Ethereum had gains of 26.37% in the previous trading session and now it is fighting to stay above the resistance level of $2,600.44. The conditions are set for the pair to continue its uptrend but other fundamental factors are affecting the price of most cryptocurrencies.
Based merely on technical analysis we believe that the cryptocurrency will resume an uptrend in the short term. The relative strength index is currently at 44% which would enable the pair to start an uptrend soon. The Bollinger bands are very wide and high volatility can be expected. The cryptocurrency trades closer to the lower band, suggesting that the price is relatively low.
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If the pair is able to consolidate the breakout on the resistance at the 61% retracement level we could see the price reach $2,939 in the upcoming sessions, otherwise the pair could fall back to the $2,390 levels.
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