Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC, ETH and XRP show strength ahead of Trump’s inauguration
- Bitcoin price continues to trade green on Friday after rallying almost 7% so far this week.
- Ethereum price finds support around its 200-day EMA at $3,120, eyeing a recovery ahead.
- Ripple price continues its rally on Friday after breaking above its symmetrical triangle pattern earlier this week.
Bitcoin’s (BTC) price continues to trade green, trading above $100,900 on Friday after rallying almost 7% so far this week. Ethereum (ETH) and Ripple (XRP) followed BTC’s footsteps and bounced after retesting key support levels earlier this week, all hinting at a rally ahead.
Bitcoin bulls aim for its all-time high of $108,353
Bitcoin price bounced after retesting its $90,000 support level on Monday and rose 5.77%, closing above the $100K in the next three days. At the time of writing on Friday, it continues to trade higher, around $100,900.
If BTC continues its upward momentum, it could extend the rally to retest the December 17, 2024, all-time high of $108,353.
The Relative Strength Index (RSI) indicator on the daily chart reads 59, above its neutral level of 50, and points upwards, indicating a rise in bullish momentum. Additionally, the Moving Average Convergence Divergence (MACD) indicator flipped a bullish crossover on Wednesday, giving a buy signal and suggesting an uptrend.
BTC/USDT daily chart
However, if BTC faces a pullback and closes below the $100,000 support level, it could extend the decline to retest its next support level at $90,000.
Ethereum rebound after retesting its 200-day EMA
Ethereum price rebounded and closed above its 200-day Exponential Moving Average (EMA) at $3,120 on Tuesday and rose 7.2% the next day. However, it declined 4% on Thursday, and at the time of writing on Friday, it hovers around $3,257.
If the $3,120 EMA level holds, ETH could extend the recovery to test its daily resistance level at $3,730.
However, the RSI indicator on the daily chart reads 48, below its neutral level of 50, but points upwards, indicating weakness in bearish momentum. Additionally, the Moving Average Convergence Divergence (MACD) indicator is about to flip a bullish crossover. If the MACD line closes above the signal line, it would give a buy signal and suggest an uptrend.
ETH/USDT daily chart
Conversely, if ETH closes below the 200-day EMA at $3,120, it could extend the decline to test its psychological importance level of $3,000.
Ripple bulls could aim for the symmetrical triangle target at $3.63
Ripple price retested its upper symmetrical triangle boundary on Monday and rallied 28.6%, closing above its psychological importance level of $3.00 over the next three days. At the time of writing on Friday, it continues to trade higher, around $3.29.
If XRP continues its upward momentum, it could extend the rally to test its technical target obtained by this pattern, which would be $3.63.
The RSI indicator reads 76, above its neutral value of 50, indicating bullish momentum. Additionally, the MACD shows a bullish crossover, suggesting a continuation of an upward trend.
XRP/USDT daily chart
However, if XRP closes below the $1.96 daily support level, it would extend the decline to retest its next support level at $1.40.
Bitcoin, altcoins, stablecoins FAQs
Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.
Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.
Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.
Bitcoin dominance is the ratio of Bitcoin's market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.
Author
Manish Chhetri
FXStreet
Manish Chhetri is a crypto specialist with over four years of experience in the cryptocurrency industry.
