With sellers gaining control over Ethereum price action which pushed it down over 20% from its multi-day highs

Ethereum price has seen some drastic price action over the past few days, as sellers gain clear control over ETH’s price action today after pushing it down more than 20% from its highs most in many days. At press time, ETH is trading around $ 384, down more than 13% over the past 24 hours.

Ethereum price is unable to sustain above $ 400 because of the overwhelming selling pressure

This selling pressure has appeared in tandem with that seen by both Bitcoin and the rest of the crypto market; with this continued decline marking a market-wide correction following a massive uptrend, echoes have been seen over the past few weeks.

Concerning ETH, the analysts note that this latest drop doesn’t do much damage to its medium-term outlook, as it remains well above the recent low of $ 370 set last week.

The day has been challenging for Ethereum, as ETH faced a massive influx of selling pressure causing it to plunge from as high as $ 450 to as low as $ 390.

At press time, ETH is trading down more than 13% at its current price of $ 385, marking a noticeable drop from the recent high of $ 490 established just a few days ago. Today’s drop happened in part because of that seen by Bitcoin, as the standard cryptocurrency’s price fell from as high as $ 11,500 to as low as $ 10,400 due to heavy selling pressure.

Some of this selling pressure is coming from miners, who are reducing their crypto holdings at a rapid rate. If this continues to put pressure on BTC, it will likely cause Ethereum to continue falling in parallel.

While talking about the cryptocurrency’s short-term outlook, Cactus analyst explains that Ethereum still has a high chance of seeing even more significant gains in the short term. He notes that he is adding to his holdings between $ 390 and $ 400 in anticipation of a strong rebound.

He stated:

“HTF momentum is still bullish like I mentioned price yesterday could pullback 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.”

$ETH HTF Update

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. pic.twitter.com/KNLI9kmMqc

— Cactus (@TheCryptoCactus) September 3, 2020

If Ethereum can sustain above $ 400 for a long time, it could soon go higher.

You can see the ETH price here.