Bitcoin, Ethereum and XRP plummet, breaching critical support levels

  • Bitcoin price has dropped 12.7% since yesterday and shows no signs of stopping.
  • Ethereum price follows the pioneer crypto’s lead and might retest $2,000 again.
  • Unlike BTC or ETH, XRP price shows signs of recovery as long as it stays above a critical demand zone.

Bitcoin price has crashed twice within ten days, taking the entire cryptocurrency market into a tailspin. While some altcoins have recovered, BTC hints at an extension of this slump.

Bitcoin price eyes $45,000

Bitcoin price is hovering below the 100-day Simple Moving Average (SMA) at $49,365. The last time BTC closed below this level was on September 23, 2020. Therefore, a breakdown of this crucial barrier will trigger sellers to offload their holdings.

If such a scenario were to develop, Bitcoin price would head toward a significant support area that extends from $47,500 to $43,002.

BTC/USDT 1-day chart

BTC/USDT 1-day chart

However, a bounce from the 100 SMA could push the flagship crypto toward the demand zone, stretching from $53,330 to $57,060.

Ethereum price looks to retest $2,000

Ethereum price is promptly following BTC’s lead and has undone almost all of yesterday’s gains. Now, ETH is trading at $2,200 and could slide another 5.5% to $2,000.

The SuperTrend indicator’s recently spawned sell signal supports this downtrend.

Under dire circumstances, the pioneer altcoin could retest the 200 four-hour SMA at $2,038.

ETH/USDT 4-hour chart

ETH/USDT 4-hour chart

Regardless of the bearish pressure, buyers might rescue Ethereum price around the psychological level of $2,000. If the bid orders keep rising here, ETH could head to retest the 50% Fibonacci retracement level at $2,311.

XRP price may have started its recovery

XRP price has sliced through the 50 SMA and is testing the 200 SMA on the four-hour chart. Interestingly, the demand barrier’s upper boundary at $0.977 coincides with the 200 SMA. Moreover, XRP investors show extreme resilience in this area as they have scooped up a previous spike below this level.

Hence, a bounce seems likely.

XRP/USDT 4-hour chart

XRP/USDT 4-hour chart

Considering the bearish nature of the entire cryptocurrency market, it wouldn’t be surprising if the said area of demand is breached. In such a case, market participants can expect the remittance token to head to the subsequent support zone that ranges from $0.573 to $0.638.


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.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

Cardano partners with Chainlink to drive smart contract development for DeFi applications

Cardano recently announced a strategic partnership with decentralized blockchain oracle network Chainlink. The third-generation blockchain is preparing to build smart contracts for decentralized finance (DeFi) applications.

More Cardano news

Huobi to stop servicing Chinese users as China vows strict crackdown on crypto

A few months after the cryptocurrency mining ban in China, the country issued another update last week, reiterating that digital assets are banned and crypto exchanges are prohibited. Shortly after the announcement was revealed, Bitcoin and altcoins plunged.

More Cryptocurrencies news

Ethereum bears contemplate a drop to $2450

ETH price is building up downside pressure while clinging to the 200-SMA support. RSI remains flat below the midline, keeping the sellers cheerful. A drop towards $2450 remains in the offing if the 200-SMA caves in.

More Ethereum News

Polkadot price at make-or-break point

Polkadot price spots a potential symmetric triangle pattern on the 1D chart. RSI stands neutral at 50.00, suggesting a lack of clear directional bias. 21-DMA offers immediate resistance.

More Polkadot News


Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast