Several prominent altcoins are mirroring Bitcoin’s (BTC) breakout from late April, which helped set the stage for its rise to $100,000. Now, coins like DOGE, XRP, Ethereum’s ether (ETH), and Solana (SOL) are showing similar bullish signs after crossing above the key technical resistance known as the Ichimoku cloud.
Just two weeks ago, I highlighted Bitcoin’s breakthrough above the Ichimoku cloud, a technical barrier that suggested the potential for a rally to six figures. Fast forward to this week, and Bitcoin has indeed surged into the $100,000 range.
Now, several leading altcoins are following suit. Memecoin DOGE, payments-oriented XRP, and Ethereum’s ETH, alongside Solana’s SOL, have all recently broken above their respective Ichimoku clouds, signaling growing bullish momentum.
The Ichimoku cloud, developed by a Japanese journalist in the 1960s, is a comprehensive technical indicator that helps identify support and resistance levels, momentum, and possible trend reversals. It consists of five key components: Leading Span A, Leading Span B, the Conversion Line (Tenkan-Sen), the Base Line (Kijun-Sen), and a lagging closing price line. The “cloud” is formed by the space between Leading Span A and B, and crossovers above or below the cloud are often interpreted as signals of shifting market momentum.
Looking at the charts, both XRP and DOGE have recently moved above their respective clouds, indicating more potential gains ahead. For XRP, the next resistance lies around $0.30, marked by a trendline from February’s highs. DOGE, on the other hand, is hovering near its bear market trendline, and breaking above it could unlock resistance at $3.02, the lower high created on March 2.
As for ETH, its recent breakout has cleared the path to its 200-day simple moving average (SMA) around $2,700, suggesting more upward movement. Meanwhile, SOL may face resistance near $218, which aligns with the 61.8% Fibonacci retracement from the January to April sell-off.
With Bitcoin’s strong performance, the altcoin market is showing signs of following suit, potentially marking the beginning of a broader crypto rally.
