- Ethereum buyers are in for the long haul; target set at $300 following an impending break above $250.
- Ethereum is currently in the hands of the bulls as seen with the RSI and the MACD technical indicators.
Ethereum is among the biggest single-digit gainers in the market on the first day of June. The price is trading 2.84% higher on the day. Ether started the trading on Monday at $231.55 and later scaled the levels towards $240. An intraday high has been formed at $239.73 but ETH/USD is teetering at $240. The volatility is expanding while the prevailing trend is bullish. It seems that other buyers are waiting for a confirmed breakout above $240 in order to join the trajectory targeting $250.
The daily chart shows Ethereum trading above two vital moving averages. The 50 SMA is in line to provide support at $200 in the event of a breakdown. If the reversal fails to find support above $180, the 200-day SMA will come in handy to stop the losses. Other key support areas to keep in mind include the 50% Fibonacci level taken between the last swing high of $290.55 to a swing low at $90.14, $180 as well as $140.
On the other hand, the RSI and the MACD hint that buyers have the upper hand. The RSI is trying to enter the overbought region (70 and above) while the MACD is featuring a minor bullish divergence. If the current technical picture improves, focus could shift from the short term $250 towards $300. Meanwhile, buyers need to reclaim support above $240 to give way for more upward action.