- Ethereum price has downward Fibonacci projection targets at $2,900 and $2,670.
- ETH price volume has increased in bearish favor.
- Invalidation for the bearish count is a break above $3,300.
Ethereum price has suffered a blow at the $3,200 support level. Investors should consider further drops in the ETH price as the bears display strong control.
Ethereum price support has vanished
Ethereum price is at the time of writing, trading at $3,040 and retesting a key level on the 4-hour chart. Last Thursday, FXStreet analysts made the call to expect a dip into the current price level as Ethereum price displayed multiple sell signals. The bearish thesis also mentioned a possibility for extended targets at $2,987 and $2,930 to get breached.
Ethereum price is likely to fully validate the bearish analysis in the coming days. The volume profile is signaling strong confidence from the bears. The Relative Strength Index displays a lack of interest from Smart Money Investors as the $3,040 Ethereum price hovers back into oversold territory without any bullish price action.
In simpler terms, bullish support does not seem to be present in the market at the current time. Traders have highly advised not to counter-trend scalp the smart contract token.
A Fibonacci projection tool suggests Ethereum price could fall to $2,900 and possibly $2,670.
ETH/USDT 4-Hour Chart
The invalidation for the current bearish price prediction is $3,300. Ethereum price should under no circumstances fully retrace the previous consolidation pattern.
If this scenario were to occur, the downtrend would be void, and the bulls could challenge $3,400 and $3,580 with relative ease, resulting in up to an 18% increase from the current ETH price.