Top 3 Price Prediction: Bitcoin, Ethereum, Ripple – BTC, ETH and XRP cool off as rally stalls near key resistance zones
- Bitcoin faces rejection near the $94,253 resistance zone after its recent upside move.
- Ethereum fails to close above the 100-day EMA at $3,308, capping near-term gains.
- XRP bulls take a breather around the daily resistance at $2.35 following a sharp recent surge.
Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) prices are taking a breather on Wednesday near their key resistance levels following the recent surge. BTC faces rejection at the $94,253 level, while ETH and XRP follow BTC’s footsteps, struggling near $3,308 and $2.35, respectively. The price action of the top three cryptocurrencies by market capitalization suggests a cooldown before the rally resumes, if a decisive close above these key resistance zones occurs.
Bitcoin faces rejection around the $94,253 resistance level
Bitcoin price closed above the upper consolidation range of $90,000 on Saturday. BTC rose nearly 4%, retesting the 61.8% Fibonacci retracement level (drawn from the April low of $74,508 to October's all-time high of $126,199) at $94,253 on Monday. However, the rally paused on Tuesday as BTC struggled to close above this resistance level. As of Wednesday, BTC is trading slightly down at around $92,700.
If BTC closes above the $94,253 resistance, it could extend the rally toward the key psychological level at $100,000.
The Relative Strength Index (RSI) is 59, above the neutral 50 level, indicating bulls remain in control of momentum. In addition, the Moving Average Convergence Divergence (MACD) indicator shows a bullish crossover and rising green histogram bars above the neutral level, further supporting the bullish outlook.
However, if BTC corrects and closes below the 50-day Exponential Moving Average (EMA) at 91,774, it could extend the decline toward the key support at $90,000.
Ethereum could extend gains if it closes above 100-day EMA
Ethereum price closed above the daily resistance level at $3,017 on Friday and rose nearly 6% through Tuesday, retesting the 100-day EMA at $3,308. As of Wednesday, ETH is trading slightly below $3,272.
If ETH closes above the 100-day EMA at $3,308 on a daily basis, it could extend the rally toward the December 10 high of $3,447.
Like Bitcoin, Ethereum’s RSI and MACD indicate bullish signals, further supporting a positive view.
However, if ETH corrects, it could extend the decline toward the 50-day EMA at $3,134.
XRP rally stalls after retesting key resistance zone
XRP price closed above the daily resistance at $1.96 on Friday and rose more than 16% through Monday, retesting the daily resistance at $2.35. XRP corrected the next day after failing to break through this resistance level. As of Wednesday, XRP is trading down around $2.27.
If XRP closes above the $2.35 level on a daily basis, it could extend the rally toward the next daily resistance at $2.72.
Like Bitcoin and Ethereum, XRP momentum indicators (RSI and MACD) showed bullish signals and support a positive outlook.
However, if XRP continues its correction, it could extend the decline toward the 50-day EMA at $2.07.
Cryptocurrency metrics FAQs
The developer or creator of each cryptocurrency decides on the total number of tokens that can be minted or issued. Only a certain number of these assets can be minted by mining, staking or other mechanisms. This is defined by the algorithm of the underlying blockchain technology. On the other hand, circulating supply can also be decreased via actions such as burning tokens, or mistakenly sending assets to addresses of other incompatible blockchains.
Market capitalization is the result of multiplying the circulating supply of a certain asset by the asset’s current market value.
Trading volume refers to the total number of tokens for a specific asset that has been transacted or exchanged between buyers and sellers within set trading hours, for example, 24 hours. It is used to gauge market sentiment, this metric combines all volumes on centralized exchanges and decentralized exchanges. Increasing trading volume often denotes the demand for a certain asset as more people are buying and selling the cryptocurrency.
Funding rates are a concept designed to encourage traders to take positions and ensure perpetual contract prices match spot markets. It defines a mechanism by exchanges to ensure that future prices and index prices periodic payments regularly converge. When the funding rate is positive, the price of the perpetual contract is higher than the mark price. This means traders who are bullish and have opened long positions pay traders who are in short positions. On the other hand, a negative funding rate means perpetual prices are below the mark price, and hence traders with short positions pay traders who have opened long positions.
Author
Manish Chhetri
FXStreet
Manish Chhetri is a crypto specialist with over four years of experience in the cryptocurrency industry.
