Ethereum
Bitcoin (BTC) Failed to Hold, Solana (SOL) Lands on Crucial Support, Ethereum (ETH) to Hit $4,500
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Ethereum is clearly gearing up for a potential surge to a new yearly high as the price of the second-largest cryptocurrency approaches $4,000. Previously, some analysts said that ETH would hit $4,500 before ETF trading went live.
Ethereum also continued to rise above the $3,800 level, now trading at around $3,906. This uptrend is instead supported by considerably high volume, indicating good buying interest. Currently, the level has found strong support from the 50-day EMA, hovering around $3,225, and the 100-day EMA around $3,170, supporting ETH.
Ethereum/USD chart by TradingView
Currently, Ethereum’s RSI is at 72, indicating that ETH is overbought. This may signal a pullback, but the overall market sentiment remains the same. Recent price action has noted a clear break from consolidation, with more targeting higher resistance levels for ETH.
But it needs to maintain its momentum to continue its path towards $4,500 and surpass the psychological price level of $4,000. If broken, the next crucial resistance we look at, in the $4,200 range, could open the door for ETH towards $4,500. 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 failed to sustain above or even near the crucial $70,000 price level and is currently consolidating around $69,000. Unfortunately, this is a signal of decreasing strength and could portend some downtrend ahead.
This implies that the digital asset is failing to sustain levels above $70,000, a level that signals continued massive buying pressure. Based on recent price action, Bitcoin has once again failed to hold above the $70,000 level, where the most important resistance lies.
The consolidation is visible on the daily chart, where Bitcoin is trading at levels just below $69,000. Furthermore, the struggle to maintain gains above the psychological level continues to accelerate while consolidating at this level, along with the 50-day moving average.
Failure to breach resistance at $70,000, as well as consolidation in price action, may also signal potential downtrends. If Bitcoin loses the battle to maintain levels beyond the immediate support at $68,000, it could test the lower support levels around $65,000 and $62,000, as shown by the moving averages. Selling pressure below these moving averages is likely to lead to deeper losses towards the $60,000 level.
Solana reaches support
Solana is approaching a strong support level in the form of the 26 EMA. This is not the first time that SOL price has tested this resistance level since, in the past, SOL had reached it around $160 and managed to emerge higher.
Solana is testing an equally strong support level in the form of the 26 EMA. This would not be the first time that SOL price has touched this resistance level. This has been the case in the past, where SOL reached a price of around $160 and climbed successfully. Solana is currently trading around $164, which is close to a major support zone expanded by the 26-day EMA.
This has played strongly in the past, notably around the $160 zone, from which GROUND managed to find strength and rise. So one of the very important technical indicators watched very closely by traders is the 26 EMA, as it usually provides a cushion during an uptrend and resistance during a downtrend.
Solana has been quite volatile in terms of price, but has remained on the rise over the past few weeks of trading. Moreover, the price retracted to the levels around $190, testing the 26 EMA support. Not far away, the 50-day EMA sits at $153, and if the 26-day EMA fails, this is the next line of defense.
About the Author
Arman Shirinian
Arman Shirinyan is a trader, crypto enthusiast and SMM expert with over four years of experience.
Arman firmly 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.