- Ethereum is locked in a narrow range on Friday.
- Ethereum developer team gets ready for the upcoming large-scale update.
ETH/USD is rangebound, capped by $280 resistance, created by a confluence of technical indicators, including 38.2% Fibo retracement (daily), SMA50 (4-hour) and SMA200 (1-hour). The second largest coin by market value is likely to have difficulties with clearing this barrier as traders see the glass half empty at this stage. Even upcoming Ethereum futures failed to impress investors and push ETH/USD to local highs.
Meanwhile, Ethereum developers try to find a middle ground between interests of miners and users ahead of upcoming Constantinople hard fork that will be implemented until October 2018. The hard fork is supposed to tackle the network efficiency and scalability issues, which would be beneficial for the whole ecosystem. However, a large-scale upgrade requires coordination and careful approach to ensure as everything works smoothly.
Ethereum’s technical picture
ETH/USD stays below SMA50, SMA100 and SMA200 (1-hour chart), which signals that the downside is the path of least resistance now. The coin may lose ground with the first bearish target at $270 followed by $258 (August 22 low). However, if ETH/USD clears the above-mentioned resistance area amid broad cryptocurrency market recovery, critical $300 handle will come into view.
ETH/USD, 1-hour chart
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