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This week, we take a closer look at Ethereum, Ripple, Cardano, Binance Coin, and Solana.
Ethereum (ETH)
After a very volatile week, Ethereum has managed to remain within its existing channel, closing the past seven days with a 1.4% loss. ETH found good support at $1,250 despite a long wick that violated this level briefly on Thursday. The resistance remains at $1,400.
The price appears to be taking its time before an attempt to break away from this long consolidation period that started in late September. Today’s daily candle is a bullish engulfing one which signals that buyers may attempt to retest the key resistance soon.
Looking ahead, ETH may continue to bounce between the key levels in its current channel. A clean breakout from one of these levels would change the current trend that has kept the price in a sideways movement. This equilibrium in market forces is atypical for Ethereum, and once that changes, the volatility will increase.
Ripple (XRP)
Similar to ETH, Ripple has managed to sustain a price above the key support at $0.44. This allowed it to close the past seven days in green with a modest 1.5% price increase. The key resistance continues to hold at $0.56.
Yesterday’s price drop and volatility did not shake buyers, and this cryptocurrency remains on the offensive, with buyers continuing to show strength when other altcoins, such as Cardano, have lost their key support level. For this reason, XRP remains bullish.
Looking ahead, bulls may attempt to break away from the key resistance at $0.56, which would open the path for XRP to rally toward $0.70 and above. Until this happens, buyers need to be on their guard, as sellers will capitalize on any weakness as the price approaches the resistance.
Cardano (ADA)
Cardano suffered a massive breakdown this past week, losing almost 11% of its valuation in the past seven days. On Monday, the key support at $0.43 failed to hold the assault from bears, and ADA quickly tumbled lower. This led to four days of non-stop selling.
Buyers finally managed to stop the downtrend yesterday when ADA found support around $0.35. Considering the latest price action, the cryptocurrency is facing resistance at $0.40 and $0.43, and buyers appear weak. The trend remains firmly in favor of the bears, with the price making lower lows and lower highs.
ADA is the worst performer on our list this week, and the only hope for the bulls is if sellers become exhausted, which could provide this cryptocurrency with an opening to recover some of the losses next week. The indicators on the daily and lower timeframes appear oversold, which could turn out to be bullish.
Binance Coin (BNB)
Binance Coin was well defended by the bulls at the key support of $260. For this reason, it only lost 3.5% of its valuation in the past seven days, and now buyers appear to have the upper hand. The key resistance levels are found at $280 and $300.
It is crucial for BNB not to lose the support at $260 as that would allow the bears to take full control of the price action. Until this point, buyers have remained firm, and they may even attempt a test of the resistance at $280 if market conditions allow it.
This cryptocurrency continues to show strength and resilience despite the turbulent market. This is bullish, and so long the key support does not fall, buyers could take advantage of any weakness from the sell side. Bulls could even take BNB back towards $300, which may become a decisive pivot point on where Binance Coin is headed next.
Solana (SOL)
If ADA failed at its key support this past week, Solana did not. Yesterday, buyers rescued the cryptocurrency at the $30 support level and even managed to push the price toward $32 today. This was a show of strength that was unexpected. Despite these efforts, SOL still lost 5.6% of its valuation in the past seven days.
The resistance is at $34, and Solana appears keen to return on the uptrend considering yesterday’s price action. It may take a while for it to reach $34, but this seems more likely at this point. To do so, it is very important for its price to close in the green today and maintain this momentum.
Looking ahead, Solana has only one mission: defend the $30 support level at all costs. If bears show any weakness, then the cryptocurrency can even attempt a break above $34, which would put an end to this consolidation that lasted since September.
