- Ethereum price shows a clear breakdown of the $1,218 to $1,202 demand zone.
- A bounce off the $1,156 support level could lead to a minor uptick to $1,254, but the journey ends after a sweep of the equal lows at $1,074.
- A four-hour candlestick close above $1,350 will invalidate the bearish thesis for ETH.
Ethereum price has shed a major chunk of its gains seen since November 22. This drop has pushed ETH to a stable support level, which will decide its fate for the near future.
Ethereum price ready to reveal its move
Ethereum price inflated by 25% between November 22 and December 14. The rally kick-started after ETH formed an equal low at $1,074 and ended by setting up an equal high at $1,352. Since setting up a local top, the smart-contract token has shed 15% and is currently bouncing off the $1,150 support level.
Investors can expect Ethereum price, which is consolidating at $1,187, to trigger a minor run-up to $1,254. A rejection here will indicate that the sellers are still in control and catalyze another leg down.
In such a case. Ethereum price could slide nearly 15% to sweep the equal lows at $1,074. This move would collect the liquidity and allow buyers another chance to accumulate BTC at a discount.
On the other hand, if buyers crowd the market at $1,254 and propel Ethereum price to flip the $1,352 hurdle into a suport floor, it will invalidate the bearish thesis. This move would cement the presence of buyers and would set the stage for a rally.
In such a case, Ethereum price could attempt a quick run-up to retest the $1,422 and $1,545 hurdles.