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Ethereum has crossed the $2,000 threshold again, a level it hasn’t seen since April 2023. This resurgence in value isn’t just a number on a chart; It reflects broader sentiment and the movements of important players in the market: the whales. As the second-largest digital asset gained bullish strength, partly fueled by rumors surrounding BlackRock’s potential Ethereum spot ETF, market optimism has increased regarding a sustained rise in the near term.
Whale activity has been particularly notable, with transactions surging to their highest levels in seven months, indicating a flurry of activity among these big capital players. This is significant because whale behaviors often prelude broader market trends; When they move, the market watches them closely. While some whales made profits from the rally, others went on a buying spree, scooping up 3,200 ETH coins following the price surge.
A whale, previously dormant for almost three years, transferred a staggering 26,406 ETH to the Bitfinex crypto exchange, making a profit of nearly $50 million. Another smart whale moved 25,700 ETH to Binance just before the rally, making net profits of $1.5 million as the price rose.
However, not all whale actions suggest a bullish continuation. Some whale investors have been withdrawing their ETH and sending it to exchanges to lock in profits, a move that could be interpreted as preparing for a possible recession. Additionally, a notable rise in trading-related addresses could indicate that some whales are rolling their holdings into book profits, possibly hinting at a cautious stance towards the market’s immediate future.
Ethereum still pointing up
Solana (SOL) has been a standout performer in recent market activity, showing solid momentum that has seen its price secure a position well above the $60 mark. This formidable strength in price action is not without of underlying factors, and market analysts are closely monitoring the potential for a rise beyond the $70 threshold.
Solana’s rise can be attributed in part to the broader market’s return to risk-on sentiment, where investors are gravitating toward assets with strong fundamentals and strong use cases. Furthermore, the technical indicators on the daily chart indicate an uptrend, with SOL consistently making higher lows and higher highs, a classic sign of a sustained uptrend.
The chart reveals a potential support level at the $60 mark, which has recently moved from a resistance level to a support level following its breakout. This is a bullish indicator, as what was once a ceiling for the price is now a floor, suggesting that SOL has the support of buyers at this new price.
As for when the rally could lose steam, traders are watching the Relative Strength Index (RSI) and trading volume for clues. The RSI is currently in a healthy range, neither overbought nor oversold, which typically leaves room for further price appreciation. However, if the RSI approaches overbought territory, above 70, the probability of a reversal could increase as the asset may be considered overextended.
Cardano bullish trend is still here
Cardano (ADA) has been showing an uptrend, as evidenced by its recent breakout, suggesting the possibility of a notable price rise. The asset has seen an impressive increase in trading volume, a strong indicator of increased buying interest and market confidence.
The daily ADA/USDT chart on Binance highlights the important uptrend of ADA. ADA price, currently hovering around $0.3690, is well above the 50-day and 100-day moving averages. These key indicators underline the asset’s strong bullish momentum and point towards a continuation of the upward movement.
The increase in trading volume that accompanied the ADA rally is a critical factor supporting the optimistic market sentiment. This increase in activity not only reflects growing investor confidence, but also reinforces the likelihood that ADA will continue to rise. Analysts are projecting a 20% jump from current levels, targeting a price near $0.44, assuming support levels hold firm and bullish sentiment remains intact.
However, the inherently volatile nature of the cryptocurrency market suggests that a pullback is always possible. If ADA encounters resistance or faces profit-taking activities, especially around the $0.38 to $0.40 range, we could see a temporary pullback before further gains are made.
