- Ethereum price action extends above $330 following a break past the crucial $300 mark.
- ETH/USD is both fundamentally and technically supported for gains past $400.
Ethereum is currently leading the altcoin rally. However, as expected, Ether’s is still heavily correlated with Bitcoin price. The break above $280 last week saw bulls hiding in the sidelines join the market in anticipation of a breakout beyond $300 as covered by FXStreet. The weekend session set the bulls apart from the bears as they towered above the cryptocurrency landscape with impressive gains that not only breached the $300 mark but also hit highs above $330.
At the time of writing, Ethereum is trading at $323 after adding 3.96% of the new value on Monday. The Asian session has been characterized by a strong bearish grip mainly for Ethereum but also for other altcoins such as Ethereum Classic and Tron.
ETH/USD is both technical and fundamentally ready to take down the resistance at $400. All technical indicators have aligned in support of the ongoing bullish action. The RSI, for example, has been able to hold within the overbought levels since Sunday. Moreover, the Elliot Wave Oscillator is extending the bullish session commenced last week.
It is apparent that buyers are in control and the situation is expected to remain intact in the coming sessions based on the general outlook of the cryptocurrency market. On the flip side, it is vital to be aware that rallies also have reversals. In this case, the overbought RSI could signal a possible reversal. Support is, however, expected initially at $320, later at $300 and $280 in that order.