Ethereum Price Analysis: ETH spikes to $2,700, set for a slow retracement today?

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  • ETH made another move higher overnight.
  • Ethereum rejects further upside around $2,700.
  • Market set to retrace today.

Ethereum price analysis indicates bearish momentum to follow over the next 24 hours as another spike higher was seen overnight and the further upside was rejected below $2,700. Therefore, we expect ETH/USD to retrace some of the gains and retest the $2,400 major resistance as support.

Ethereum Price Analysis: ETH spikes to $2,700, set for a slow retracement today? 1
Cryptocurrency heat map. Source: Coin360

The overall market trades with a slightly bearish momentum over the last 24 hours. The market leader Bitcoin has lost 5 percent, while Ethereum remains flat. Rest of the top altcoins trade with mixed results of -2 to 2 percent.

Ethereum price movement in the last 24 hours: Ethereum spike to $2,700

ETH/USD traded in a range of $2,511.38 – $2,695.43, indicating mild volatility. Trading volume has increased by 22.75 percent and totals $23.5 billion, while the total market cap trades around $303.5 billion.

ETH/USD 4-hour chart: ETH set for a retracement?

On the 4-hour chart, we can see the Ethereum price rejecting further upside overnight as bears prepare to finally retest the $2,400 resistance as support.

Ethereum Price Analysis: ETH spikes to $2,700, set for a retracement today?
ETH/USD 4-hour chart. Source: TradingView

Ethereum price has rallied by more than 55 percent since the last major swing low around $1,725, which was tested on the 20th of July. Since the previous major swing high of around $2,400 was broken, we can assume that the overall market structure has started to become a lot more bullish again.

However, ETH/USD bullish momentum likely is exhausted as of now and a retracement is needed over the next days before we can expect further upside. Therefore, Ethereum is likely to start heading lower later today and reach the $2,400 previous resistance, which should act as support next.

Once the $2,400 support is tested, we are likely to see Ethereum price make another attempt to push higher. The next major resistance level is seen at around $2,900 as ETH tested it several times during the end of May. Alternatively, ETH/USD could break below the $2,400 mark and retrace a lot more over the week.

Conclusion 

Ethereum price analysis indicates bearish momentum to take over later today as further upside around $2,700 was rejected overnight. Therefore, we expect ETH/USD to retrace towards the $2,400 previous resistance next. 

While waiting for Ethereum to decline, read our articles on Satoshi Nakamoto, DeFi advantages, as well as Bitcoin fees.

Source: cryptopolitan.com

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