Ethereum
XRP entry at $0.5 refused, here’s the rest, is Solana’s return postponed? Ethereum (ETH) to recover $3,500
Arman Shirinian
The market shows mixed dynamics, but things are not so bad
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XRP failed to re-enter the $0.5 zone, suggesting a massive resistance group around this level. Despite a substantial increase in volumes, the inability to break above $0.5 could raise some concerns. However, the mere fact that XRP is testing this threshold is a positive dynamic.
It showed that the $0.5 barrier is a powerful barrier for XRP. Strong sell orders or a lack of buying momentum at this price level are the reasons why this resistance zone has remained stable. Trading professionals often view these resistance groups as important markers of market sentiment and possible turning points.
A notable development is the recent increase in trading volume. Strong investor interest is often indicated by high volume, which can be a bullish signal. In this case, however, the increase in volumes did not lead to an increase in prices in the long term. This divergence implies that even though many people negotiate XRP there is not enough buying pressure to break through resistance at $0.5.
Even if the breakout fails, testing important price levels such as $0.5 is a good move. This indicates that the market is actively testing these levels and continued efforts can potentially gradually erode resistance. As long as buying interest is sustained, XRP could eventually surpass the $0.5 zone after several tests.
Solana’s unstable state
Solana seemed extremely rigid in the market. The fact that SOL held a price threshold of $150 made it one of the most stable assets at the top. However, the price has lost the $150 threshold and is not yet trying to come back.
Investors were encouraged by Solana’s ability to maintain its price above $150 for some time. This barrier served as a level of technical and psychological support indicating a high level of market demand. But current market conditions have upset this balance and the SOL has fallen below this critical level. Investors are worried about the disappearance of $150 support.
When a major support level is broken, traders may reevaluate their positions, which may lead to increased selling pressure due to psychological effects. Solana’s underlying technology and ecosystem developments still have potential despite the recent setback, but the market is currently feeling cautious.
Based on technical indicators GROUND showed no discernible signs of recovery. The price was unable to surpass $150 again despite recent trading volume.
Additionally, no obvious reversal trend appears suggesting that the asset is still in a bearish phase according to moving averages and other technical signals. Reclaiming and establishing the $150 level as new support would be necessary for Solana to make a comeback.
Ethereum was really close
Despite being inches away from $4,000, Ethereum, the second-largest cryptocurrency, was unable to break through, raising concerns and nearly killing market momentum, falling to $3,300. But what future for Ethereum?
Strong opposition prevented Ethereum to break through the $4,000 barrier, leading to a steep fall. Investor caution was reinforced by this decline, with ETH losing nearly 17% from its recent highs.
Although Ethereum’s resilience is well known in the cryptocurrency community, many traders lost confidence after the price fell to $3,300. Based on technical charts, the 50-day moving average and the $3,300 mark represent the areas of support for Ethereum. It is imperative that ETH stabilizes at this support level in order to regain strength for a subsequent rally.
ETH is neither overbought nor oversold, as indicated by the RSI which is currently hovering around 50 and indicating neutral market sentiment. Many variables will determine whether Ethereum is able to bounce back and reclaim $3,500. First and foremost, there needs to be an improvement in market sentiment, which could be triggered by good news in general or progress in the Ethereum ecosystem (which is unlikely at the moment).
About the Author
Arman Shirinian
Arman Shirinyan is a trader, crypto enthusiast and SMM expert with over four years of experience.
Arman strongly believes that cryptocurrencies and blockchain will be of constant utility in the future. Currently, it focuses on news, articles with in-depth analysis of crypto projects and technical analysis of cryptocurrency trading pairs.