a lower high wa set at $3,200 on the 15th of February.

Since the last high, ETH/USD has lost over 28 percent to the $2,300 mark, indicating a very extended downswing. However, as of now, there are no signs of reversal, meaning more downside could follow over the next days.

Currently, we see the $2,300 preventing more downside as sharp reaction higher has already been made. Therefore, we expect ETH/USD to retrace some of the loss seen since yesterday, with the next lower high likely set around $2,600 previous support level.

Ethereum price analysis: Conclusion 

Ethereum price analysis is bullish today as we saw a strong decline over the past 24 hours lead to the next support at $2,300. Therefore, we expect sellers to be exhausted again and ETH/USD to retrace some of the loss over the next days. 

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.