After the ETH/USD pair reached the mark of 2850 on June 7, it began to decline. During two days, we see a decline in the price of Ethereum. The ETH/USD pair dipped below the support level of 2550 and continued to decline, breaking through the level of 2400. When the ETH/USD pair reached a low around 2370, it began to slowly recover. As a result of the decline, the ETH/USD pair dropped well below the 100-hour moving average.
At the time of publication, the ETH/USD pair is trading at around $2500. A move above the level of $2400 gives a bullish signal. On the hourly chart, the pair has formed an inverted head and shoulders pattern with resistance around 2550. If we see an upward breakout of this level and the close of the candlestick, the price could start to rally strongly. In this case, it may rise to its next resistance level around $2640.
If the attempt to overcome the mark of 2550 mark is unsuccessful, we may see a continuation of the bearish correction. In this case, support remains around $2400. If the correction continues, the ETH/USD pair may drop to the area of $2350. A move below this level will accelerate the correction and may bring the ETH/USD pair to the area of 2200.