What is Ethereum (ETH) Doing Right Now?
Ethereum is currently trading around the $1,010 mark and is still looking bearish on the lower timeframes. The price has been moving in a downtrend for several days now and could drop further in the next few days. The support level we were previously watching for Ethereum was the $1,050 mark. The price has already closed a 4-hour candle below it, and now we can expect ETH to move into three figures. Bitcoin also dropped in price earlier this morning which is why Ethereum is also struggling to gain momentum. Let’s take a look at the latest ETH charts to see what levels could come into play next.
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Analyzing the Charts
If we look at the latest 4-hour charts for Ethereum, we notice that ETH is playing out the rising wedge pattern. The price broke below it a few days ago and invited bears to push Ethereum down once again.
The target for this breakdown is around the $900 mark. Ethereum dropped to $882 during the previous sell-off, and we can fully expect it to retest this price zone in the coming days.
The scenario is likely to play out as the momentum is currently bearish, and Bitcoin is also dropping. It is also possible that Ethereum will drop below the previous local bottom, and we will see a new low. If that happens, we will be interested in accumulating more Ethereum.
On the other hand, if buyers step in the coming hours and break above $1,050 once again, the main resistance we will be watching is the $1,160 level.
However, this scenario is unlikely as the trading volume is still low, and there is no momentum.
Conclusion: What is Next for Ethereum (ETH)?
Ethereum is currently looking bearish and could drop further in the immediate short term. Bitcoin is struggling to gain momentum, which is also affecting Ethereum and other major altcoins. Right now, we will not be placing any short-term trades on Ethereum and will wait for it to drop further. If the price goes below the previous low, we would be interested in accumulating more ETH tokens.
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