Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Decorrelation, Liquidity Hunts and Alternative Counts


  • Bitcoin price has invalidated a widely held macroeconomic thesis.
  • Ethereum price is not as severely damaged as other cryptocurrencies.
  • XRP price could bounce towards $0.60 before another collapse.

Bitcoin, Ethereum and XRP price display evidence of decorrelation as all assets begin depicting a different narrative.

Bitcoin price needs an alternative wave count

Bitcoin price has invalidated the widely held macro thesis amongst professional Elliot Wave traders. On Wednesday, May 11th, the bears managed to push the price below $28,800, forcing an end to the notorious Bitcoin Triangle thesis. Now that the initial macro thesis has been breached, an alternate count must be drawn up to forecast possible price action for the Bitcoin price.

Bitcoin price remains bullish on monthly and yearly charts. The volume indicator indicated the current sell-off as more of a corrective move with less volume relative to the 2020 and 2021 Bitcoin bull rallies. Thus, alternate counts for Bitcoin price could still forecast long-term targets well above $100,000 in the future. Still, readers are asked to please wait for an updated macro count as more evidence from the market will help depict a definitive narrative for the future Bitcoin price.

tm/btc/5/13/22

BTC/USD 1-Week Chart

Currently, the invalidation for the macro thesis lies at $14,000 but is subject to change once a new thesis is drawn up in the weeks to come. If the bears can breach $14,000, the entire uptrend scenario will be void with less than a 1% chance to see new all-time highs, while the bears could very well sweep pandemic lows at $6,000, resulting in an 80% dip from the current Bitcoin price.

Ethereum price is less damaged from a macro perspective

Ethereum price has undergone a harsh sell-off like most cryptocurrencies this week. The bears managed to accomplish a successful liquidity hunt as the yearly lows were breached at $2150. However, unlike Bitcoin and XRP, the Ethereum price has not breached 2021 lows at $1700.

Ethereum price has a big question mark surrounding the current price action and will likely need more evidence from the weekly chart to establish a confident outlook. If the bulls can hold the $1700 level and print a bullish hammer on the weekly chart, a macro range-bound triangle could be underway for the current ETH price. 

TM/ETH 5.13.22

ETH/USDT 1-Week Chart

The simplest invalidation level to use for scalping bullish countertrend rallies is now $1700. If bears break this level, the following bearish targets would be $1400 and $1100 in the coming weeks, resulting in a 45% dip from the current Ethereum price.

XRP price could trap early buyers before another dip

XRP price has breached a consolidation trend channel. A retest of the trend channel could set up a classic breach and retest strategy for bears looking to join the market. At the time of writing, the Ripple price trades at $0.42, a price hike of 40% to $0.57 could occur before the bears flex their bearish strength again.

XRP price has breached the first bearish target at $0.36, mentioned earlier this month. The following targets could be $0.34 and $0.27. It is worth noting that the volume profile indicates a bearish reconquering of the trend on the weekly chart. Long-term investors should consider rebalancing their portfolios to take advantage of future discounted prices.

TM/XRP/5/22/22

XRP/USDT 1-Week Chart

Invalidation of the bearish downtrend is a break at $0.5978. If the bulls take this level, the entire downtrend could be terminated. The bulls could then reroute towards $1.00, resulting in a 140% increase from the current XRP price.

 

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

Bitcoin Price Prediction: Investors need to prepare for volatile breakout

Bitcoin Price Prediction: Investors need to prepare for volatile breakout

Bitcoin price has been devoid of volatility for the last week and has been in a tight consolidation without directional bias whatsoever. This range bound move has formed a triangle pattern which could break either way. 

More Bitcoin News

Shiba Inu: This is what happens when Ethereum whales move 4.35 trillion SHIB

Shiba Inu: This is what happens when Ethereum whales move 4.35 trillion SHIB

Over the past three days, large wallet investors on the Ethereum blockchain have scooped up more than 855 billion Shiba Inu tokens. Massive Shiba Inu accumulation by whales is considered a sign of a bullish trend reversal in SHIB.

More Shiba Inu News

LUNA price takes off! Why A 40% Monday rally could be the start of much more

LUNA price takes off! Why A 40% Monday rally could be the start of much more

Terra LUNA price has rallied 40% this Monday morning. LUNA has breached the 8-day Exponential Moving Average while dually finding support on the RSI.

More Terra News

Polkadot price eyes a resounding bullish move after Tether news

Polkadot price eyes a resounding bullish move after Tether news

Polkadot price is showing solid bullish strength on Monday after bears respected its support at $6.00. The parachains' token exchanges hands at $6.44 – and is among a handful of top 100 cryptocurrencies in the green. 

More Polkadot News

Bitcoin makes a bullish comeback amid regulatory tension, but lacks confirmation

Bitcoin makes a bullish comeback amid regulatory tension, but lacks confirmation

Bitcoin price takes the first step to recovery but needs solid confirmation that will arrive after a flip of the $19,539 level into a support floor. After a successful flip, investors could expect a move up to an intermediate hurdle at $20,737.

Read full analysis

BTC

ETH

XRP