- Ethereum outperforms other altcoins with gains as high as $326.
- Consolidation in the narrow range likely to give way to further gains heading to $400.
Ethereum has been the best performing digital asset after Bitcoin since the surge over the last weekend kicked off. For the first time in 2019, ETH/USD exchange hands above the key $300 hurdle. In addition, gains extended above $320 before forming a high around $326.
ETH/USD 4-h chart
Chart source: Tradingview
The gains come after had just recovered from the lows reached in June close to $226. The recovery stepped by the 100 Simple Moving Average (SMA) resistance $254 giving the momentum a push above $260 and later beyond $280. The Bitcoin driven surge added to the rising momentum for Ethereum price.
Although Ethereum is trading at the highest levels in 2019, movements upwards have stalled within a narrow range between $300 (support limit) and $320 (resistance limit). Sustained correction past $320, could the key to further movement towards $400.
In the meantime, the support at $300 is vital and will help mitigate retracements south. Other key levels to look out for are $280 (buyer congestion zone), $260 (buyer congestion zone) as well as $220 (primary support).
Technical analysis shows Ethereum having a huge bullish bias in the short-term. The Relative Strength Index (RSI), for instance, has been forming a higher low pattern. The upward trend shows that in spite of the up and downs, ETH/USD could continue moving upwards above the trendline support.
Moreover, the Moving Average Convergence Divergence (MACD) suggests buyer exhaustion and upward that is strongly limited.