- Ethereum explodes towards $250 one more time this week as bulls take up more positions.
- ETH/USD outshines other major cryptos on Wednesday including Bitcoin and Ripple.
Ethereum has not only resumed the uptrend from the opening value of $243 but also is focused on breaking the psychological hurdle at $250. The second-largest cryptocurrency is up 2% on the day to dance at $250 at the time of writing. All the eyes are glued on $250 because trading above this zone would encourage more buyers to join the market in anticipation of $260 and $280 respectively.
For now, the trend is solely in the hands of the bulls as observed with various technical indicators including the RSI and the MACD. As the RSI moves higher within the overbought region, the bullish grip on the price becomes stronger. MACD is not just in the positive region but featuring a visible bullish divergence. In other words, the path of least resistance is to the north.
Possible Double-top pattern
In spite of the impressive move on Wednesday, Ethereum is not entirely in the clear. There is the possibility of a double-top pattern forming at $250. This means that buyers will need to work extra hard to sidestep the technical pattern which usually leads to a reversal from an uptrend. In the event the pattern gets its way, expect Ether to slide back to the support at $240.
However, the current session will continue to favor the bulls until a significant wall rises up. Levels at $245, the 100 SMA, 50 SMA and $230 are expected to function as support areas in case bears have their way or simply traders decide to take profits.