This week, we take a closer look at Ethereum, Ripple, Cardano, Binance Coin, and Litecoin.
Ethereum (ETH)
Ethereum has failed to break the key resistance at $1,230 and has entered into a correction that appears to continue the bearish price action. ETH also lost 0.8% of its valuation in the past seven days, and sellers have managed to maintain their grip on the price.
Unfortunately for the bulls, they may have to defend ETH again at the $1,000 key support. Any weakness there may spell a disaster for this cryptocurrency, as falling to a three-digit valuation will remove all hope for a rapid recovery from the current downtrend.
Looking ahead, Ethereum has a difficult task since the buyers are on the defensive and sellers control the price action. The key support at $1,000 has to be defended since the alternative is a costly defeat. The volume continues to fall and remains firmly on the bearish side after 10 daily candles closed in red in the past 11 days.
Ripple (XRP)
XRP continues to show strength while the market leaders such as ETH and BTC struggle. In the past seven days, it has increased by 5.7%, making it stand out against other cryptocurrencies. After finding good support above $0.30, it entered a sustained uptrend in the past three days.
The current resistance is found at $0.45 and may put the bulls in a difficult position if they can’t break above. The momentum continues to favor them, but with a decreasing volume, the confidence in this rally is fading. Since the market remains highly volatile, bears could quickly capitalize on any weakness.
Looking ahead, XRP managed to make a higher low last week, indicative of a bullish trend. However, until the price manages to make a higher high, it would be premature to celebrate because the action could quickly reverse. For now, the bias is somewhat bullish for XRP but may change once the key resistance is hit.
Cardano (ADA)
Unfortunately for Cardano, the price action is looking quite grim, with consistent lower lows for the past few months. Bulls were unable to stop this downtrend, and for this reason, ADA lost 4.2% of its valuation in the past seven days.
The current support levels can be found at $0.30 and $0.28, while the resistance is at $0.32 and $0.34. ADA needs to break these resistance levels if it hopes to put a stop to the downtrend. The alternative is a quick fall to lower levels.
The main concern about Cardano is that altcoins could correct by over 90% from the all-time high during a bear market. With low confidence in a reversal, its price could fall further down before finding a bottom. For this reason, the bias for ADA remains bearish.
Binance Coin (BNB)
Binance Coin remains one of the strongest performers of this bear market, managing to maintain a price of around $300 despite repeated attempts to take it lower. Up by around 12% in the past seven days, BNB remains a leading performer.
The current support is found at $260, and the key resistance is at $300. The bulls tried to maintain the price above $300 in early November, but they could not sustain it.
Looking ahead, BNB appears to be moving in a tight range between $260 and $300. Until one of these levels breaks, it is hard to expect a significant change in the price action. This also makes the bias neutral.
Litecoin (LTC)
The best performer on our list this week is Litecoin which surprised most of the market with an unexpected 22%. In the process, LTC also broke above its ascending triangle, making it stand out as one of the few cryptocurrencies to actually break higher in this bearish market.
If the current support at $74 is successfully retested, then Litecoin could rally higher and aim to reach a three digits valuation (>$100). However, the resistance at just under $100 will be difficult to break, and the bulls may need the overall market to be in their favor if they are to be successful.
Litecoin has demonstrated that, as a proof-of-work coin that was released in 2011, it can still capture the attention of the market and outperform more recent cryptocurrencies such as Solana (est. 2020) or Tron (est. 2018), which are much more recent. Looking ahead, the bias on LTC remains bullish with a positive outlook.
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