16 July 2025: ETH Eyes $3,400 as Major Cryptos Gain Momentum
Bitcoin: Set to Test All-Time Highs
Bitcoin (BTC) has broken out of a descending channel on its hourly chart, forming a higher low near $117,000 earlier today. It has moved above the Guppy Multiple Moving Average (GMMA), with the short-term EMA poised to cross over the long-term EMA—signaling renewed bullish momentum.
A push above the Ichimoku cloud could spark a faster advance toward record highs. However, if prices fall below $117,000, a deeper retracement to the May breakout level near $111,965 is possible.
Open interest on USD- and USDT-denominated perpetual futures across major offshore exchanges like Binance and Deribit has surged to a nearly two-year high. Positive funding rates indicate growing interest in leveraged long positions.
AI’s Take: Bitcoin appears ready for another rally, but holding the $117,000 support is key to maintaining upward momentum.
- Resistance: $120,000, $123,181
- Support: $117,000, $113,688 (38.2% Fibonacci retracement), $111,965
Ether: Breakout Points to $3,400
Ether (ETH) has broken out from an expanding triangle and surpassed the 61.8% Fibonacci retracement of its December-April decline, targeting $3,400—a level favored by options traders.
The 14-day RSI has risen above 70, indicating strong bullish momentum, while the 50- and 100-day simple moving averages trend upward. The ETH/BTC ratio has also broken out of consolidation, suggesting ETH may outperform BTC. The $2,933 low from Tuesday acts as key support.
AI’s Take: Ether is positioned for a move toward $3,400, backed by strong technical signals and relative strength versus Bitcoin. Keep an eye on $2,933 support.
- Resistance: $3,400, $3,570, $4,000
- Support: $2,933, $2,739, $2,600
Solana: Showing Strength Near 200-Day Moving Average
Solana (SOL) is holding steady near its 200-day simple moving average, a positive shift from the sharp bearish reversals at this level in May.
Price action above the Ichimoku cloud and an RSI above 50 suggest that resistance around $168 could soon become support. The next target is $200. Tuesday’s low at $157.13 is a key support level.
AI’s Take: Solana’s resilience at the 200-day SMA signals growing bullish momentum.
- Resistance: $168, $187, $200
- Support: $157, $145, $125
XRP: Bullish Bounce Met With Caution
XRP has bounced after breaking out of a downward channel, moving above the Ichimoku cloud on the hourly chart, and is set to test recent highs above $3.00.
However, the daily chart shows a ‘hanging man’ candlestick, a bearish reversal pattern that warns sellers may regain control. Losing support at $2.80 could lead to further downside.
AI’s Take: Despite short-term gains, XRP’s hanging man pattern calls for cautious trading.
- Resistance: $3.00, $3.40
- Support: $2.80, $2.60–$2.65, $2.38
