This week, we take a closer look at Ethereum, Ripple, Cardano, Solana, and Shiba Inu.
So far, July has been a good month for Ethereum, with the price rallying by over 15.6% in the past seven days. ETH is the best performer on our list this week, and in the process, it has also formed a large ascending triangle which is a bullish formation. Now, the cryptocurrency is found just under the key resistance level at $1,250.
The biggest question is if ETH can break above this triangle and turn it into support. If it fails, then ETH has good support at $1,150 and $1,000. If it hits three digits again, then that would be an extremely bearish signal.
Looking ahead, the bias in the short to medium term is bullish as long this momentum is maintained. After three months of the bearish price action (April to June), it would not be surprising to see ETH explore higher levels. But a break of the overall downtrend is still unlikely at this time. For that to happen, the crypocurrency needs to move above $2,000.
XRP managed to find strong support at $0.30, and this last retest of this key level allowed the price to rally by almost 3.4% in the past seven days. While this is less impressive compared to ETH, XRP appears to be consolidating in a range between the key level at $0.38.
If the bullish momentum continues, then XRP could re-test the above level. The last time the price visited this level, it was sharply rejected in mid-June. The more the price tests a key level, the more likely it is for it to break.
In the coming week, XRP could attempt a breakout. If successful, the price could rally and even go as far as $0.50. However, such a scenario is contingent on the overall market remaining bullish. The bias is positive, but it’s important keep a close eye on the key resistance in the next few days.
Cardano has managed the impossible. It successfully tested the $0.45 key support five times, and every time buyers stopped the selling pressure. This is an impressive achievement, and since last week’s analysis, ADA’s price also managed to increase by 3%.
While this is not a significant increase, the fact that ADA has managed to stop the downtrend for over two months is something you rarely see in this current market. The key resistance is found at $0.50 and $0.55. Buyers seem keen to defend ADA at the important support but failed so far to push the price much higher.
In the coming week, ADA could test the resistance at $0.50. The current price action remains timid, and volume is flat. Therefore, the cryptocurrency is in no rush to make a significant move at this time and could slowly approach the key resistance.
The situation for Solana is almost identical to XRP. With the price stuck in a large range between $27 and $44, SOL is still struggling to break away. Nevertheless, in the past seven days, it did manage to increase by 11.5%.
The cryptocurrency appears to form an ascending triangle, and as long as it is making higher lows, then the bias is somewhat bullish. The indicators on the daily timeframe are also on the positive side, but with a flat volume, the buyers still have some work to do.
Next week, SOL may approach the apex of this triangle, and once there, the price will have to make a decision on the way forward. A breakdown will likely push SOL back towards $30. A break above the triangle would make $50 a viable target.
Shiba Inu (SHIB)
As one of the most volatile altcoins, Shiba Inu has been unexpectedly quiet in July. Usually, this means that something big is being prepared. The volume continued to decrease during the month, but SHIB still managed to increase by 6.7% in the past seven days.
A decreasing volume is indicative of a major move coming up. For this reason, the cryptocurrency could experience increased volatility in the week ahead, particularly if the price approaches the key resistance at $0.00012. The current support is found at $0.000010.
The price action appears to have formed an inverted head and shoulder formation, which would indicate a local bottom. The neckline is found at the key resistance. If the price breaks above it, then a rally would be probable. Until then, SHIB is likely to continue up in the next few days.