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Ethereum ETH, Dogecoin DOGE and Solana SOL Price Surge: What’s Behind the Rallies?

6 Mins read

The crypto markets are abuzz lately with several top tokens making big moves after a relatively calm start to the year. Ethereum, Dogecoin and Solana are spearheading the latest rallies, reclaiming key price levels amidst strong technical and on-chain foundations.

Investor enthusiasm appears to be returning to crypto assets with risk appetite in global markets also on the mend. The stars seem aligned once more for continued upside, but important near-term uncertainties and resistance levels remain for bulls to navigate past.

As the rallies gain momentum, we dive into the key catalysts driving prices up for Ethereum, Dogecoin and Solana, analyze critical support and resistance zones, and explore how high analysts forecast these digital assets to run if the nascent uptrend sustains over coming months.


Ethereum Charges Past $2,400: What’s Behind the Bull Run and How High Can It Go?

Ethereum has been on a tear lately, crossing the key $2,400 price level for the first time since its peak in late 2021.

Several factors are providing tailwinds for Ethereum’s latest rally, chief among them being a discernible shift in the cryptocurrency’s transactional landscape.

 Ethereum ETH Price
Ethereum ETH Price

TLDR

  • Ethereum price breaks $2,400 threshold amid positive net outflows from exchanges signaling bullish investor sentiment
  • Upcoming Dencun upgrade in Q1 2024 expected to improve Ethereum’s scalability, efficiency and usability which could attract more adoption
  • Key features like proto-danksharding, temporary data storage and new memory opcodes aim to optimize smart contracts and layer-2 solutions
  • Price bounced off 50-day MA support and broke past minor resistance at $2,400; faces next test at $2,500 level
  • Technical indicators like rising RSI and MACD suggest strong upside momentum but signs of divergence indicate possible consolidation

A recent examination of exchange netflow data reveals that Ethereum outflows have outweighed inflows over the past week. This net negative flow suggests investors are withdrawing ETH from exchanges to hold in external wallets for the long run rather than sell, signaling confidence in further upside.

Historical data shows that such accumulation phases by ‘whales’ typically precede bull runs in Ethereum’s price.

Adding fuel to the fire is the upcoming Dencun upgrade slated for Q1 2024. Seen as one of Ethereum’s most impactful upgrades recently, Dencun will introduce features like proto-danksharding and new opcodes that promise to supercharge the network’s scalability, efficiency and usability.

Proto-danksharding expands layer-2 throughput by allowing sidechains to access more data from Ethereum. New opcodes optimize smart contract gas costs by improving memory management. Together, these features could spur rapid innovation and adoption on Ethereum over 2024.

With tailwinds aligning, Ethereum price has already bounced off its 50-day moving average and taken out the minor resistance at $2,400. This opens the path for a test of the next threshold at $2,500. The bullish case is supported by technical indicators like the RSI and MACD trending upwards. However, signs of divergence on these indicators suggest traders should brace for potential consolidation around current levels before the next leg-up.

Upside potential appears plenty nonetheless, with seasoned analysts predicting conservatively that Ethereum could double from current levels to challenge its all-time high around $5,000 should the bullish momentum hold up. More optimistic pundits envision a ride all the way to $10,000+ if the stars align on catalysts like the Dencun upgrade, scalability improvements and expanding institutional adoption converging to boot ETH into a ‘supercyle’ this year.


Dogecoin Prices Coil Up: Are Whales and Speculators Ready to Trigger the Next Pump?

Meme coin aficionados have had their eyes glued on Dogecoin recently as its price coils tightly between key support and resistance levels around the $0.08 zone.

DOGE appears poised for a breakout as on-chain and derivatives data reveal an influx of capital from whales and speculative traders anticipating the next leg-up.

 DogecoinDOGE Price
Dogecoin DOGE Price

TLDR

  • Dogecoin consolidates around $0.08 after brief surge to $0.095 as bulls attempt to flip resistance into support
  • On-chain data shows whales scooped up $27 million worth of DOGE amid market dip last month, adding to accumulated holdings
  • Rising speculation also evident in funding rates for DOGE derivatives hitting 2024 highs
  • If key support at $0.07 holds, bulls will eye upside target at $0.1 with scope for 40-50% rally from here
  • Beyond $0.1 lies the big prize around the $0.3 level where massive resistance stands from 2021 peak

Data shows large wallet investors snapped up around $27 million worth of Dogecoin during the late January dip, taking advantage of prices south of $0.08. This buying spree supplemented the 44.7 billion DOGE already held in whale wallets tracked by analytics provider Santiment. Prior instances show that when whales begin building up positions, sizable DOGE rallies often follow shortly after.

