Ethereum recently broke out of its descending channel on the 1-hour chart and has since completed a retest of the broken resistance. Looking at the Fib tool shows how price busted through one near-term ceiling after another and might be setting its sights on the full extension.

The 100 SMA is still above the longer-term 200 SMA to confirm that the path of least resistance is to the upside. The price is trading above both moving averages, so these could hold as dynamic support in the event of more dips.

The price hit resistance at the 61.8% level, then the 78.6% level currently at $191.37. A move past this area could pave the way for a test of the full extension at $198.20 or perhaps a rally to the $200 key psychological mark.

However, RSI is already in the overbought region and looks ready to turn south to signal a return in bearish pressure. This could take bitcoin back to nearby support zones, possibly at $180-185 or even the broken channel top near the moving averages again. Stochastic is also in the overbought territory to signal exhaustion among buyers and a possible takeover by sellers.

Most cryptocurrencies are on a tear these days as sentiment has been improving despite the investigation into the Bitfinex Tether controversy. Rumors that CFTC-approved ethereum futures also seem to be buoying this particular asset higher. A senior official was quoted saying:

A derivatives exchange comes to us and says ‘we want to launch this particular product.’ … If they came to us with a particular derivative that met our requirements, I think that there’s a good chance that it would be self-certified by us.

He also added that they would be “comfortable” with an Ethereum derivative, although he also clarified that approval would still be subject to application and review. He mentioned:

We don’t do bold pronouncements, what we do is we look at applications before us.

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