- Bitcoin price shows growing momentum that could see BTC hit $30,400 before a potential pullback to the $27,000 range.
- Ethereum price is stuck within a range and could descend 5% to the demand zone before a northward propulsion.
- Ripple price coils up for a 20% slump to the $0.5048 level unless budding momentum is sustained.
Bitcoin (BTC) price momentum is rising, and with it, that of Ethereum (ETH) price, fueling some optimism among traders after watching the dull price action during the weekend. On the other hand, Ripple (XRP) price is on a gains-shedding exercise that could see the remittance token lose all the ground covered in the July 13 rally.
Bitcoin price shows growing momentum
Bitcoin (BTC) price shows growing momentum after a prolonged stagnation. The people’s crypto is up 2%, which is not a mean achievement considering how close-knit the price was moving along the equilibrium level at $29,399 over the weekend.
At the time of writing, Bitcoin price is $29,657 after breaking above the equilibrium level. Volatility seems to have been restored, and now BTC is on a course north and will potentially tag $30,476 if bulls nurture their current buying appetite.
With the Relative Strength Index (RSI) pointing upwards, some growing momentum could see Bitcoin price continue north. After flipping the 50-day Exponential Moving Average (EMA) from a resistance level to support, upwards is the path with the least resistance. An increase in buying pressure could see BTC complete the rally to the forecasted $30,400 range.
In a highly bullish case, Bitcoin price could shatter past this hurdle to record a new range high around the $31,804 level.
BTC/USDT 1-day chart
On the flip side, a rejection from the $30,476 level could see Bitcoin price move back below the 50-day EMA and lower to break below the $28,806 support level before tagging the 100-day EMA at $28,690. If this support level fails to hold, BTC could continue south to tag the 200-day EMA at $27,265 or, in the dire case, extend to the June 19 low at around $26,344.
Such a move would constitute a 10% drop from the current level. Notably, the position of the Awesome Oscillator (AO) histograms in negative territory points to the presence of bears in the market, which could threaten the current uptrend.
Also Read: Bitcoin ETF potential approval could come close to BTC halving
Ethereum price waits for BTC confirmation
Ethereum (ETH) price remains in a bind, tucked between the 50- and 100-day EMAs at $1,859 and $1,843, respectively. If BTC makes a strong move north, ETH could shatter past the 50-day EMA to forge north, potentially breaching the next roadblock at $1,891.
This assumption stands considering Bitcoin’s correlation to Ethereum has proven strong of late, with the two giants painting the same price action during the weekend on the four-hour timeframe.
In a highly ambitious case, the largest altcoin by market capitalization could extend into the $2,000 zone to tag $2,005, a level last tested in mid-July.
The RSI, like in the case of BTC, is edging north to show rising momentum. If this is nurtured, Ethereum price could complete the 10% climb to $2,005.
ETH/USDT 1-day chart
On the other hand, if current bullish momentum fades and bears take charge, Ethereum price could slide below the 100-day EMA at $1,843 and tag the $1,813 support level. Increased selling pressure below this level could push ETH to the 200-day EMA at $1,789.
In the dire case, Ethereum price could approach or dip into the demand zone marked in pink. This would be the likely turnaround point, considering it represents an order block where bulls are likely to buy aggressively.
It is worth considering the possibility of the demand zone failing to hold as support, in which case it could transform into a bearish breaker, clearing the path for further losses.
Also Read: Ethereum price hovers around equilibrium as ETH future-based ETF filings await October verdict
Ripple price readies for a 20% slump
Ripple (XRP) price is trading within a narrow range, a move that has led to doji candlesticks forming. This repetitive pattern could see XRP continue the downtrend, going down 20% to tag the $0.5048 support level.
The position of the RSI below 50 and the AO histograms in the negative zone show that bears have the advantage, increasing the odds for a downtrend. Moreover, the Ichimoku Cloud hovering above the Ripple price action adds credence to the bearish momentum.
XRP/USDT 1-day chart
Conversely, a break above the conversion line of the Ichimoku (blue) at $0.6315 could clear the path for Ripple price to head north, possibly reaching the cloud itself. However, Ripple price remains in murky waters unless XRP breaks about the baseline of the Ichimoku (red) at $0.6937.
Ripple price must decisively break past the $0.8193 for a confirmed uptrend. Such a move would constitute a 30% ascent from current levels.
SEC vs Ripple lawsuit FAQs
Is XRP a security?
It depends on the transaction, according to a court ruling released on July 14:
For institutional investors or over-the-counter sales, XRP is a security.
For retail investors who bought the token via programmatic sales on exchanges, on-demand liquidity services and other platforms, XRP is not a security.
How does the ruling affect Ripple in its legal battle against the SEC?
The United States Securities & Exchange Commission (SEC) accused Ripple and its executives of raising more than $1.3 billion through an unregistered asset offering of the XRP token.
While the judge ruled that programmatic sales aren’t considered securities, sales of XRP tokens to institutional investors are indeed investment contracts. In this last case, Ripple did breach the US securities law and will need to keep litigating over the around $729 million it received under written contracts.
What are the implications of the ruling for the overall crypto industry?
The ruling offers a partial win for both Ripple and the SEC, depending on what one looks at.
Ripple gets a big win over the fact that programmatic sales aren’t considered securities, and this could bode well for the broader crypto sector as most of the assets eyed by the SEC’s crackdown are handled by decentralized entities that sold their tokens mostly to retail investors via exchange platforms, experts say.
Still, the ruling doesn’t help much to answer the key question of what makes a digital asset a security, so it isn’t clear yet if this lawsuit will set precedent for other open cases that affect dozens of digital assets. Topics such as which is the right degree of decentralization to avoid the “security” label or where to draw the line between institutional and programmatic sales are likely to persist.
Is the SEC stance toward crypto assets likely to change after the ruling?
The SEC has stepped up its enforcement actions toward the blockchain and digital assets industry, filing charges against platforms such as Coinbase or Binance for allegedly violating the US Securities law. The SEC claims that the majority of crypto assets are securities and thus subject to strict regulation.
While defendants can use parts of Ripple’s ruling in their favor, the SEC can also find reasons in it to keep its current strategy of regulation by enforcement.
Can the court ruling be overturned?
The court decision is a partial summary judgment. The ruling can be appealed once a final judgment is issued or if the judge allows it before then. The case is in a pretrial phase, in which both Ripple and the SEC still have the chance to settle.
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