Ethereum rallied over 8% and it surged above the crucial $250 resistance against the US Dollar. ETH price is trading in a strong uptrend and it could continue to rise towards $280 or $300.
Ethereum Price Turns Green
In the past 5-6 days, Ethereum formed a strong uptrend above the $220 pivot level against the US Dollar. ETH price started a nasty upward move and it broke a few important hurdles near the $250 level.
The bulls were able to gain strength after the $250 resistance break and the price settled well above the 100-day simple moving average. Ether is up over 8% in the past three sessions and it is even broke the $260 level.
A new monthly high is formed near $270 and the price is currently consolidating gains. An initial support is near the $260 level. It is close to the 23.6% Fib retracement level of the recent rally from the $230 swing low to $270 high.
Ethereum price rallies above $260. Source: TradingView.com
The main support is now forming near the $250 level (the recent breakout zone). More importantly, there is a significant bullish trend line forming with support near $244 on the daily chart of ETH/USD.
The trend line is close to the 50% Fib retracement level of the recent rally from the $230 swing low to $270 high. On the upside, the $270 level is an immediate resistance. If ether price breaks $270, the bulls are likely to aim a test of the $280 and $285 resistance levels. Any further gains could lead the price towards $300 in the coming days.
Dips Supported in ETH
If Ethereum starts a downside correction below the $260 support, it is likely to find a strong buying interest near the $250 pivot level.
Any further losses below the $250 support and the trend line support could lead the price towards the $220 support zone and the 100-day simple moving average.
Daily MACD – The MACD for ETH/USD is moving strongly in the bullish zone.
Daily RSI – The RSI for ETH/USD is currently near the 70 level.
Major Support Level – $250
Major Resistance Level – $270
Risk disclaimer: 76.4% of retail CFD accounts lose money.
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