|

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Corrections in bull markets can be seen as temporary setbacks

  • Bitcoin is likely to revisit the 200 SMA support before a significant reversal comes into play.
  • Ethereum’s downside eyes $480 mostly if support at the 100 SMA and $500 tumbles.
  • Ripple fights for support above $0.5 and the 50 SMA after rejection at the critical $0.6 resistance level.

The cryptocurrency market is still painted in red nearly a day after the selloff was triggered by investors taking profits. Withdrawal services for cryptocurrencies and digital assets on OKEx exchange resumed on Thursday. The massive declines, especially for Bitcoin, have been attributed to investors removing funds from the platform.

Bitcoin is struggling with sustaining the price above $17,000, while Ethereum seems poised for losses under $500. On the other hand, Ripple managed to recover above $0.5 and is trading at $0.52 at the time of writing. Significantly few coins are trading in the green on Friday, and they include selected altcoins such as Aave (AAVE), Yearn.Finance (YFI) and Kusama (KSM).

Bitcoin resumes breakdown towards $15,750

Bitcoin recovered from the dip to $16,200 and reclaimed the ground above $17,000. However, the bullish momentum was not strong enough to overcome the seller congestion at the 100 SMA. A rejection came into the picture, forcing the flagship cryptocurrency back into the $16,000s territory.

At the time of writing, BTC/USD is trading at $16,728 amid a bearish moment that has intensified. If Bitcoin does not close the day above $17,000 and perhaps the 100 Simple Moving Average, more losses are likely to come into the picture. The bearish leg might stretch to the 200 SMA at $15,750 before a reversal occurs.

BTC/USD price chart

BTC/USD 4-hour chart

On the contrary, the bearish outlook will be abandoned if the bellwether cryptocurrency settles above the 100 SMA. Here, bulls will have a chance to focus on lifting the price to levels above $18,000 and probably the 50 SMA at $18,300.

Ethereum is on the verge of a breakdown under $500

Ethereum is like an unstable atom as it holds above $500. Recovery from the dip to $480 failed to make progress above $520. Ether suffered another rejection at the resistance level, forcing buyers to seek refuge at the 100 SMA, marginally above $500.

The smart-contract giant must hold above $500 if not the 100 SMA to avoid triggering massive losses. Support is still anticipated at $480, but if supply increases for Ethereum, a significant downtrend might occur.

ETH/USD price chart

ETH/USD 4-hour chart

On the flip side, bulls will avoid the potential breakdown if they Ethereum held above $500 as well as the 100 SMA. This will allow them to shift their focus from playing defends to breaking past the critical hurdle at $520.

Ripple’s declines seem unstoppable

The cross-border token renewed the uptrend but only slightly after the recent sharp drop to $0.45. Defending the 50 SMA support on the 4-hour chart played a critical role in controlling the breakdown. The recovery that ensued stalled under $0.6, leading to the ongoing battle to stay above $0.5.

XRP will likely continue with the downtrend, especially if the support levels at the 50 SMA and $0.5 cave to the selling pressure. For now, the least resistance path is downwards, as reinforced by the Relative Strength Index’s slide under the midline.

Trading below the 50 SMA could call for more sell orders. An increase in supply for XRP might see the cross-border token embark on a massive gain-trimming exercise. Other key support levels to keep in mind include $0.45, the 100 SMA at $0.38, and the 200 SMA at $0.31.

XRP/USD price chart

XRP/USD 4-hour chart

On the upside, defending support at $0.5 or the 50 SMA might invalidate the bearish narrative. If Ripple assumes stability, bulls will have ample time to focus on increasing the demand, which might help elevate the token above the resistance envisaged at $0.6 and $0.7.

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

More from John Isige
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

AAVE slips below $186 as bearish signals outweigh the SEC investigation closure

Aave (AAVE) price continues its decline, trading below $186 at the time of writing on Wednesday after a rejection at the key resistance zone. Derivatives positioning and momentum indicators suggest that bearish forces still dominate in the near term.

Hyperliquid stabilizes amid plans to burn assistance fund

Hyperliquid (HYPE) stabilizes above $26 at press time on Wednesday after three straight days of losses. Hyperliquid Foundation has started a validator vote to reduce supply by burning the assistance fund, which holds over 37 million HYPE tokens.

Top 3 Price Prediction: Bitcoin, Ethereum, Ripple extend correction as bearish momentum builds

Bitcoin, Ethereum, and Ripple remain under pressure as the broader market continues its corrective phase into midweek. The weak price action of these top three cryptocurrencies by market capitalization suggests a deeper correction.

Ethereum Price Forecast: Active addresses plunge to May levels amid resumption in US selling pressure

Ethereum (ETH) weekly active addresses have plunged sharply in December, declining from 440K to 324K, levels last visited in May. The decline in active addresses has also pushed down the number of transactions on the network to July lows.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.