Ethereum has seen a slight rise that allowed it to outperform the $ 200 region. This momentum is mainly rooted in that of Bitcoin, which tapped $ 10,000 overnight before seeing a slight decline leading to $ 9,600.
While ETH is outperforming Bitcoin today, it’s important to note that the climb above $ 200 appears to be opening the gates to move further upward in the near term.
However, it still faces massive resistance and buyers have done their job for them if they want to spark a new upward trend.
An interesting trend that could provide some insight into where ETH is heading is the daily number of active addresses, which has historically declined once the crypto reaches the lower $ 200 region.
If this trend does not replicate itself, it could indicate that the crypto is going to rise higher.
Ethereum climbs past $ 200 as heavy resistance looms
At the time of writing, Ethereum is trading at just under 3% at its current price of $ 200, which is a notable climb from the daily lows of $ 190 set yesterday.
This move was noteworthy from a technical perspective, as the cryptocurrency previously experienced massive resistance at $ 198.
The clean break above this level makes ETH susceptible to further momentum.
It looks like it is now pushing up against some heavy new-set resistance around USD 205 – which happens to be the level it was turned down overnight.
An analyst spoke about this level in one recent tweetand explained that he is currently neutral on Ethereum as the rejection was not strong at this level.
ETH stopped at the MO. But not a super hard rejection, so I’m not short. But he also had no desire for resistance, so no trade, “he explained.
Another popular pseudonymous trader recently offered a chart demonstrating that he expects the cryptocurrency to rise to $ 210 before facing a quick rejection that will take it all the way to the middle of $ 100 or even lower.
ETH Daily Active Addresses provides insight into the power of Uptrend
According to data from the blockchain analytics platform Santiment, Ethereum’s daily active addresses have historically provided insight into the power of past movements.
“Keep an eye on the daily active addresses of ETH as it dances near this $ 200 level. We’ve seen this particular statistic decrease the past two times #Ethereum is in the $ 200- $ 215 range,” explained them out.
It doesn’t currently appear that active addresses are seeing a sharp decline in time after the overnight hiatus above USD 200, but how it is shifting in the coming days should clarify the strength of this upward trend.
Santiment also notes that the cryptocurrency’s daily active address count over a six-month period “ looks fantastic. ”
“That said, the 6-month trend in its DAA still looks great.”
Featured image from Unplash.