- Bitcoin price has reacted positively after dipping into the demand zone, extending from $30,573 to $31,979.
- A continuation of this uptrend will likely propel BTC by 11% to the 50% Fibonacci retracement level at $35,618.
- If the $30,000 support level is shattered, the bullish thesis will face invalidation.
Bitcoin price has been consolidating below the midpoint of the range for nearly two weeks. Despite multiple failed attempts, the recent dip into the demand zone suggests that it might take another jab at shattering it.
If this were to happen, Ethereum, Ripple and other altcoins would likely follow suit.
Bitcoin price reversal in play
Bitcoin price failed to slice through the 50% Fibonacci retracement level at $35,618 twice over the past two weeks. The resulting downswing has pushed BTC toward a demand zone ranging from $30,573 to $31,979.
A dip into this area of buy orders will likely lead to an uptrend. The immediate barrier that will hinder a move higher is the midpoint at $35,618. Therefore, producing a decisive 6-hour candlestick close above this level will indicate a resurgence of bullish momentum.
In such a case, BTC might test the $36,600 and $39,146 resistance levels. If the bid orders continue to pile up, Bitcoin price might hit $40,000.
BTC/USDT 6-hour chart
While things are turning bullish for Bitcoin price, investors need to be aware of a potential spike in selling pressure that shatters the demand zone’s lower level at $30,573. If this were to occur, it would denote weakness among buyers.
This move will lead to a retest of the $30,000 support level, a breakdown of which will invalidate the bullish outlook.
Ethereum price kick-starts its move higher
Ethereum price has completed its downside target after breaking out of a rising wedge pattern on July 8. Moreover, ETH appears to have bottomed out around $1,869 and shows that a full-blown reversal is on its way.
Adding tailwinds to this thesis is Bitcoin price’s bullish reaction seen around a crucial demand zone, which suggests that an uptrend is in the works. If this were to happen, Ethereum would follow BTC’s lead and head higher.
The first major resistance that ETH will face is $2,018. Breaching this level will put the altcoin face to face with a recently flipped supply zone ranging from $2,041 to $2,106. If the bulls produce a decisive 6-hour candlestick close above this level, it will signify that the buyers are back.
Such a move will open the path for Ethereum price to retest the trading range’s midpoint at $2,297. This run-up from $1,956 to $2,297 would constitute a 17% ascent.
ETH/USDT 6-hour chart
On the other hand, a breakdown of the $1,869 support level will indicate the bullish momentum is lacking. This move will open the path for a sell-off to the range low at $1,700.
A breakdown of this barrier will invalidate the bullish outlook and potentially trigger a move to $1,438.
Ripple price prepares for a burst of bullish momentum
Ripple price set up a second swing low at $0.585 on July 14, signaling the start of a potential uptrend. If the buying pressure continues to hold, XRP will likely tag the 50% Fibonacci retracement level at $0.647.
A decisive 4-hour candlestick close above this barrier will indicate a resurgence of buying pressure. Such a move will open up the path for XRP to take another jab at piercing the high probability reversal zone, which extends from $0.68 to $0.727.
The bullish momentum could face a slowdown after a 16% rally to $0.704. However, if it does not, investors can expect the remittance token to shatter $0.727 and take a jab at the range high at $0.785.
XRP/USDT 4-hour chart
If the buying pressure fails to climb past the 50% Fibonacci retracement level at $0.647, it will indicate that the bulls are weak. While such a development could hinder or delay the uptrend, a breakdown of the demand zone’s lower limit at $0.547 will invalidate the bullish outlook.
In such a case, XRP price might retest the range low at $0.509.
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
Google, Apple could remove Binance from their app store on Philippines SEC request
The Philippines SEC has requested Google and Apple to remove applications controlled by Binance from their App stores. The exchange’s Philippines-based users are finding the exchange inaccessible to remove their funds.
XRP rallies as Ripple slams SEC for penalties, asks regulator to establish likelihood of future violations
Ripple filed its response to the SEC lawsuit on Monday, arguing that XRP institutional sales before and after the court ruling show no disregard for the law. The firm asks for a civil penalty of no more than $10 million against the $2 billion requested by the SEC.
Here’s why Ondo price hit new ATH amid bearish market outlook Premium
Ondo price shows no signs of slowing down after setting up an all-time high (ATH) at $1.05 on March 31. This development is likely to be followed by a correction and ATH but not necessarily in that order.
PENDLE price soars 10% after Arthur Hayes’ optimism on Pendle derivative exchange
Pendle price is among the top performers in the cryptocurrency market today, posting double-digit gains. Its peers in the altcoin space are not as forthcoming even as the market enjoys bullish sentiment inspired by Bitcoin (BTC) price.
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?