XRP Could Retest $2.3 and ETH Could Explode to $4,100: Here's Why
However, the two tokens are still in positive territory in terms of 7-day performance, as the market recovers from its latest dip.
Ethereum continued to head towards the $3,000 level despite the latest weakness but has entered a consolidation phase.
This supports a bullish price movement, as consolidations are often interpreted as an accumulation phase leading up to a strong breakout.
The Pectra upgrade currently represents the most significant tailwind lifting the price of ETH , as this technical improvement on the leading smart contract platform has a huge impact on its efficiency and scalability.
Meanwhile, Ripple is in a slight bearish trend after the token spiked near its all-time high a few months ago, as market participants wait for a catalyst for the next big move.
XRP bounces off key support at $2.25
XRP broke below a key support at $2.28, which we highlighted in our previous price forecast for this token as a relevant level for market participants.
As a result, the price dropped to the $2.2 area, which was the next key level to watch heading into the weekend.
XRP has already bounced off this level during the Asian session. When the American session begins, higher trading volumes will likely confirm whether this support holds or not.
In case of a bearish breakout, traders could wait for a retest to confirm the move, thus offering a great opportunity for a short position with a solid risk-reward ratio, if the take-profit level is set around $2.16.
In the meantime, in case of a strong bounce, the $2.28 level would be the key resistance to watch. However, it is highly likely that the market will aim to retest the $2.3 resistance later if the bounce on the support is confirmed.
The 4-hour RSI (Relative Strength Index) shows that the negative momentum is accelerating, as the oscillator has dropped below its 14-day moving average.
