Ethereum (CRYPTO: ETH) surged 5% on Wednesday, while XRP (CRYPTO: XRP) stayed locked inside a tightening range that traders say is setting up for a binary move.
Ethereum Extends Recovery After Reclaiming Key Levels
ETH Price Action (Source: TradingView)
Ethereum trades near $3,110 after a strong rebound from the recent lows around $2,620.
The move marks one of its sharpest recoveries since November began.
Buyers turned more aggressive after price reclaimed the $3,016 Fibonacci 0.382 level, which improved short-term sentiment.
The rally carried ETH into a liquidity zone between $3,100 and $3,140, a region that has rejected several attempts in the past month.
The broader trend still faces pressure from overhead resistance.
The first major test sits near $3,205, where the 200-day EMA aligns with a key retracement zone from last month's breakdown.
A breakout above $3,205 may open a path toward $3,350 and later $3,660, the level where the previous selloff accelerated.
A failure at that level would weaken momentum and send ETH back under $3,016, turning the move into a short-term relief rally rather than a trend reversal.
Momentum And Flows Support Ethereum's Upside
ETH Netflows (Source: Coinglass)
RSI on the 4-hour chart sits near 67, showing firm buying pressure without entering extreme conditions.
According to Coinglass, Ethereum saw about $62 million in net inflows on December 3, ending a long stretch of heavy outflow days that repeatedly disrupted rallies.
If inflows continue, bulls may sustain momentum through mid-December.
A move back under $2,978 would weaken the structure and shift the market into defense.
For now, sentiment is improving as traders show more willingness to accumulate rather than sell into weakness.
XRP Holds Its Range As Traders Wait For A Clear Break
Price Prediction of XRP as of December 3rd (Source: TradingView)
XRP price remains trapped inside a large triangle pattern that has tightened over recent weeks.
Price continues forming higher lows, but sellers defend the falling trendline near $2.28 to $2.30.
The lower boundary near $2.00 continues to attract buyers, preventing deeper losses and acting as the primary support zone.
Until XRP clears the downtrend line, every upside move remains a bounce instead of a true reversal.
A confirmed breakout above $2.30 may push price toward $2.41 and later $2.58, two levels that capped previous rallies.
Indicators such as the Supertrend and Parabolic SAR are beginning to tilt positive, signaling early signs of momentum.
The pattern still requires a decisive move to confirm direction.
A failure at resistance could draw the price back toward $2.05 and possibly $2.00.
Read Next:
Image: Shutterstock
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