Alongside the whales piling in, leverage speculators are also catching FOMO and betting big on an imminent pump. Funding rates on perpetual swap contracts for DOGE recently hit 2024 highs, indicating traders adding leveraged long positions to capitalize on upward trajectory. Their optimism seems to have limits however, as funding rates have eased back from those peaks by 10-20% this week.

Following its brief breakout to 2-week highs around $0.095 last Friday, Dogecoin has since pulled back to the $0.08 zone where it continues facing stubborn resistance. Bulls have attempted but struggled to flip this area into support over the past fortnight. A decisive daily close above $0.085 and preferably the psychologically important $0.1 mark is required to signal resumption of meaningful upside.

If $0.08 fails to hold, DOGE could retrace further towards the 50-day moving average support around $0.075. Below this lies the make-or-break $0.07 level – losing this would spell trouble for the Doge army. Indications so far though, point to $0.07 holding as buyers step in, teeing DOGE up for a push towards $0.1 and beyond.

Beyond the $0.1 target lies the coveted $0.5 mark with dogged DOGE bulls having eyed this level since mid-2021. Realizing anywhere close to that 500% potential upside from here would require cracking crucial resistance in the $0.3 region first – an area that thwarted the meme coin multiple times as it peaked in mid-2021.


Solana Pumps $2 Billion as Price Breaks $100: How High Can This Rally Go?

Solana has had a blockbuster start to 2024 after it pumped by nearly 4.5% intraday to reclaim the important $100 price level. This coincided with SOL’s market capitalization ballooning by $2 billion in a matter of hours, from $44 billion to above $46 billion at last check.

The parabolic move builds on a fiery week for the cryptocurrency following a temporary network outage that appears to have only briefly interrupted its value ascent.

 SolanaSOL Price
Solana SOL Price

TLDR

  • Solana sees $2 billion influx pushing market cap to over $46 billion, price reclaims $100
  • Network resumes strong upside momentum after swiftly bouncing back from recent outage
  • Analysts optimistic about rally reminiscent of ETH’s breakout in 2020, forecast target above $1,000
  • Uptrend aligns with broader risk asset recovery; key technical and on-chain metrics bullish
  • If Bitcoin consolidation weighs market down, SOL could see pullback with support around $95 and $90

According to market analysts, Solana’s resilience and sharp recovery after the minor outage has only bolstered confidence in its long-term growth story.

Some have pointed to striking similarities with Ethereum’s price action back in early 2020 that preceded its own breakout above $350 and subsequent surge to peak near $5,000.

Bullish investors and traders are now wondering aloud whether history could repeat itself with SOL exploding on a 1,000% run towards the $1,000 mark over the next few months.

The makings of a rally resembling something of that magnitude gaining traction are already underway. Besides the network now stabilizing following upgrades to handle higher throughput, developers continue building rapidly on Solana. The ecosystem now supports over 400 projects spanning DeFi, NFTs, Web3 and more that are attracting droves of users and capital.

Solana’s latest pump has come amidst exuberance returning to risk assets globally – stocks are bouncing firmly off lows and even cryptocurrency bellwether Bitcoin punched through formidable resistance around the $45,000 mark this week. With all stars aligning on macro and micro factors driving momentum, analysts contend SOL remains poised for further upside even after this week’s pop above $100.

On the flip side, technical gauges are flashing overbought conditions given the sheer vertical ascent this year. Key on-chain activity metrics have also highlighted concerning divergence lately, pointing to potential exhaustion above $100. A pullback can hence not be ruled out, especially if Bitcoin fails to cement support at $45,000 and macro sentiment sours. Downside however looks limited to around $95 and at worst, the $90 mark for SOL.


Conclusion

Ethereum, Dogecoin and Solana have all powered past significant thresholds over recent weeks on improving underlying blockchain metrics and returning capital inflows. However, near-term uncertainty still looms given technical indicators reflecting stretched conditions, and the ever-present need for continued positive momentum in the broader risk asset space.

While the sharp rallies indicate the enduring appetite for blue chip cryptocurrencies, interested investors looking to open positions should watch for potential pullbacks or consolidation to key support zones outlined above for better reward:risk entries.

With prudent portfolio allocation and savvy timing, substantial gains could still lie ahead as fundamentals align for Ethereum, Dogecoin and Solana in their next growth chapters following prior painful downtrends.


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