Ethereum (ETH) Technical Price Analysis, June 18, 2018

Ethereum (ETH)

Unlike other digital currencies, Ethereum is trading well above its June 13 lows of $450.1. This shows short-term outperformance.

The first sign of strength will be when it breaks out of the descending channel. However, this will not turn it positive because it had broken out of the channel on June 6 but could not break out of the 20-day EMA.

Hence, we suggest waiting until the ETH/USD pair breaks out of the downtrend line. This will confirm a likely change in trend.

The first target objective will be a rally to $628.99, which is the intraday high of June 3. The 50-day SMA is also close to this level. Once these two resistances are crossed, a rally to $700 can be expected.

As the overall sentiment is negative, any long position should be attempted with less than 40 percent of the usual position size.