ETH Nears $3.4K as XRP Price Signals Caution

16 July 2025: ETH Eyes $3,400 Following Triangle Breakout as Major Cryptos Look Up

Bitcoin: Set to Revisit Record Highs

Bitcoin (BTC) is signaling a potential rally after breaking out of a descending channel on the hourly chart, forming a higher low around $117,000 earlier today. Prices have also crossed above the Guppy Multiple Moving Average (GMMA), with the short-term EMA (white) about to cross over the long-term EMA (red), indicating renewed bullish momentum.

If BTC moves above the Ichimoku cloud, a faster ascent to record highs is likely. However, a drop below $117,000 could lead to a deeper pullback toward $111,965, the breakout point from May.

The bullish case is strengthened by a surge in open interest for USD- and USDT-based perpetual contracts on major offshore exchanges, such as Binance and Deribit, reaching nearly a two-year high. Positive funding rates reflect growing demand for leveraged bullish bets.

AI’s Take: Bitcoin appears poised for a fresh rally, but the $117,000 support level must hold to avoid a larger correction.

Resistance: $120,000, $123,181
Support: $117,000, $113,688 (38.2% Fib retracement), $111,965

Ether: Targets $3,400 After Strong Technical Breakout

Ether (ETH) has broken out of an expanding triangle and cleared the 61.8% Fibonacci retracement of its December-April decline, positioning it for a move to $3,400—a popular target among options traders.

The 14-day RSI is above 70, signaling strong momentum, while the 50- and 100-day SMAs are trending upward. The ETH/BTC ratio has also broken out of consolidation, pointing to potential ETH outperformance. The $2,933 low from Tuesday acts as a key support level.

AI’s Take: Ether is well positioned to reach $3,400, backed by technical strength and relative outperformance over Bitcoin. Watch the $2,933 support closely.

Resistance: $3,400, $3,570, $4,000
Support: $2,933, $2,739, $2,600

Solana: Showing Strength Near 200-Day SMA

Solana (SOL) remains stable near its 200-day simple moving average, a positive sign after previous bearish reversals at this level in May.

With price action above the Ichimoku cloud and RSI above 50, the current resistance at $168 may soon become support. The next resistance hurdle is $200. Tuesday’s low of $157.13 provides key downside support.

AI’s Take: Solana’s ability to hold support at the 200-day SMA indicates growing bullish momentum.

Resistance: $168, $187, $200
Support: $157, $145, $125

XRP: Bullish Bounce Tempered by ‘Hanging Man’ Warning

XRP has broken out of a downward channel and moved above the Ichimoku cloud on the hourly chart, suggesting a test of recent highs above $3.00.

However, the daily chart shows a ‘hanging man’ candlestick, a cautionary signal that suggests bears might reassert pressure. A breakdown below $2.80 could lead to a sharper decline.

AI’s Take: Despite short-term strength, the daily hanging man warns traders to stay cautious.