- Bitcoin price faces resistance at $22,000 and might be setting up for a steeper decline.
- Ethereum price could fall toward $1,300 if the $1,600 zone continues to deny passage.
- Ripple price fails to hurdle the $0.40 barrier, which sets up a 10% swing to the downside.
The crypto market remains elevated post-rally, but the bearish persistence could induce a steeper decline. Key levels have been defined to determine potential landing zones for the Top 3 cryptocurrencies.
Bitcoin price begins to pull back
Bitcoin price currently trades at $20,750 as a profit-taking consolidation has brought calm to the buying frenzy witnessed throughout the month. To recap, the peer-to-peer digital currency is up 25% since January 1.
The Relative Strength Index (RSI), an indicator used to gauge trend potential, shows the current rally in overbought conditions on the daily time frame. The indicator is now re-routing south to test previous resistance zones for potential support. The areas of interest would be the recently breached pivot point at $18,250, which aligns with the 21-day simple moving average (SMA). The second area of interest could be the psychological $17,000 barrier if the moving indicator does not hold.
BTC/USDT 1-day chart
A third breach above the $21,550 resistance level would invalidate the bearish scenario. The bulls could then challenge the liquidity above the September high at $22,799, resulting in a 10% increase from Bitcoin’s current market value.
Ethereum price continuation depends on support
Ethereum price currently auctions at $1,526 as the bears have induced a 3% decline on the day. Similar to BTC, the RSI for the altcoin king remains elevated after breaching overbought conditions and is also testing previous levels of support. At the time of writing, the decentralized smart-contract token is witnessing its first engagement with the 8-day exponential moving average (EMA) post-rally.
If the indicator holds, the smart contract token’s next bullish target will be the untested November high at $1,680.The bullish scenario creates the potential for a 10% upswing from ETH’s current market value.
ETH/USDT 1-day chart
On the contrary, a breach through the aforementioned indicator positioned at $1,506 could induce a steeper decline. Key levels of support would be the $1,340 swing point and potentially the $ 2,80 zone, which catalyzed the influx of volume during ETH’s beginning stages of the 33% rally this month.
Ripple price facing resistance
Ripple price continues to struggle near the $0.40 zone. Following the 27% hike in the month, the digital remittance token has gone into consolidation mode, ricocheting back and forth between $0.39 and $0.40. On January 18, the bulls lost their footing, enabling a plummet into the $0.38 zone.
XRP price currently auctions at $0.383. Although the fluctuations have been minuscule in terms of percentage swings, the technicals suggest that the bulls in the market may be due to a challenge of lower support zones. The bears have pierced the 8-day EMA for the third time this week. The fourth will likely be the catalyst of a steeper decline. Bearish targets will be the 21-day SMA at $0.357 and potentially the mid $0.34 zone, resulting in up to a 10% decline from the Ripple price today.
XRP/USDT 1-day chart
Invalidation of the bearish thesis could arise from a breach above the $0.405 swing highs. A hurdle of the resistant zones could induce an upswing toward November’s broken support zone at $0.44, resulting in a 16% incline from the current XRP price.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
US presidential election outcome could shape the future of crypto
US citizens will go to the polls to elect a new president on November 5, and their choice could be key for the future of the crypto industry and thus the price outlook for Bitcoin (BTC).
Bitcoin ETFs beat Gold ETFs with 65% gain since launch
Bitcoin ETFs have reshaped the digital asset investment landscape since their approval in January. Their total assets under management climbed over $70 billion during the weekend, placing them ahead of other investment products, including gold.
XRP eyes 10% rally amid relisting across crypto exchanges and growing institutional demand
Ripple's XRP is trading at $0.5050 up slightly by 0.2% in the past 24 hours as it struggles to sustain a move above a key symmetry triangle resistance. Meanwhile, in its recently released Q3 report, Ripple noted the rising listing and relisting of XRP across crypto exchanges and global platforms.
Ethereum Price Forecast: ETH struggles below $2,500 amid State of Michigan pension fund investment in ETH ETF
Ethereum is trading near $2,420, down about 1% on Monday, but could bounce off a key descending trendline close to the $2,258 historically high demand zone. Meanwhile, the State of Michigan pension fund revealed an investment of $11 million in ETH exchange-traded funds.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.