- A move above $270.00 has improved the technical picture.
- The next significant resistance is created by $274.
Ethereum hit $271.44 high during early Asian hours and retreated to $270.30 by the time of writing. The second largest cryptocurrency with the current market capitalization of $28.5 billion is mostly unchanged both since the beginning of the day and from this time on Wednesday. An average daily trading volume for ETH is registered at $5.7 billion.
Looking technically, a sustainable move above $270.00 has improved the short-term technical picture; however, we will need to see a follow through to set the recovery back on track. The nearest resistance awaits ETH bulls at $274.00 (an upper line of 4-hour Bollinger Band). Once it is cleared, the upside is likely to gain traction with the next focus on $279.00 (June 17 high) and psychological $280.
On the downside, the sell-off may be limited by $268. This barrier is created by the middle line of the 4-hour Bollinger Band and the broken upside trendline. A sustainable move below this area will open up the way towards $264.30 ( Simple Moving Average (SMA) 50, 4-hour) and $263.70 (the lower boundary of 4-hour Bollinger Band). The next support awaits us on approach to psychological $260.00. If it is broken, the sell-off may continue towards $256.20 (SMA200, 4-hour) and $254.30 (SMA100, 4-hour).
ETH/USD, 4-hour chart