After an explosive rally from a breakout level of Ethereum prices at $1,800 to a height of 2025, close to $2,604, ETH is currently showing signs of daytime fatigue. Recent bullish momentum has been driven by a clean break above the long-standing downtrend lines on both the 1D and 4H charts, and a massive breakout from the formation of symmetrical triangles seen on May 8th.
Ethereum price analysis (source: TradingView)
On May 11th, Ethereum prices just retarded the $2,470-$2,480 zone today. This coincides with the previous upper bound on integration range. This could serve as short-term support if the Bulls are under control. The Bollinger band on the 4H chart has been retreating in price after riding the upper band for two days.
Ethereum prices will skyrocket, but momentum indicators show caution
Ethereum price analysis (source: TradingView)
The 30-minute chart reveals the divergence of momentum. The relative strength index (RSI) has fallen from an excess level of nearly 80 to 39.4, suggesting weak buying power. Meanwhile, MACD has become bearish with negative crossovers, increasing the possibility of short-term cooldowns.
Ethereum price analysis (source: TradingView)
On the weekly charts, Ethereum has recently regained its significant Fibonacci 0.786 level for $2,075, and is about to reach a 0.618 retracement of nearly $2,500. This area remains important in determining the sustainability of uptrends. If ETH can regain $2,600 beyond $2,450, your next goal could be a $2,800-$2,900 zone.
Ethereum price analysis (source: TradingView)
On the downside, the EMA structure on the 4H chart shows 50-EMA with $2,304 for the 20-EMA and $2,094 for the 50-EMA. These may act as dynamic support for deeper pullbacks. It could not hold $2,450, so ETH could retest $2,300 or $2,100. This was my first breakout basis.
Why are Ethereum prices falling today?
Ethereum price analysis (source: TradingView)
The short-term pullbacks of today’s Ethereum prices are part of the typical post-breaking structure where prices revisit previous resistance to test as support. While this is not yet a reversal, the lower time frame suggests a temporary Ethereum price volatility spike that could lead to choppy movements before the upward leg resumes.
However, the larger picture remains bullish. Volume expansion during breakout, higher EMA alignment, and recovery of previous resistance levels indicate strong medium-term intentions. However, as the market is experiencing the recent spike in Ethereum prices, traders need to be careful of in-day counterfeits.
Ethereum Price Prediction Table – Outlook for May 12th
Disclaimer: The information contained in this article is for information and educational purposes only. This article does not constitute any kind of financial advice or advice. Coin Edition is not liable for any losses that arise as a result of your use of the content, products or services mentioned. We encourage readers to take caution before taking any actions related to the company.
