Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Cryptos shake off the gloom, set for a u-turn

• Bitcoin price does not await trendline bounce and recovers already beforehand. 
• Ethereum price pops 2% higher in the ASIA PAC session and is set to rally back to $3,500.00.
• XRP price is just a few cents off a technical barrier that could support any further up move.

Bitcoin price, Ethereum and other cryptocurrencies have been on the backfoot throughout the week as negative headlines made investors worry about what to come. As the week advances, some tail risks have been defused with statements from the Fed, US President Joe Biden and EC President Ursula Von Der Leyen. Expect a good trading day in the making that could even see cryptocurrencies eke out gains for the week going into the weekend.

Bitcoin price already knocked on the door at the monthly pivot during ASIA PAC

Bitcoin (BTC) price looked heavy on Wednesday and was targeting a drop towards $42,000.00. Instead, bulls came in during the ASIA PAC session with the Relative Strength Index (RSI) dipping below 50. That move triggered an opportunity to start buying back into cryptocurrencies, with Bitcoin on the front foot. 

BTC price looks set to break the monthly pivot at $43,671.53, which has not yet changed much to show if it is strong support or resistance. Expect to see momentum building further as more bulls will want to join the turnaround in the middle of the trading week and see a force build that would make BTC price pop above $44,088.73. With more relief and investors having assessed the situation, more tailwinds will be added, possibly seeing Bitcoin price hit $45,261.84 intraday.

BTC/USD  daily chart

Risk to the downside comes with the early rejection in the ASIA PAC session, where bulls could be proven unfit to push price action above $43,671.53 at the monthly pivot. Expect in that case to see investors flee the scene, offering bears a window of opportunity to push price-action back to $42,000.00. The support from the dotted blue line and the 55-day Simple Moving Average (SMA) should do the trick and hold price action together.

 

Ethereum price builds a strategy to return to $3,500.00

Ethereum (ETH) price made a solid technical break below $3,391.52, with price action holding on Tuesday at that floor but folding on Wednesday. ETH bears proved too strong, with headwinds smacking ETH price against the canvas. Within the past 24 hours, much tail risk has been taken out now as headwinds become less robust than they did throughout the week. Investors no longer need to worry about how much and when the Fed will start running off its balance sheet, and that offers investors a clear view of where to invest.

ETH price is seeing a broad and large inflow of funds as investors are clearly assessing that now is the right time to buy back into cryptocurrencies. Expect to see a continuation of the early pop in the ASIA PAC session towards $3,391.52. That level would be a perfect jump to finally get rid of $3,500.00, which is a hard nut to crack with the 200-day SMA forming a cap to the upside.

ETH/USD daily chart

A bit worrying is that the reversal comes out of the blue with no support from any technical handle or any real trade plan at hand. Investors who got in this morning are giving up a lot of room with stops put very far away, opening up the risk for heavy losses should this be proven a dead-cat-bounce. When that happens, these poorly managed trades are easily squeezed out, and such move could push ETH price below $3,000.00 towards $2,900.00 around the 55-day SMA.

 

XRP price set to jump back into the $0.80 area as investors see headwinds fade

Ripple (XRP) price sees tailwinds coming from the other two most important cryptocurrencies and is enjoying the spillover effect with investors returning to the market to buy back into risk assets. For the day, XRP looks set to book at least 3% gains, but more importantly the buy-side demand is so strong that the 55-day SMA at $0.79 could be breached to the upside as early as today. With only 1 cent apart, $0.80 should be proven an easy exercise to be reached by bulls.

XRP price is thus set to return to higher levels, and with that return, the long-awaited $0.90 mark is back on the agenda of traders as a price target. However, there are still a few hurdles to overcome, certainly with the 200-day SMA nearing $0.8791, making that region extremely difficult to power through. Expect this to be on the docket later next week, with additional tailwinds needed to push and close above those levels.

XRP/USD daily chart

XRP price faces around $0.7843 a very tight double belt of resistance with a historic pivotal level and the 55-day SMA just a few cents above there. That hurdle could be proven too big of level as there are still headwinds present with dollar strength damaging bulls and cutting short any further rallies to the upside. Expect bulls to take profit preemptively and see price drop back to $0.73 in search of support to retry another jumpstart to the rally. 

 

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