Ethereum is on the verge of a breakdown as the price of the cryptocurrency continues to struggle to maintain the uptrend it started earlier in November.
The break of the $494 resistance level saw Ethereum during more than 31% in a matter of weeks. However, this bullish price surge has stalled and is currently under massive bearish pressure.
In this Ethereum analysis, we will be taking a closer look at the price of the cryptocurrency, and pointing out key levels, important patterns, and indicators to watch out for both the bullish and bearish price scenarios.
Watch Out For The Bearish Double Top Pattern
The most important horizontal resistance to keep an eye on in the coming days is the $623 previous. The Ethereum price surged to this price level before crashing back and then coming up to form a double top pattern.
If Ethereum continues to trade below this resistance, then there is a high probability that we might see a dump back down to the $500 or even as low as the $400 price region in the coming days.
However, if the Ethereum price manages to break through the horizontal resistance, then there is a high probability that we might see the bullish trend continue for the rest of the year.
And since Ethereum is a leading indicator for Altcoins, we can expect a bullish move in Ethereum to drive the Altcoins market higher, with Altcoins appreciating in value against the US dollars.
We created a video below about the Explosive Bitcoin Breakout about to happen soon! and the best ways to take advantage of the move.
We also talked about key fundamental factors that would affect the Bitcoin price in the coming days as well as key levels and patterns to watch for in the coming weeks.
For a list of the top best Altcoins to put on your watch list and trade during this coming bull run, check out my Top 25 Cryptocurrencies by Market Capitalization
To gain more information on how to partake in this coming Bitcoin Bull run and trade this cryptocurrency, you can read my How To Trade Bitcoin Guide. You can also check my top list of Best Bitcoin Exchanges To Trade With.