Cryptocurrency Market Update: Bitcoin, Ripple and Ethereum dive into the rabbit holes

All of the top three cryptocurrencies Bitcoin, Ethereum and Ripple dive below key support areas on Friday.
Bitcoin bulls are working tooth and nail to defend the support at $8,300 in a bid force a reversal above $8,400.

The bull rally that has been praised immensely this January appears have died and passed on the mantle to the bears who want nothing but to wreak havoc in the cryptocurrency market. The market generally painted and interestingly, the biggest gainers last week are recording the biggest losses of the day. For instance, Bitcoin Gold is correcting lower 4.85%, Dash is down 4.18% and Ethereum Classic is teetering 3.58% lower on the day.

Bitcoin price update

Bitcoin is undergoing a pullback from the recent $9,200 high. The reversal is taking place after an incredible performance since the beginning of January. Bitcoin extended the gains from last December’s recovery from $6,500. The bulls nurtured the gains above several resistance zones including $7,700, $8,000, $8,400, $8,800 and $9,000.

However, it is apparent that a reversal mission is underway and Bitcoin could soon touch $8,000 if the support at $8,300 fails to hold. The largest cryptocurrency has a market value of $8,300, although an intraday high of $8,399 has been traded on Friday.

Looking at the hourly chart, Bitcoin price is holding onto the lower trend line of a falling wedge pattern. If the shallow recovery above the trendline continues, a breakout seems imminent above the pattern’s resistance. For now, $8,400 is the stubborn zone ahead of the resistances at $8,500, $8,800 and $9,200.

BTC/USD 1-hour chart

Ethereum price update

Ethereum has finally forced its way through the support at $160. The failed attempt to break above $165 yesterday, paved the way for a bearish action that is becoming too strong to stop. At the time of writing, ETH is trading at $158, which is 2.30% lower compared to the opening value of $162.50. The high volatility and increasing growing bearish trend signal that a dive to $150 is possible in the near term.

Also read: Ethereum Price Analysis: ETH/USD balances at the edge of the $160 cliff

Ripple price update

The third-largest cryptocurrency on the market has not escaped the bearish wave. Its price is dancing at $0.2216 after shedding 1.6% of the token’s value on the day. On the brighter side, the bulls managed to retake the support at $0.2200 after dropping to an intraday low of $0.2174. To avert possible declines to $0.20, XRP must scale the levels above $0.23 and focus on the resistance at $0.24.

Also read: Ripple Price Analysis: XRP/USD struggles to save triangle support at its peak

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