- Bitcoin price touched $16,000 before retreating to confirm support at $15,800 ahead of a possible liftoff.
- Ethereum uptrend hits pause as selling pressure increases, downside target $440.
- Ripple is stuck in 50 SMA and 100 SMA but seems to be drawing closer to a breakout.
Cryptocurrencies are primarily green on Thursday; perhaps the uptrend is supported by Bitcoin’s recent surge to $16,000. This bullish momentum is, however, not enough to make ballistic price movements across the market. Meanwhile, some selected digital assets such as Chainlink, Binance Coin and Polkadot are still struggling to escape the bearish grip.
The total market capitalization has grown by approximately 6% over the last seven days, suggesting that digital assets are generally trading upwards. Bitcoin accounted for most of the gains, spiking from $267 billion to $293 billion in the same period. At the moment, the flagship cryptocurrency boasts of a 64.5% dominance, leaving only 35.5% to be shared among the altcoins.
Bitcoin relentless in the fight to $20,000
BTC/USD built upon the support at $15,000, lifting off past the range resistance at $15,500. The bullish grip intensified, with Bitcoin touching new yearly highs at $16,000. Meanwhile, a reversal occurred but confirmed support above $15,800.
At the time of writing, the bellwether cryptocurrency is trading at $15,920, while buyers fight aggressively to gain ground above $16,000. The odds seem to favor the bulls, as illustrated by the gradually up-trending Relative Strength Index (RSI).
The bullish narrative is also anchored by the 50 Simple Moving Average upward motion slightly below the price. The short-term technical outlook insinuates that BTC might rally towards $20,000 before a significant retreat comes into the picture.
Many analysts anticipate Bitcoin’s pullback from the yearly highs. Nonetheless, traders can still take advantage of the correction to enter the market afresh by buying the dip while exploring the strategies laid out in this article.
Ethereum impending breakdown targets $440
ETH/USD recovered the ground above $460 but seemed to struggle with the resistant approach at $470. Price action is slugging with consolidation likely to take over. If the support at $460 caves, Ether will activate reverse gears for a breakdown to the 50 SMA at $440.
The RSI adds credibility to the ongoing consolidation with the leveling at 60. Traders can watch for movement towards the oversold region. An increase in sell orders will be validated if Ethereum slides below $460. It is essential to keep in mind lower support areas at the 100 SMA and 200 SMA.
ETH/USD 4-hour chart
It is worth mentioning that the impending launch of Ethereum 2.0 will give some fresh air to the market. As reported, investors are already positioning themselves to take advantage of the anticipated rally above $500.
Ripple nears the tipping point
XRP’s consolidation has sustained for more than two months. Although buyers have managed to clear the resistance at $0.26 several times, gaining traction to $0.3 is proving to be a hard nut to crack.
At the moment, the cross border cryptocurrency is changing at $0.255. The 100 SMA limits its immediate upside in the 4-hour timeframe. Trading above this zone would ignite gains to $0.3.
XRP/USD 4-hour chart
On the flip side, Ripple’s immediate support lies at the 50 SMA in the same timeframe. This support must be protected at all costs because price action beneath could trigger extended losses. The 200 SMA is in line to absorb most of the selling pressure in a bid to avoid paralyzing declines to $0.22 and $0.2, respectively.