This week, we look closer at Ethereum, Ripple and Cardano.

Ethereum (ETH)

During a sustained sell-off yesterday, Ethereum lost the critical support level at $1,900, and its price fell to $1,700. These sell-offs ruined any hopes for a quick recovery, and made market sentiment very bearish. ETH has lost 12.7% in the past seven days.

There is only one relatively good thing about the market right now – volume during this latest drop in price has been lower than on May 12th. This could indicate that sellers are nearing exhaustion. The daily RSI may form a bullish divergence if the selling volume does not pick up.

ETH is having a difficult time lately, with eight consecutive weekly candles turning red. To stop this downtrend, the cryptocurrency must hold above the $1,700 support level. Bears could lower the price if they don’t. If that happens, the next key support level will be found at $1,450, which was the previous all-time high from January 2018.

Ripple (XRP)

XRP had an even better week than Ethereum, despite Ethereum’s key support level of $0. 38 has held well during the sell-off from yesterday. It has fallen by 7.3% over the past seven days, but it is still very close to the support.

If the market stops the correction at current levels, the price action could be seen as a double bottom. If this plays out, XRP could see a quick recovery towards the key resistance at $0.56. Although it’s too soon to predict that, the market hasn’t seen a relief rally for over two months. However, sentiment could shift unexpectedly.

As long as $0.0 is the key support, then XRP can hope for a bullish relief. 38 continues to hold, then XRP can hope for a bullish relief in the coming month. Also, the daily RSI indicator has made higher lows which indicates that there could be a halt to the downtrend in future.

Cardano (ADA)

Cardano’s situation is very similar to Ethereum, with its price falling below the key support at $0.50. This has turned the bias bearish, and the next support is found at $0.39. For this reason, ADA had a difficult week, closing the past seven days in the red with a 14.2% loss.

The cryptocurrency could fall further in the next few days before it attempts a recovery. Buyers are less likely to rescue the cryptocurrency at the moment, especially if the key support level for the currency is lower than it currently is.

Looking ahead, ADA has to do its best to not close a daily candle below $0.39. This was the all-time high from May 2018 and was also confirmed in January 2021 before ADA rallied towards $3. A loss of this critical level would take ADA into a severe correction exceeding a 90% price drop from its current all-time high.

Solana (SOL)

Solana did not manage to stop the downtrend yesterday, and the price fell below the important support at $44. The cryptocurrency is on a path to re-test the critical level at $37. SOL has lost 21.8% of its valuation in the past seven days, making it the worst performer on our list.

The downtrend in Solana is evident, and buyers are becoming more difficult to find as the market falls. This is also shown by the daily RSI indicator, which has fallen again to 30 points and may soon re-enter the oversold area.

Looking ahead, SOL needs to see a shift in market sentiment and become bullish. It is difficult to predict its price recovery from recent losses if it does not. It is unlikely that it will fall below its current level of demand.

Tron (TRX)

With bullish fundamentals, TRX is the best performer on our list this week, increasing by 10.2%. It is quite an achievement to close in the green within the weekly timeframe, given the market. Tron’s magic is kept alive by the USDD stablecoin, which shares many similarities with UST, which recently crashed.

To mint USDD, you need to burn TRX. This has resulted in a positive feedback loop for TRX prices. Tron could be an option for investors who are looking for a home after the Terra / Luna / UST eco-system crash. TRX formed a parabola in the daily price action.

The next key resistance level for TRX is $0.10. Last time it approached this level, sellers came in force. If the market continues to be bearish, they might do so again. However, the key resistance should be tested again if the cryptocurrency keeps testing it.