• Bitcoin price might drop lower if it cannot sustain the recent sweep above a critical resistance level at $36,735.
  • Ethereum price is also facing a supply zone that extends from $2,689 to $2,843 and hints at a decline.
  • XRP price faces a confluence of resistance levels and hints at a 10% decline to $0.985.

Bitcoin price is grappling with a stiff resistance level and could head lower if the buyers fail to hold above it. Although ETH and XRP might show promise, they will follow BTC if things go south.

Bitcoin price tiptoes after slicing through a barrier

Bitcoin price recently breached a resistance level at $36,735 and is currently trading above it. However, a failure to stay above it might lead to a downswing toward this week’s open at $35,669 or the previous week’s opening price of $34,758.

If the selling pressure breaks through both of the crucial support barriers, the buyers will likely step in after a brief dip into the demand zone, extending from $31,111 to $34,000.

Investors can expect a retracement that could stretch up to 7% before an upswing narrative evolves.

A dip into the said demand area might replenish the buying pressure, opening up the possibility for a quick 20% rally to the recent swing high at $40,900. Following a breach of this level, Bitcoin price might rise to $41,986 if the buying pressure persists. This point is the local top created in early January that coincides with the right shoulder’s peak.

BTC/USD 6-hour chart

BTC/USD 6-hour chart

If this pullback produces a 6-hour candlestick close below $31,111, it would invalidate the bullish outlook and trigger a downswing below it. However, the chances of this scenario occurring are slim to none.

Ethereum price follows the flagship cryptocurrency

Like Bitcoin, Ethereum price is currently facing a supply zone extending from $2,689 to $2,843. A rejection at this level will push ETH down to the weekly open at $2,383, which is an 11% downswing. If the buyers fail to defend this level, Ether will slide to the immediate support at $2,101, which coincides with the previous week’s opening price.

Investors can expect a reversal here that could push the smart contract token up by 25% to the supply zone’s lower trend line at $2,689.

ETH/USD 6-hour chart

ETH/USD 6-hour chart

However, if the May 19 swing low at $1,850 is breached, it would invalidate the short-term bullish outlook and trigger a consolidation for Ethereum price. Under these conditions, ETH could slide to the immediate support level at $1,730.

Ripple price stuck between two barriers

Ripple price is currently tussling with the 100 four-hour Simple Moving Average (SMA) at $1.094, which coincides with the supply zone’s lower limit. Therefore, investors can expect a minor 10% pullback into the demand zone, stretching from $0.948 to $0.985. Interestingly the 50 four-hour SMA at $0.942 is present extremely close to the level mentioned above.

Therefore, a pullback will mostly face extinction here, allowing buyers to kick-start a move higher.

This attempt will most likely push XRP price to the 100 four-hour SMA at $1.094. A successful breach of this level will allow the buyers to conquer the supply zone.

Only a decisive close above $1.183 will confirm a breakout. Such a move will allow the bulls to carry the remittance token to retest the 200 four-hour SMA at $1.293.

XRP/USD 4-hour chart

XRP/USD 4-hour chart

On the flip side, if XRP price fails to hold above $0.934, it will invalidate the optimistic narrative detailed above. This downswing will set the stage for a 9% crash to $0.840.

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 Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Scam Alert: How to avoid trouble on Terra’s LUNA 2.0 airdrop

Scam Alert: How to avoid trouble on Terra’s LUNA 2.0 airdrop

The LUNA hard fork is set to occur on May 28, followed by the subsequent airdrop of LUNA 2.0 tokens to eligible holders. Ahead of the real LUNA 2.0 airdrop, some scammers have tried to lure LUNA and UST holders to send their assets in lieu of receiving the new tokens. 

More Terra News

Bitcoin Weekly Forecast: On-chain metrics support multiplying downside threats

Bitcoin Weekly Forecast: On-chain metrics support multiplying downside threats

Bitcoin price consolidates above a weekly support level after the LUNA-induced crash on May 12. This coiling price action could cause BTC to trigger a move to the downside, further deepening the woes of investors.

More Bitcoin News

This Web3 move by Crypto.com could be a good bet for patient investors

This Web3 move by Crypto.com could be a good bet for patient investors

Crypto.com price stabilization on a high time frame chart indicates that a bottom formation could be taking place. This pattern combined with a bullish signal from a momentum indicator adds credence to the possibility of a reversal and a recovery rally for CRO.

More Crypto.com News

Why Elon Musk’s tweet failed to move Dogecoin price

Why Elon Musk’s tweet failed to move Dogecoin price

Dogecoin price slipped up as Bitcoin price triggered a sudden crash on May 26. This downswing, while serving as a great opportunity to accumulate DOGE, failed to recover alongside BTC.

More Dogecoin News

Bitcoin: On-chain metrics support multiplying downside threats

Bitcoin: On-chain metrics support multiplying downside threats

Bitcoin price consolidates above a weekly support level after the LUNA-induced crash on May 12. This coiling price action could cause BTC to trigger a move to the downside, further deepening the woes of investors.

Read full analysis

BTC

ETH

XRP