Ethereum has seen some rocky price action over the past few days, with sellers gaining clear control over its price action today after pushing it down over 20% from its multi-day highs.
This selling pressure has come about in tandem by that seen by both Bitcoin and the rest of the crypto market, with this ongoing downswing marking a market-wide correction following the intense uptrend seen throughout the past couple of weeks.
With regards to ETH, analysts are noting that this latest decline has not done much damage to its mid-term outlook, as it remains well above its recent lows of $370 that were set last week.
One trader is still expecting it to see further near-term upside, noting that he is adding to his spot positions between $380 and $400.
Ethereum Maintains Above $400 Despite Heavy Selling Pressure
The past day has been rough for Ethereum, as the cryptocurrency faced a massive influx of selling pressure that caused it to plunge from highs of $450 to lows of $390.
At the time of writing, ETH is trading down over 9% at its current price of $401, which marks a notable decline from its recent highs of $490 that were set just a few days ago.
Today’s decline has partially occurred due to that seen by Bitcoin, as the benchmark cryptocurrency’s price slid from highs of $11,500 to lows of $10,400 due to a massive influx of selling pressure.
Some of this selling pressure came from miners, who are offloading their crypto holdings at a rapid pace.
If this continues placing pressure on BTC, it will likely also cause Ethereum to continue declining in tandem.
ETH Still Bullish from a Mid-Term Perspective, Claims Analyst
While speaking about the cryptocurrency’s near-term outlook, one analyst explained that Ethereum still has a high chance of seeing significantly further near-term upside.
He notes that he is adding to his holdings between $390 and $400 in anticipation of it seeing a sharp rebound.
“HTF momentum is still bullish, like I mentioned yesterday price could pullback all the way down to around $380 and still look pretty good over the coming months… Personally adding to my position between $380 and $400, seems like a strong HTF support region,” he noted.
Image Courtesy of Cactus. Chart via TradingView.
If Ethereum can maintain above $400 for an extended period of time, it may soon be able to rocket higher.
Featured image from Unsplash. Charts from TradingView.