- Ethereum momentum has stalled $202.43 following a 3.15% rise on the day.
- Bulls must defend $200 support in order to stage a break above $205 resistance.
Ethereum hovers above $200 following a new week’s price action. The weekend session was particularly bullish for ETH. The bulls managed to escape the bear range between $180 and $190. This price action set the ground for the breakout above $200 on Monday.
At the time of writing, Ethereum bulls have control over the price. However, the momentum has stalled $202.43 following a 3.15% rise on the day. The 50 Simple Moving Average one-hour is expanding the gap above the 100 SMA one-hour as a key indicator that the buyers will win the confrontation with a break above $205 (seller congestion zone).
Technical analysis suggests the buyers have the upper hand. The Moving Average Convergence Divergence (MACD) is moving higher within the positive territory. The positive divergence signals rising buying power.
Moreover, the Relative Strength Index in the same one-hour has entered the overbought region. On one hand, this shows bullish pressure being at the peak. On the other, it could mean an impending reversal due to the overbought conditions. In spite of all these, if buyers manage to keep the price above $200, they will get time to stage another breakout.
BTC/USD 1-hour chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.