- Bitcoin price turns soft as it retests the $23,000 support level.
- Ethereum price faces rejection at $1,677, a monthly resistance level.
- Ripple price slides back to tag the $0.400 to $0.381 zone as buyers take a break.
Bitcoin (BTC) price is the glue that is holding this 2023 bull run intact for Ethereum (ETH), Ripple (XRP) and other altcoins. But the BTC bulls are beginning to show some weakness, therefore, investors need to be cautious of a sudden reversal. With no major macro announcements to influence price movements, investors can expect an uneventful week if buyers restrain from booking profits.
Bitcoin price at the edge of bullishness
Bitcoin price has been hovering around roughly $23,000 for the last two weeks. At first, it attempted to breach the $22,800 hurdle posed by the Momentum Reversal Indicator’s (MRI) state trend resistance level (red dotted) and the breakout line (blue). In the second half, BTC breached it but is yet to confirm a successful flip.
Investors can choose to be optimistic and assume the bull rally will continue, but the technicals are hinting otherwise. The Relative Strength Index (RSI) shows that the momentum has been waning since January 14.
The only thing holding Bitcoin price from nosediving is the $22,800 support level. A breakdown of this level will trigger a correction in BTC to the $21,355 to 19,830 zone, which is where the 50-, 100- and 200-day Exponential Moving Averages (EMA) lie.
BTC/USD 1-day chart
While the bearish outlook makes logical sense, investors need to be aware of the possibility of a sudden spike in buying pressure. The ongoing rally was a surprise rally that caught many bears off-guard. Hence, Bitcoin price might take another jab at $25,000. A flip of this psychological level into a support floor will invalidate the bearish thesis. Such a move could trigger sidelined buyers to pour in, kick-starting a rally to the next psychological level at $30,000.
Ethereum price has more to lose
Ethereum price has been following in Bitcoin’s footsteps, but if the bearish regime begins, ETH will see a drastic decline. Rejection at the monthly resistance level of $1,677 followed by a correction could see the smart contract token find support at $1,429.
A breakdown of this level due to the overwhelming pressure of investors booking profits could drag the Ethereum price to $1,331. In a dire case, ETH might revisit the $1,227 floor.
ETH/USD 1-day chart
Regardless of the bearish outlook in Bitcoin price, if Ethereum price manages to flip the $1,677 hurdle, a push to $2,000 is likely. If this level is flipped into a support floor, the fall can be mitigated and instead, a run-up to $2,730 could be on the horizon.
Ripple price at strong base
Ripple price is back to retesting the $0.400 to $0.381 support zone after the initial decline. A daily candlestick close below $0.381 will lead to a breakdown of this structure, signaling the start of a downtrend.
In such a case, Ripple price will revisit the temporary support level at $0.367. A spike in selling pressure will send the remittance token to the $0.337 and $0.316 barriers.
XRP/USD 1-day chart
On the other hand, if Ripple price bounces off the $0.400 to $0.381 support level, there could be an attempt to tag the $0.448 hurdle. A flip of this resistance level into a foothold will invalidate the bearish thesis for XRP. In such a case, a spike in buying pressure could send the remittance token to $0.471.
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.
Follow us on Telegram
Stay updated of all the news
Ethereum supply shrinks by 70,000 ETH. Will Ethereum price hit $2,000?
Ethereum transition from Proof-of-Work to Proof-of-Stake (PoS) was the last major upgrade to the altcoin’s blockchain and the Shanghai hard fork is the next one. The shift to PoS purged 70,000 ETH tokens from the altcoin’s circulating supply.
Decentraland Price Forecast: What to expect from MANA as Metaverse Fashion Week kicks off
Decentraland price (MANA) has identified critical support on day one of the Metaverse Fashion Week. The token is trading horizontally on the four-hour timeframe as bulls push to break above a descending trendline.
Ethereum devs confirm withdrawals to begin on April 12; Here's what to expect from ETH price
Ethereum is on the verge of bringing about one of the biggest upgrades to the blockchain since the Merge. The arrival of withdrawals has been anticipated for a long time now, however, it may not be as lucrative for Ethereum price as one might expect.
Ripple holders' profit taking hits a 19-month high as XRP price shoots up by 42%
XRP price has performed beyond expectations and has marked a multi-month high, restoring confidence in its investors. These holders have also made the most of the situation and turned to sell, which could backfire on the price action soon.
Bitcoin: Should you trust this BTC sell signal or wait for $34,000?
Bitcoin price shows a clear picture of its rally after it breached a long-term bullish pattern in mid-January. As the rally takes a breather, sell signs have started to emerge, which is putting investors in a confused state.