As the Ethereum network continues to evolve with the mass implementation of its recent ERC-404 token standard, its native asset is finally gaining some traction in the market. It is showing promising growth and its price trajectory suggests that the coveted $3,000 mark may be on the horizon.
As the Ethereum network continues to evolve with the mass implementation of its recent ERC-404 token standard, its native asset is finally gaining some traction in the market. It is showing promising growth and its price trajectory suggests that the coveted $3,000 mark may be on the horizon.
An analysis of the Ethereum price chart reveals a steady upward trend, with the asset recently crossing the $2,500 threshold. The next significant resistance level appears to be at $2,600, a point where sellers have previously intervened. A breakout and hold above this level could pave the way for Ethereum’s rise towards the psychological and technical barrier of $3,000.
Supporting this potential growth scenario is the continued development of the Ethereum network, including the anticipated benefits of the ERC-404 upgrade. This new standard is expected to improve the utility and interoperability of tokens on the Ethereum blockchain, potentially increasing demand for ETH as the “fuel” needed to deploy tokens.
However, there is still one precautionary scenario to consider. Ethereum rival Solana has recently experienced a slowdown due to network outages, which could cause a domino effect throughout the broader crypto market. If such events lead to a loss of trust in blockchain networks or a change in investor sentiment, Ethereum could face a setback.
A possible price drop scenario could be triggered by technical rejections at the $2,600 resistance level, along with negative market sentiment stemming from issues on competing blockchains like Solana. If Ethereum fails to maintain its momentum, a pullback towards the local support level of $2,300 may occur, where buyers have previously shown interest.
Cardano is still going strong
Cardano (ADA) has recently demonstrated a significant advance in price action, suggesting that an uptrend could be forming. Cardano price has been on an upward trajectory and recently accentuated this rise by breaking a key resistance level.
A technical analysis of the ADA chart indicates that the cryptocurrency has managed to overcome the resistance near $0.515, which had previously limited several bullish movement attempts. Closing above this level could signal new confidence among investors and pave the way for further gains.
On the growth front, if ADA maintains its momentum above this resistance-turned-support level, the next target for the asset could be the $0.580 mark. Such a move would represent a significant increase in market valuation and could bring more attention to Cardano as a viable investment in the blockchain space.
However, each market scenario has its counterpart. If ADA faces rejection at higher levels, there is a possibility of a pullback towards the local support of $0.485. A drop below this point could force traders to reevaluate Cardano’s near-term prospects, which could lead to a consolidation phase or even a deeper correction if overall market sentiment turns negative.
Solana slows down
Solana’s recent price movements have caught the attention of many in the cryptocurrency community, and its rise up the charts sparked discussions about the sustainability of its rally. Despite the rally, there is a widespread feeling of caution as the momentum behind the rise appears to lack conviction.
An analysis of Solana trading patterns reveals that while SOL has made great strides to overcome resistance, making a local high around $112, the foundation of the rally appears fragile. The support level to watch is around $98.89, where SOL has previously found some degree of stability. If the asset holds above this level, it could dispel some of the skepticism surrounding its recent performance.
However, Solana’s growth scenario is overshadowed by concerns of a possible breakup. The momentum indicator on the charts suggests that the energy behind the rally is not as strong as investors might wish. If Solana fails to maintain the buying pressure needed to rally, it could see a pullback to the support level or even lower, which could trigger a steeper sell-off.
