Ethereum price is entering a sideways consolidation

• Ethereum’s price has been losing momentum in the past two days, showing us bearish signs. 

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.