The cryptocurrency market is showing signs of a potential pullback as Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) test critical support levels.
Here’s a breakdown of the current price action and what traders can expect in the coming days.
Bitcoin Price Holds Above $100K, But Risks Remain
Bitcoin price is hovering around $103,300 after a 2% weekly gain. Earlier this week, BTC hit a new all-time high (ATH) of $109,588 but quickly retreated, losing 6.68% on Monday.
The $100,000 level has emerged as a key support zone, with Bitcoin bouncing back 3.8% on Tuesday after testing this level.
However, the momentum appears to be slowing. The Relative Strength Index (RSI) on the daily chart is at 57 and pointing downward, signaling weakening bullish momentum.
The Moving Average Convergence Divergence (MACD) is also converging, hinting at a possible bearish crossover. If BTC closes below $100,000, it could drop to the next support level at $90,000.
On the upside, a break above the ATH could push Bitcoin toward $125,000, with the 141.40% Fibonacci extension level at $127,287 acting as a potential target.
Ethereum Tests 200-Day EMA Support
Ethereum price is currently trading around $3,310 after finding support at its 200-day Exponential Moving Average (EMA) near $3,133.
ETH has recovered 3.83% over the past four days, but the RSI on the daily chart is at 47 and trending downward, indicating bearish pressure.
A close below the 200-day EMA could lead to a deeper correction, with the next support level at $3,000. Conversely, if ETH holds above $3,130, it could rally toward the daily resistance level at $3,730.
Ripple Bulls Show Signs of Exhaustion
Ripple price has been volatile, rallying 30.48% last week before facing rejection at $3.30. XRP is now trading around $3.12, with the RSI at 63 and pointing downward after nearing overbought territory. The MACD is also on the verge of a bearish crossover, suggesting a potential downtrend.
If XRP maintains its upward momentum, it could test the $3.63 target derived from its symmetrical triangle pattern. However, a close below the $1.96 support level could trigger a drop to $1.40.
Key Takeaways
- Bitcoin: Watch the $100,000 support level. A break below could lead to a drop to $90,000, while a new ATH could push BTC toward $125,000.
- Ethereum: The 200-day EMA at $3,133 is critical. A close below could test $3,000, while holding above it could lead to a rally toward $3,730.
- Ripple: XRP faces resistance at $3.30. A bearish MACD crossover could signal a downtrend, with support at $1.96 and $1.40.
Traders should remain cautious as the market shows signs of slowing momentum. Key support and resistance levels will be crucial in determining the next moves for BTC, ETH, and XRP.
