The cryptocurrency market is experiencing significant fluctuations following the recent rally and Donald Trump's inauguration. Bitcoin holds strong above $101K, setting a favorable stage for altcoins.
Ethereum (ETH)
Ethereum (ETH) was in a consistent downtrend since the $4,100 rejection. However, a recent bounce from the 200-day SMA helped ETH break out of a falling wedge, reaching $3,437. Currently, it's trading at $3,244, retesting the breakout line.
XRP (XRP)
On the 4-hour chart, XRP bounced off the 100 SMA support at $2.65 and is now trading around $2.98. If XRP manages to break above the descending trendline, the next major resistance is $3.38.
Avalanche (AVAX)
AVAX is trading at $33.88, moving within a falling wedge. The token found strong support around $32, aligning with the lower boundary of the wedge and the 200-day SMA. The MACD shows early signs of a bullish crossover.
The current momentum in the altcoin market largely hinges on Ethereum's breakout. A successful ETH bounce could trigger a rally for other tokens like XRP and AVAX.
