Ethereum Price Analysis: Potential Downtrend and Key Projections

Current Ethereum Price Movement

Ethereum's price experienced volatility recently, dropping to $1,076 on November 9th before rebounding to $1,351. However, this recovery was short-lived, and prices are again nearing the November 9th low, suggesting a possible breakout to the downside.

Technical Analysis

The 4-hour chart reveals a descending channel beginning on November 10th, with Ethereum's price repeatedly testing its support levels. While there may be a bounce, it remains uncertain whether this will form a higher low compared to the previous November 9th trough.

Historical Context

The price trajectory since November 5th saw a significant 35% decrease, following a recovery phase starting September 21st. The recovery peaked at $1,661 on November 5th, marking a lower high than previous levels, indicating a corrective phase rather than a new uptrend.

Future Projections

The descending move from November 5th potentially signifies the start of a new downtrend. The current formation might represent a corrective wave, with a possible increase to around $1,400 before continuing downward. This target aligns with the consolidation zone from September 21st.

Alternative Scenario

An alternative analysis suggests the current pattern may be part of a larger corrective wave, with a potential increase to a lower high of around $1,240 before another impulse wave downward. This scenario predicts further price decreases, potentially below $1,000.

Conclusion

Ethereum's outlook appears bearish, with a breakout below $1,000 anticipated. Primary and alternative scenarios both suggest short-term recovery followed by significant declines. The ultimate price target could fall as low as $600, marking a critical zone for potential market stabilization.