- Bitcoin is far from a global top but must close the day above $48,000 to validate the uptrend.
- Ethereum unrelenting in the fight towards new all-time high, especially if the RSI negative divergence is broken.
- Ripple is on the brink of an upswing to $0.75 if the 61.8% Fibonacci level resistance is shattered.
Ripple is leading the recovery in the cryptocurrency market several days after Bitcoin and Ethereum hit new record highs. The cross-border token is up a whopping 16% over the last 24 hours to exchange hands at $0.59.
Bitcoin is slightly bullish but is challenged by the selling pressure at $48,000. On the other hand, it has not overcome the resistance at $1,800, thus delaying the rally to $2,000.
The entire cryptocurrency market is dotted green with selected altcoins posting incredible gains such as Cosmos, Tron, The Graph, Algorand and Yearn.Finance.
Bitcoin stalls ahead of breakout
The king of cryptocurrencies is trading at $47,640 following a second rejection at $48,000. The previous rejection found support at $44,000, whereby buyers took the opportunity to increase their entries and make another run for $50,000.
However, the momentum has not been strong enough to overcome the hurdle, delaying the anticipated rally. In the time being, the Relative Strength Index (RSI) on the 4-hour chart supports a sideways action as it levels around 65. Its advance into the overbought area will signify a strengthening bullish grip.
On the other hand, on-chain metrics suggest that Bitcoin is far from the global top and may well rally above $100,000. In addition, the support Bitcoin is getting as companies like Tesla and MasterCard incorporate it is likely to keep investor interest high.
BTC/USD 4-hour chart
Ethereum holds higher support as bulls push for higher highs
The leading smart-contract token has been pivoting between $1,700 and $1,800. The narrow range's upper limit remains an uphill task that must be overcome to pave the way for gains toward the coveted $2,000. Notably, Ethereum recently traded record highs at $1,840, which means that a break above $1,800 is possible.
The Relative Strength Index (RSI) on the 4-hour chart signals that the uptrend being nurtured will hold, especially if the negative divergence is broken. A negative divergence forms when the RSI forms a series of lower highs while the price forms higher lows. However, once broken, it adds credence to Ether's uptrend.
ETH/USD 4-hour chart
Ripple battles crucial resistance eyeing $0.75
The embattled cross-border token seems unbothered by the uncertainty brought about by the lawsuits filed against it. Simultaneously, investors choose to ignore last week's pump-and-dump drive that saw XRP rise to $0.75 and later tumbled to $0.35.
At the time of writing, Ripple is trading at $0.58 as bulls fight to overcome the seller congestion at $0.6. Closing the day above this level will likely place the token on the express lane to $0.75. The uptrend has been reinforced by the RSI's consistent growth from the midline to the overbought area.
XRP/USD 4-hour chart
Key takeaways
Bitcoin may rise to $100,000 by the end of 2021, as predicted, but the near-term resistance at $48,000 and $50,000 is an uphill battle. On the downside, support formed at $44,000 remains key to the uptrend.
Ethereum must close the day above $1,800 to trigger more buy orders as buyers push towards $2,000.
Ripple breaks out toward $0.75 despite the recent freefall to $0.35. Trading above $0.6 will catapult XRP upwards, ignoring the uncertainty due to the ongoing lawsuits.
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
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
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.