ETH/USD reclaims $240 drawing nearer to $250

  • Ethereum breaks out above $240 as volatility returns across the crypto market.
  • ETH/USD bullish momentum is supported by the RSI and MACD technical indicators.

Ethereum is hanging at the edge of a cliff after stepping above the critical $240. The 50-day SMA is providing immediate support. However, buyers are finding it extremely difficult to hold above $240 due to the low trading volume witnessed across the board. The ongoing bullish action is taking place after confluence resistance discussed on Monday above $239 was overcome.

At the time of writing, Ether is doddering at $240.94. The immediate upside is limited by a descending trendline. If broken, Ethereum is likely to scale the levels above $245 (last week’s main hurdle). Glancing farther up, the ultimate medium milestone to be achieved is a break above $250.

Looking at the crypto’s technical levels, the trend is mainly in the hand of the bulls. This calls for buyers to join the market in order to support the trend with volume. The RSI, for example, is rising above the midline with eyes on the overbought region. Such a move is likely to bring back the volatility to Ethereum markets. The bullish momentum witnessed during the European session is reinforced by the MACD as it crosses into the positive region.

ETH/USD daily chart