Ethereum managed to create a new ATH recently, but woefully it remained short-lived as the asset quickly landed in a consolidation phase. This phase included forming higher highs and lows in an ascending pattern. However, the recent pullback, dragged the price too much lower levels, breaking the pattern formed. Yet the ETH price is attempting hard to regain the lost levels, but weakened buying pressure is not allowing it to do so.
Considering the movements, it appears to be pretty natural until the price sustains strongly above the support zone in between $4100 to $3900. These support levels were once the resistance levels to achieve. And the price is testing these levels and appears in no mood to break down these levels. Therefore even if the asset consolidates still more above these levels is completely bullish for the rally.
As mentioned in the above chart, the asset trended within a raising channel since it flipped the bearish divergence. The price after surging with a notable margin gets exhausted and dips to its immediate support levels. A similar event seemed to have initiated with the previous day dip, yet the current support levels appear elevated.
Currently, the ETH price is attempting to reverse the downtrend but with a marginal surge, the asset is yet again consolidating. And hence a coming couple of hours could be pivotal as Ethereum may plunge down to the support levels and initiate with a rebound. This rebound could yet again launch another uptrend channel that may hit $5000 at the earliest.