Ethereum price is entering a sideways consolidation

Ethereum chart analysis

Ethereum’s price has been losing momentum in the past two days, showing us bearish signs. This led us to see the formation of a new glacial low at the $3393 level last night. For a short time, the price was below the EMA 200 moving average, and later, we saw a return above $3450. Today’s resistance, a level where selling pressure is significantly high and prevents the price from rising further, is at the $3500 level, which is not good for us if we plan to move further to the bullish side.

A new bearish consolidation followed, followed by another pullback to $3450 and the EMA 200 moving average. This brings Ethereum back under bearish pressure and increases the chances of us seeing momentum below this support. After that, we may see a test of yesterday’s low before creating a new one. Potential lower targets are the $3380 and $3360 levels.

Ethereum, at the turning point, is sitting on the EMA 200 moving average

At $3380, the price could find support as we successfully maintained above that level last week. For a bullish option, it is crucial to hold above the EMA 200 first of all. If we succeed in this, Ethereum could start a positive consolidation. A new price return to the $3500 zone would be the first step that could initiate further growth.

It also moves us above the daily open price, which increases optimism for a bullish scenario. Potential higher targets are $3520 and $3540 levels. The $3540 zone is of utmost importance because we are testing the weekly open price there, and we need a break above it to move to the positive side. This reiteration should make you feel the significance of this level.

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