U.Today -'s value has risen to test the $100,000 level in recent weeks, showing notable strength. However, it is unclear whether Bitcoin has reached a temporary peak or not, and based on current price trends, Bitcoin may find it difficult to maintain its bullish momentum.
A sharp red candlestick following the $100,000 test on a particular chart indicates significant profit-taking by investors. This suggests that many traders and holders took advantage of the opportunity to book profits, which led to selling pressure and prevented Bitcoin from definitively breaking the six-digit mark. .
Nevertheless, Bitcoin remains above key support levels such as $92,000, which could provide the basis for further upside. Technically, Bitcoin is still trading above the 50-100-day EMA and 200-day EMA, which is still in an uptrend. Even in the case of a temporary market consolidation, this bullish correction shows that the overall uptrend is still continuing. A slight overbought condition is also indicated by the RSI, suggesting that a cooldown may occur before a significant move up.
For Bitcoin to firmly break above $100,000, it will need to overcome existing resistance levels and spark new buying interest. This will likely depend on a combination of improved macroeconomic conditions, increased institutional commitment, and reduced profit-taking selling pressures.
Although it is impossible to completely rule out short-term declines, the future of Bitcoin is still bright. As a store of value and an inflation hedge, cryptocurrencies have proven resilient and continue to grow in popularity. Holding $92,000 and $85,000 will strengthen Bitcoin's challenge for further upside and are important support levels to watch.
regain strength
Although the price has not yet crossed this psychological barrier, Ethereum’s progress towards the crucial $4,000 mark is gaining attention. Although the current bull market is showing signs of strength, it is unclear whether Ethereum can continue its upward trajectory given the lack of momentum above $4,000.
Ethereum’s gradual recovery over the past few weeks is illustrated in the chart provided. There is a strong rationale for the asset's rally thanks to the bullish alignment of major moving averages such as the 50-day EMA and 200-day EMA.
However, as Ethereum approaches $4,000, the volume profile shows a slight decrease in buying interest, suggesting that traders may be hesitant at these prices. Nevertheless, Ethereum is still in a strong position for future expansion.
The asset has effectively emerged from an extended period of consolidation, holding highs and lows, two hallmarks of a sustained bullish trend. If Ethereum can generate enough buying pressure, a break above $4,000 could open the door for a move above $4,300 in the near term.
However, it is important to consider the risk of short-term withdrawal. If Ethereum fails to break out of $4,000 with confidence, the market could retreat to the $3,700 and even $3,400 support levels. Additionally, the presence of the RSI in overbought territory suggests that there may be a cooldown before a subsequent leg up.
Ethereum’s next rally will be determined primarily by on-chain metrics. Ethereum could reach $4,000 due to increased transactions and active addresses in staking activity.
Ethereum is still at a critical stage. Even though the upward momentum slowed around $4,000, the asset still has room for growth. At these levels, traders should closely monitor for signs of weakness or a clear breakout to determine the next course of action.
keeping calm
Solana has broken out of a continued downtrend and surpassed the important $240 level, marking an important technical milestone. This is a moment of hope for investors who have been anxiously watching SOL's price movements for signs of momentum and recovery. While this breakout is a clear sign of bullish intent, there may be a catch: decreasing trading volume.
Solana's move above major moving averages such as the 50-100-day EMA and the 200-day EMA confirms that it has decisively crossed the downtrend resistance line on the price chart. These indicators show that the uptrend continues, indicating that the overall trend remains bullish.
The recent rally highlights buyer confidence and suggests Solana could soon test its all-time highs. However, the decrease in volume associated with this breakout raises questions about the strength of this move. A breakout supported by increased volume typically indicates strong market activity and long-term viability. Declining volume in Solana instances could be a sign of waning buyer interest or hesitation, which could limit future upside potential.
A recovery in volume and volume is essential for Solana to consolidate its breakout and carve out a move above $260. Investors should assess the strength of Solana's breakout by noting key support levels and looking for signs of increased market participation.
This article was originally published on U.Today
