- Ethereum steps out of the range and like Bitcoin brings down several barriers at $250 and $260.
- The bulls are largely in control as signaled by most of the technical indicators including the RSI and the MACD.
Ethereum price finally broke above the stubborn resistance at $245. The massive and impressive breakout came into the picture following a similar Bitcoin price action. The largest cryptocurrency stepped above $9,500 during the American session on Wednesday. ETH/USD followed closely bringing down several resistance levels including $250 and $260.
The momentum has already lifted Ether above the next short term hurdle at $265. Meanwhile, the price is hovering at $266. For several weeks, Ethereum remained range-bound to the extent that other altcoins rallied without in the first couple of weeks in July. This breakout was mainly dominated by Bitcoin and Ethereum (proving ETH correlation with Bitcoin price).
As mentioned on Wednesday, Ethereum is headed for the barrier at $280. At the moment, indicators show that the crypto is ripe for another lift-off. For instance, the RSI is currently making an entrance into the overbought zone. In other words, the bullish grip is still growing and there is still room for growth.
The same bullish signal is confirmed by the MACD in the daily range. The indicator is holding above the mean line. In addition, it has started to feature a bullish divergence which mainly puts the bulls in control. Similarly, the gap made by the 50-day SMA above the 200-day SMA hints that gains are likely to continue in the near term.
However, it is also important that support is established above $260. This will ensure that the danger of a reversal towards $250 is eliminated while giving the buyers ample time to forge the next attack on $280.