Will Ethereum (ETH) Aim for $4,000? Solana (SOL) Is Sleeping Giant, Massive XRP Breakthrough Doesn’t End

Weeks of sideways consolidation have finally allowed Ethereum to hold the $3,000 mark, and the asset’s recent spike indicates that bulls are far from done. A strong indication that market confidence is returning is the daily chart’s impressive breakout from the multi-month consolidation range and the clear increase in trading volume.

The 50-, 100- and 200-day moving averages are among the major moving averages that Ethereum is currently holding well above. Healthy trending markets exhibit this alignment with the longer-term moving averages serving as dynamic support during declines. After rising above 70, the Relative Strength Index (RSI) has entered overbought territory. RSI can stay extended for longer than anticipated in robust bull markets even though this raises the likelihood of short-term profit-taking.

From a structural perspective, Ethereum’s surge above $3,000 breaks through the biggest overhead resistance since the previous significant drop. The significant price gap that currently exists between $3,200 and $4,000 indicates that ETH may close the gap rather quickly if momentum continues.

As we have seen in past cycles where breakouts resulted in weeks of parabolic advances, Ethereum has historically demonstrated the capacity to rally sharply once a significant resistance area gives way. Investors’ primary concern should be whether ETH can hold above the breakout region without falling back below $2,900.

If this level is broken, there may be a surge of late buyers, which would push the price back into the previous range. However, the path toward $3,500 and possibly $4,000 becomes feasible if bulls successfully defend $3,000 and buying pressure persists.

Solana falls behind

Even though Bitcoin, Ethereum and XRP have made headlines with their large rallies and breakouts, Solana has quietly trailed behind. However, this may be exactly what makes it the most attractive opportunity in the weeks ahead. According to the daily chart, Solana has been consolidating for months within a comparatively small range.

In contrast to ETH, which surged above $3,000, and XRP, which is currently vying for a return to the $3 range, SOL has had difficulty maintaining any steady increase. With the price of SOL pushing above the 50-, 100- and 200-day moving averages in recent sessions, the company has finally regained all of its major moving averages.

Prior to a much larger impulse move, this technical development frequently marks the beginning of an accumulation phase. In contrast to ETH and BTC, which are displaying overbought signals, the Relative Strength Index readings for SOL are still moderate. This shows that Solana has a lot of space to recover without instantly inciting aggressive profit-taking.

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Volume has begun to rise, though it is not yet at explosive levels. This is a potential early warning that interest may be resuming as traders search for assets that have not yet reached extremes. When money shifts from hot names to laggards with greater upside potential during corrections, Solana has historically performed better than the overall market.

Solana has a strong chance of catching up and even surpassing Bitcoin or Ethereum in percentage terms as capital reallocates if they take a break following their explosive increases. Put another way, Solana is a sleeping giant because despite not producing the same returns as XRP, ETH or BTC this cycle, its poor performance can pave the way for strong catch-up rallies.

SOL’s technical setup may spark a strong move if the overall market consolidates, particularly if trading volumes increase and buyers take decisive action.

XRP not stopping

XRP exemplifies what a significant broad breakout looks like. The asset has shifted its whole market structure to bullish acceleration mode after months of comparatively low activity. It has been rising steadily and with the kind of momentum that raises little doubt about the underlying buying power.

The fact that the 50-, 100- and 200-day moving averages are all significantly below the current price highlights how completely XRP has turned around. The rally’s large volume expansion confirms that this is a broad-based surge backed by strong market participant conviction rather than a shallow relief bounce. The pace that XRP has maintained is even more remarkable.

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The asset grinds higher and higher, consolidating just enough to prevent overheating before launching new impulses as opposed to a vertical spike that is followed immediately by exhaustion. Although the Relative Strength Index has gotten close to overbought territory, when an asset is in full momentum mode it is rarely enough to stop an advance.

The psychological and technical $3 resistance zone is now clearly the next important test. This is the level that has previously abruptly rejected XRP, halting rallies and causing several retracements in recent years. Prior to the market considering a genuine move into price discovery above historical highs, it is the final significant obstacle.

A test of this resistance appears to be almost inevitable, given the strength of the current structure. Instead of a hard rejection, the odds favor a sustained breakthrough if XRP moves closer to $3 at the same rate and with the same increasing volume as the previous two weeks.