Best of Luck
I would say not knowing the time your home is on the market to do the following. I would have your realtor do another market analysis and I would go further and go see your competition. After you have seen what has sold and what your competition is then you should be able to make a informative decision. One thing I would advise you, becareful on your home becoming a stale property. I have had past clients that have held out on to "their" price only to get less than what they would of received had they listened to advice of being competitive. Put yourself in a buyers shoes. try to think how they would think. If you seen a home that was high priced and on the market for ever, would you want to run right out and see it? or make a good offer? most of my buyers when they see a home that has been on forever assume that there is something wrong with the home and it doesn't give them the urgency as a new home would. This could give you a disadvantage with homes that have less days on the market. The other part of this is that in spring the homes do sell but I do not think the price will soar to make a huge difference. Lets say your home could be $20k over in the current market and a buyer could come along and offer you what your looking for BUT when the bank appraiser comes out and sees that other homes similar to yours with in close range have sold for less, your home may not appraise out and this could end in wasted time for all involved because at that point you might have to drop the price anyways and the buyer has the opportunity to be released from contract under the mortgage contingency. All that time your home has been off the market only to start over. Bottom line is your home is worth what ever the market dictates. If your showings are low or none at all that might tell you something. Good luck!
How about your competition? The houses that are similar to yours in your price range that buyers compare to yours. Are you in line with these houses? You need to look at things the way buyers do.
List prices should be lowered when buyers are generally paying less for properties.
I have no idea how long your house has been on the market but if you have received no offers after a few weeks on the market and you know your house has no other issues- shows well, is decluttered, no location issues, etc.- then you need to start looking at price.
Painful reality these days.