Ethereum, Litecoin, & Ripple’s XRP Technical Analysis – 7th July

Key resistance levels at play – If broken, crypto majors could rally in the day.

5 Min Read
Last Updated July 23rd 2021

Ethereum

Ethereum was bullish for the better part of Tuesday. By the end of the day, it was up by 3%.

Ethereum started the day in a range around the 23.6% Fibonacci at $2235.67. Within the first three hours of the day, this price level had been established as key support.

With support strong, bulls took control, and by daybreak, Ethereum was in the green. However, upside momentum was not strong enough to see Ethereum test Monday’s high of $2387.67.

This saw bullish momentum falter, and bears start to take control of the market. However, without much support from the broader market, bears could not push Ethereum low enough to retest the 23.6% Fibonacci support at $2235.67.

This reestablished bullish control, albeit without much volumes. By the end of the day, Ethereum had reversed all the gains it had made.

Ethereum is currently trading at $2380.10 and is up by 2.49%.  It started the day in the green, a buildup to the momentum established on Tuesday. 

This momentum sustained up to daybreak when Ethereum tested key resistance at $2397.75. It is currently trading at this level, with bears starting to take control. 

ETH/USD 1-hour chart 070721

A glance at the day ahead

In the day, the critical level to watch will be $2397.25, which is a two-month resistance level for Ethereum.

In the event that bulls manage to push Ethereum through this level, it would be an indicator that bulls are firmly in control. In such a scenario, Ethereum could rally, with the potential to test $2500 within the day.

On the other hand, if Ethereum fails to push through the $2397.75 resistance, it would indicate weak bullish momentum.

In such a scenario, overall market momentum would come into play. If the broader market turns bearish in the day, the key level to watch would be the 23.6% Fibonacci support at $2235.67.

If this support is broken, it would be indicative of rising bearish sentiment. In such a situation, the next key level to watch would be the 38.2% Fibonacci support at $2137.16. If this is broken, prices below $2000 could be a possibility in the day.

However, if the bearish sentiment is not strong enough to push Ethereum through the 23.6% Fibonacci support, it could be a range-bound day. In such a setup, Ethereum would trade between the $2137.16 resistance and the 23.6% Fibonacci support at $2235.67.

A glance at the technicals

Key resistance: Multi-month resistance at $2397.25

Litecoin

Litecoin had a pretty mixed day on Tuesday. By the end of the day, it was trading at $137.34, down by 3.05%.

Litecoin started Tuesday trading in a range above the 38.2% Fibonacci support at $137.63.

With support holding strong, bullish sentiment rose, and by daybreak, Litecoin was trading at $142.05. This is a key resistance level on the 21.6% Fibonacci.

However, without much support from the broader market, Litecoin could not push through this resistance.

What followed was a sharp reversal that saw Litecoin break through the 38.2% Fibonacci support at $137.63 by early afternoon.

However, without much downside pressure from the broader market, bearish momentum quickly fizzled out, and the 38.2% Fibonacci support held.

What followed is that Litecoin traded along this support for the day. After two indecisive moves at key resistance levels, volumes declined for the better part of the day.

Litecoin is currently trading at $142.59 and is up by just 0.07%. It started Wednesday trading along the 38.2% Fibonacci support, continuing Tuesday’s sluggish price action.

However, within the first hour of trading, bears tried to push it through the 38.2% Fib support but failed. Bulls took control from that point.

At the time of going to press, Litecoin had rallied enough to test the 21.6% Fibonacci resistance at $142.05. However, it was yet to push through this price level.

LTC/USD 1-hour chart 070721

A glance at the day ahead

In the day, the key level to watch will be the 21.6% Fibonacci resistance at $142.05. If Litecoin pushes through this resistance, it would be an indicator that bulls are in control.

In such a scenario, the next key level to watch would be Tuesday’s high of $147.96. If upside momentum is strong enough to push Litecoin through this level, then prices above $149 could be possible in the day.

On the other hand, if bulls fail to push Litecoin through the 21.6% Fibonacci resistance, then there could be two possibilities. 

The first one would involve a selloff in the broader market. If there is a selloff in the broader market, and Litecoin breaches the 38.2% Fibonacci support level, it could be a bearish day.

In such a scenario, the next key support level to watch would be the 50.0% Fibonacci at $133.99. If this is broken, then prices below $130 could be possible in the day.

On the other hand, if the broader market is directionless in the day, then the 38.2% Fibonacci support at $137.63 could hold in the day.

In such a scenario, Litecoin could trade in a range between the 38.2% Fib support at $137.63 and 21.6% Fib resistance at $142.05.

A glance at the technicals

Key resistance: 23.6% Fibonacci at $142.05

Ripple’s XRP

Ripple’s XRP was directionless for the better part of Tuesday. It started and ended the day, at pretty much the same price level.

XRP started Tuesday trading in a range above the 50.0% Fibonacci support at $0.65564.

With this support holding firm, XRP rallied in the early morning hours. By daybreak, it had hit key resistance at $0.67321 on the 38.2% Fibonacci resistance.

However, without much support from the broader market, this resistance held. What followed was a price drop that saw XRP retest the 50.0% Fibonacci by the end of the day.

XRP is currently trading at $0.6712 and is down by 1.12%. It started the day with a bounce off the 50.0% Fibonacci support.

However, it has since hit resistance at the 38.2% Fibonacci and seems to be struggling around it.

XRP/USD 1-hour chart 070721

A glance at the day ahead

In the day, the key level to watch is the 38.2% Fibonacci resistance at $0.67321. If bullish sentiment is strong enough to push XRP through this resistance, then prices above $0.69 could be possible in the day.

If this resistance holds, then broader market momentum would come into play.

If there is a selloff in the broader market, the 50.0% Fibonacci support at $0.65564 could break, creating the possibility for prices below $$0.64 in the day.

However, if the broader market is directionless in the day, XRP could most likely range between the 38.2% Fibonacci resistance at $0.67321 and support at $0.65564 on the 50.0% Fibonacci.

A glance at the technicals

Key resistance: 38.2% Fibonacci at $0.67321

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