Ethereum, Litecoin & Ripple’s XRP Weekly Technical Analysis – 5th July

Key resistance levels at play – If broken, bulls could take control in the week

Last Updated July 23rd 2021
5 Min Read

Ethereum

Ethereum was pretty directionless for the better part of last week, but at the end of the week, bulls prevailed. It closed the week higher by 28%.

Ethereum started last week pretty bullish. This followed a loss of bearish momentum at $1902.90 on the 61.8% Fibonacci support.

The decline in selling momentum was triggered by an increase in bullish sentiment in the broader market and the fact that Ethereum was getting oversold. It had been on a consistent decline from its all-time high of $4362.

This saw bulls take control all through Monday, and upside momentum continued into Tuesday and Wednesday.

However, buying momentum kept getting weaker with each subsequent day.  It was in such a way that, after three days of gains, bulls failed to test the 50.0% Fibonacci resistance at $2370.45.

What followed is that bears took control of Ethereum on Thursday. This led to a selloff that erased all the gains made on Tuesday and Wednesday.

The selloff extended into Friday but was rejected just above the 61.8% Fibonacci support.

With the 61.8% Fibonacci support at $1902.90 proving strong for the second time in a week, bulls were reenergized.

What followed was a rally that lasted through Saturday and Sunday. By late Sunday, Ethereum was trading on the 50.0% Fibonacci resistance at $2370.45.

Ethereum is currently trading at $2350.09 and is up 5.90%. It is still trading around the 50.0% Fibonacci resistance and is yet to make a clear break in any direction.

ETH/USD 1-day chart 070521

A glance at the week ahead

In the week, the key level to watch will be the 50.0% Fibonacci resistance at $2370.45. If bullish sentiment rises in the broader market and this resistance is broken, it would be an indicator that bulls are in control.

In such a scenario, the next key level to watch would be the 38.2% Fibonacci resistance at $2837.99.

In the event that this price level is broken, then Ethereum could easily test prices above $3000 within the week.

On the other hand, if bulls lack the momentum to push through the 50.0% Fibonacci resistance, then broader market sentiment would come into play.

If the market starts to consolidate in the week, then Ethereum could range between the 50.0% Fibonacci resistance at $2370.45 and support at $1902.90 on the 61.8% Fibonacci.

On the other hand, if bears take control in the broader market, then the 61.8% Fibonacci support would come into play.

If this support is tested and fails, then it could mark a bearish week for Ethereum. In such a scenario, prices below $1800 could be a possibility.

A glance at the technicals

Key resistance level:  50.0% Fibonacci at $2370.45

Litecoin

Litecoin was directionless for the better part of last week but still managed to close the week in the green. By the end of the week, it was up by 16.78%.  

Litecoin started the week in the green, a continuation of the bullish sentiment that started in the week ending $27th June.

However, its momentum was not that strong, and by Tuesday, bulls had started losing control. This saw it drop for the better part of Tuesday and Wednesday.

Bearish sentiment was not that strong either, and sellers failed to push it to the $121.22 support level that it had established in the week ending June 27th.

This reenergized bulls and saw them push it higher for the rest of the week. By the end of the week, it was trading at $146.90, a key resistance established in the previous week.

Litecoin is currently trading at $147.28 and is up by 5.10%. It started the new week trading at the $146.90 resistance and is yet to move in any direction.

LTC/USD 1-day chart 070521

A glance at the week ahead

In the week, the key level to watch will be the $146.90 resistance. If Litecoin pushes through this level, it would be an indicator that bulls are in control.

In such a scenario, the next level to watch would be the 61.8% Fibonacci at $186.27. This is a major resistance level for Litecoin in the week, and if broken, would mark the beginning of an uptrend that could last through the week.

On the other hand, if bulls cannot push Litecoin through the $146.90 resistance, then what would follow would largely be determined by overall market direction.

If the broader market is directionless in the week, Litecoin could easily trade between the $146.90 resistance and $121.22 support. This would also be an indicator that Litecoin is entering a consolidation phase in the short term.

However, if the broader market turns bearish and the $122.22 support fails, it could be a bearish week for Litecoin. In such a scenario, Litecoin could test prices below $100 in the week.

A glance at the technicals

Key resistance:  7-day resistance at $146.90

Ripple’s XRP

Ripple’s XRP was range-bound for the better part of last week and had minimal volume.   However, by the end of the week, it had shown some upside momentum and was up by 12%.

XRP started the week bullish. This was a continuation of the momentum that started the previous week, after $0.58227 support held.

However, this momentum was short-lived, and Monday’s high of $0.73153 quickly became resistance.

What followed is that XRP turned bearish from Tuesday to Thursday. However, bears lacked the momentum to push it to the $0.58227 support.

This reinvigorated bulls and saw XRP turn green all through the weekend. At the time of going to press, XRP was trading at $0.6967, up by 2.80%.

XRP/USD 1-day chart 070521

A glance at the technicals

In the week ahead, the key level to watch will be the $0.73153 resistance. If this is broken, it would be an indicator that bulls are in control.

In such a scenario, the next key level to watch would be the 61.8% Fibonacci resistance at $0.85592.

On the other hand, if there is little activity in the broader market, XRP could oscillate between the $0.73153 resistance and support at $0.58227.

If the broader market sentiment turns bearish, the key level to watch for XRP would be weekly support at $0.58227.

If this support is broken, then XRP could easily test prices below $0.50 in the week.

A glance at the technicals

Key resistance: Weekly high at $0.73153.

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