The chart also shows that after small movement in a neutral triangle the price action had a bullish breakout. Regardless technical indicators are bearish and are issuing sell signals.
The bullish breakout pattern will likely reach up to two hundred and eighty dollars ($280) as that is here its projection ends. The relative strength index (RSI) remains bullish across these time frames even so it has now entered the overbought territory.
Meanwhile, the moving average convergence/divergence (MACD) turned bullish and is issuing buy signals.
Ethereum has a bullish trading bias across the daily-frames as the price climbs above the 200-period MA. The frames also show that the bulls are poking at the neck of the head and shoulders pattern. This is located at around 230.00 dollars aligning with the resistance level.
First technical resistance lies at 275 dollars thus there is room for price to rally upwards. Further above resistance lies at 300 dollars level. Technical indicators are correcting from the oversold territory.
If the price recovers strongly it would establish a bullish pattern while completing the head and shoulders pattern.
The RSI remains bearish however, it is showing steady recovery back towards the 50 level. Meanwhile, the MACD has switched over to bulls and is issuing strong buy signals.
Ethereum has had a bullish breakout and price may reach up to two hundred and seventy-five dollars ($275) if it can overcome resistance at three hundred dollars ($300) mark.
However, as Ethereum’s trade volume has remained very low since the past couple of months it is difficult to determine where the price is headed. Although the price action is pointing towards a bullish rally strong momentum by the sellers can start a price action reversal at any moment.