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Bitcoin (BTC) Fails to Hold, Solana (SOL) Finds Crucial Support, Ethereum (ETH) Reaches $4,500
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Ethereum is clearly amplifying for a potential surge to a new yearly high as the price of the second-largest cryptocurrency approaches $4,000. Previously, some analysts had said that ETH would reach $4,500 before ETF trading goes live.
Ethereum also continued to rise above the $3,800 level, now trading at around $3,906. This bull run is rather supported by considerably high volume, indicating good buying interest. Currently, the level has found strong support at the 50-day EMA around $3,225 and the 100-day EMA around $3,170, supporting ET.
Ethereum/USD chart by TradingView
Currently, Ethereum’s RSI is at 72, indicating that ETH is overbought. Perhaps it signals a pullback, but overall market sentiment remains unchanged. Recent price action has noted a clear break out of the consolidation, with multiple targets on higher resistance levels for ETH.
But it needs to maintain momentum to continue the journey towards $4,500 and break above the psychological level of $4,000. If it breaks, the next crucial resistance we are seeing at the $4,200 range could power ETH’s gates towards $4,500. The current levels to watch are $3,800 and $3,500 on the downside, which should hold to maintain the bullish bias.
Bitcoin’s path to $70,000
Bitcoin it has failed to sustain above or even close to the crucial $70,000 price level and is currently consolidating around $69,000. Unfortunately, this is a sign of decreasing power and could suggest some downtrend in the future.
This implies that the digital asset fails to sustain levels above $70,000, a level that signals the continuation of massive buying pressure. Looking at the recent price action, Bitcoin once again failed to hold above the $70,000 level, where the most significant resistance lies.
The consolidation can be seen visibly on the daily chart, where Bitcoin it is trading levels just below $69,000. Beyond that, the fight to maintain gains above the psychological level continues to gain momentum by consolidating at that level, with the 50-day moving average.
Failure to break above the resistance at $70,000, coupled with consolidating price action, could also signal potential bearish trends. If Bitcoin loses the battle to hold above levels beyond the immediate support of $68,000, it could test lower support levels around $65,000 and $62,000 as illustrated by the moving averages. Increasing selling pressure below these moving averages will likely push for larger losses towards the $60,000 level.
Solana reaches support
Solana it is approaching a strong support level in the form of 26 EMA. This is not the first time that SOL price has tested this resistance level as, in the past, SOL reached around $160 and successfully emerged higher.
Solana is testing such a strong support level in the form of 26 EMA. It would not be the first time that the price of SOL has touched this resistance level. This has already happened in the past, when SOL reached $160 in price and successfully jumped. Solana is currently trading at around $164, near a major support zone broadened by the 26-day EMA.
This has acted strongly in the past, particularly around the $160 zone, hence SOL he managed to find the strength and get back up. One of the very important technical indicators closely monitored by traders, therefore, is the 26 EMA, as it usually provides a cushion during a bullish run and resistance when in a downtrend.
Solana has been quite volatile in terms of price, but has remained bullish over the past few weeks of trading. Furthermore, the price fell to levels around $190, testing the 26 EMA support. Not far away, the 50-day EMA is located at $153, and if the 26 EMA fails, this will be the next line of defense.
About the author
Arman Shirinyan
Arman Shirinyan is a trader, cryptocurrency enthusiast and SMM expert with more than four years of experience.
Arman firmly believes that cryptocurrencies and blockchain will be in constant use in the future. Currently he focuses on news, articles with in-depth analysis of crypto projects and technical analysis of cryptocurrency trading pairs.