Ethereum (ETH) flashed a Doji candlestick on the daily chart, signaling market indecision after a parabolic surge from $2,100 to nearly $3,800 in just four weeks. Meanwhile, XRP appears to be forming a double top, a classic bearish reversal pattern, as momentum stalls near $3.60.
Ethereum Forms Doji After Steep Rally
On Monday, Ethereum closed with a Doji candle, a technical formation that often signals exhaustion or hesitation. This came after ETH’s vertical rally stalled near the $3,859 mark—a level just below the key resistance zone of $3,800–$4,100, where ETH has repeatedly topped out over the past year (March, May, and December 2024).
“A Doji after a strong move often warns of a potential pullback,” says CoinDesk analyst and Chartered Market Technician Omkar Godbole.
On the 15-minute chart, ETH has already broken down from a head-and-shoulders (H&S) pattern, hinting at short-term weakness. The target for this move sits near $3,550. On the hourly timeframe, price has also fallen below the Ichimoku cloud, reinforcing the bearish near-term outlook.
Key ETH Levels to Watch:
- Resistance: $3,859, $4,000, $4,382
- Support: $3,550, $3,081, $2,879
XRP Flashes Double Top Pattern Near $3.60
XRP, after its recent sharp move higher, is now consolidating within a range, with resistance near $3.60 and support around $3.35. The intraday price structure resembles a double top pattern, a bearish formation often seen at the end of an uptrend.
A confirmed break below the neckline (around $3.35) could send XRP lower in the short term, potentially shifting the trend to the downside.
While the broader structure still looks healthy, short-term traders may want to tread carefully as the chart signals a possible reversal or deeper consolidation.
Market Outlook
Both ETH and XRP are at critical inflection points. Ethereum must break and hold above $3,800–$4,100 to resume its bullish momentum, while XRP must avoid a breakdown below $3.35 to negate the bearish double top.
Traders should remain alert as technical indicators begin to diverge from recent bullish price action.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.