Ethereum
XRP Really Needs This Breakout, Ethereum (ETH) Is Hiding Something, There’s No Stopping Bitcoin (BTC) Before $71,000
Arman Shirinian
The market is approaching a substantial price level that should decide its foreseeable future.
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Bitcoin is steadily rising, and recent price action suggests that nothing can stop it before it hits $71,000. Analyzing the chart, BTC managed to break through several key resistance levels, finally showing us bullish momentum.
The first significant resistance level was around $63,000, where Bitcoin faced some consolidation but ultimately found success. The next resistance was the 50 EMA, currently near $65,000. BTC also managed to surpass this level, indicating strong buying pressure and investor confidence.
Price action shows BTC trading above the 50, 100 and 200 EMA, a bullish signal suggesting that the uptrend is likely to continue. The 100 EMA around $62,000 and the 200 EMA at around $60,000 are now acting as strong support levels. As long as Bitcoin remains above these moving averages, the uptrend is intact.
Looking ahead, the next major resistance level is around $70,000, which was the previous all-time high. If Bitcoin manages to rise above this level, the path to $71,000 and beyond will become much clearer. Volume analysis supports this bullish thesis, with purchasing volume increasing as BTC rises, indicating sustained interest and demand.
The RSI is currently above 60, suggesting that BTC is in bullish territory but not yet overbought. This gives Bitcoin the opportunity to continue trading without the immediate risk of a significant pullback.
The asset of Ethereum
Ethereum has been in a difficult situation in recent weeks. However, the situation has changed somewhat in favor of the bulls after the second largest cryptocurrency on the market once again surpassed the $3,000 threshold. But there is always a glimmer of hope.
Despite the recent rise above $3,000, Ethereum still faces significant resistance. The 100 EMA, currently around $3,060, and the 50 EMA, near $3,180, are critical levels that ETH must surpass for a sustainable uptrend. More importantly, these moving averages could converge in the near future, causing a surge in volatility that many would not expect.
On the other hand, if Ethereum fails to maintain its position above $3,000, it may return to the support level at $2,800. This support is reinforced by the 200 EMA, which has historically provided a strong base for ETH. A break below this level could signal a deeper correction, potentially driving the price to $2,500 or lower.
Volume data shows mixed signals. Although there was a slight increase in buying volume as ETH crossed the $3,000 mark, it is not as significant as one would hope for a strong bullish continuation. This suggests that even if there is interest, it is not enough to guarantee a sustainable uptrend without further confirmation.
The old enemy of XRP
XRP has reached the lower limit of the previously invalidated descending triangle. The lower border of this formation now acts as a resistance level which, if breached, can send XRP above $0.55. Besides the historical resistance, there is a 26 EMA at the same price threshold which also acts as a resistance level.
The price action shows that XRP is consolidating near the $0.52 mark, struggling to break above the resistance levels mentioned above. A successful break above these levels could potentially trigger an uptrend, pushing the price towards $0.60 and beyond. However, if XRP fails to break through, it could return to support levels around $0.50 or even lower.
Volume data suggests a lack of significant purchasing power at the moment. For a breakout to be successful, XRP needs an increase in volume, indicating increased buying interest. Without this, resistance levels could hold, preventing any upward movement.
Additionally, the Relative Strength Index is currently around the neutral zone. This indicates that XRP is neither overbought nor oversold, giving it room to move in either direction. A rise in the RSI above 60 could signal increased bullish momentum, supporting a potential breakout.
About the Author
Arman Shirinian
Arman Shirinyan is a trader, crypto enthusiast and SMM expert with over four years of experience.
Arman strongly believes that cryptocurrencies and blockchain will be of constant utility in the future. Currently, it focuses on news, articles with in-depth analysis of crypto projects and technical analysis of cryptocurrency trading pairs.