Altcoin performance is under close scrutiny, particularly in light of the volatility witnessed in June. Bitcoin (BTC), the largest cryptocurrency, is currently 25% away from reaching a new all-time high (ATH), while altcoins are still nearly 100% away from their previous ATHs. This significant disparity raises questions about whether altcoins can reclaim their previous highs in the near future. Now, let’s delve into the price analysis of Ethereum (ETH), the largest altcoin, and Solana (SOL), one of the leading altcoins.
Ethereum Analysis
According to Crypto World analyst Josh, Ethereum’s price is currently experiencing resistance at a Fibonacci level around $3,480, which previously served as a support level. Ethereum recently rebounded from the 50% retracement level, reaching around $3,350, which now acts as a support level. Further support can be found within the $3,180 to $3,220 range. For the latest technology news, visit NEWSLINKER.
In the short term, Ethereum’s trend and momentum continue to exhibit a downward trajectory similar to Bitcoin. However, a downtrend does not necessarily imply a continuous decline. Temporary bounces and periods of horizontal consolidation may occur. This pattern is expected to persist over the next few days. On the 12-hour chart, there is an active bullish divergence, as evidenced by the lower lows in price aligning with the higher lows in RSI. Such divergences typically lead to short-term relief or horizontal movements, but further confirmation, such as breakouts above key resistance levels, is needed to confirm an uptrend.
Currently, Ethereum faces resistance around $3,450, which previously served as a support level, and between $3,600 and $3,650, known as the golden pocket resistance. Support is seen around $3,300. The 8-hour chart indicates a slight relief in the short-term downtrend, with the RSI entering oversold territory, a common indicator of local lows before minor bounces or horizontal movements.
The weekly ETH/BTC chart reveals that Ethereum has lagged behind Bitcoin in recent years, despite experiencing short-term bounces. A breakout above the descending resistance line at 0.056 BTC per ETH, confirmed by a weekly candle close above this line and ideally surpassing a previous high, could signal the end of Ethereum’s downtrend relative to Bitcoin.
Solana Analysis
Turning our attention to another prominent altcoin, Solana’s SOL, technical data suggests a fresh breakout above the resistance at $140-144, which is currently being retested. If Solana manages to maintain a position above $140, it could establish a new support level and potentially rally towards $160. However, a failure to stay above $140 could result in a decline to the $120-128 range.
Overall, while the altcoin market still has a long way to go to reach previous ATHs, closely monitoring the performance of major altcoins like ETH and SOL in the coming weeks will be crucial. Their ability to overcome resistance levels and establish new supports will determine whether the current downtrends will evolve into uptrends.
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Disclaimer:
The information provided in this article does not constitute investment advice. Investors should be aware that cryptocurrencies are highly volatile and carry inherent risks, and should conduct their own research.
