Ethereum (ETH) needs to break this major resistance before $2,500 by U.Today

U.Today – Ethereum shows a steady performance on the market and approaches a critical resistance level at $2,400. Breaking this resistance level should push the asset closer to $2,500, especially if investors avoid a sell-off.

The relative strength index gives hints that the current trend may continue. Positioned above the median line but not yet in overbought territory, the RSI suggests that there may be more room for upside before the asset is overbought.

Chart by TradingView As Ethereum tests this local resistance, the cryptocurrency community eagerly anticipates regulatory decisions that could affect the broader market. One of the major catalysts for Ethereum, and indeed the broader cryptocurrency market, is the potential approval of a spot Ethereum ETF or a spot ETF.

The approval of a spot ETF was a long-awaited event in the sector. An ETF, or Exchange-Traded Fund, allows investors to buy shares that represent the value of the underlying asset, in this case, Ethereum, without the need to hold the cryptocurrency itself. This facilitates entry for investors interested in the asset class but reluctant to deal with the complexities of cryptocurrency ownership, storage and security.

As Ethereum hovers near this resistance level, market observers are monitoring the asset’s ability to maintain its upward trajectory and break through the $2,400 price point. A successful breach of this level could pave the way for further gains, potentially leading to the $2,500 mark.

finally broke through

Cardano has often been described as a project that moves cautiously and lags behind the market, but the most recent breakthrough could be an indication of an upcoming disruptive performance.

The chart suggests that Cardano has reached a pivot point. After a period of consolidation, ADA’s price appears to be making a decisive move. The formation of a converging pattern, typically indicative of a price breakout, can be seen. Notably, the price pushed above the upper trendline of this pattern, indicating a potential continuation of the rally.

Analyzing the moving averages, we notice a bullish setup, with the price trading above the 50-day and 200-day moving averages. This is often interpreted as a positive signal as it reflects a strong underlying trend with sustained buying interest. The gap between the moving averages and the current price also contributes to this bullish story.

The volume bars do not show a significant increase, suggesting that the breakout may not have fully captured the market’s attention yet. A rise in trading volume will typically confirm a breakout, indicating greater conviction among traders.

ability to continue

Solana (SOL) has had a remarkable market run, capturing the attention of the cryptocurrency community. As the asset continues to gain traction, analysts and investors are watching its price action closely for signs of sustainability or reversal. Currently, Solana is showing signs that the tide may be turning, with a critical pattern emerging on his chart.

The price movement recently formed what is known as a lower high, often interpreted as one of the initial indicators of a potential correction. This technical pattern occurs when the price peaks at a level lower than the previous high, indicating a decline in the momentum that drove the bull market.

The importance of the lower high is underscored when placed within the context of the asset’s recent performance. While the overall trajectory for Solana has been upward, this development suggests that traders and investors may become more cautious, potentially leading to a shift in market sentiment.

Volume, a key factor in confirming trend reversals, appears to have decreased as the lower high formed, which may indicate a reduction in buying pressure. Additionally, the Relative Strength Index (RSI), while still at a relatively high level, has begun to show divergence, indicating a weakening in the current trend’s strength.

This article was originally published on U.Today