- Bitcoin price has reclaimed above $27,000, but increasing market volatility threatens the leg up.
- Ethereum price faces critical resistance at $1,819 as investor sentiment suggests liquidity issues.
- Ripple price reaches multi-month highs amid lawsuit-related optimism.
Bitcoin price continues to suffer the aftermath of macroeconomic factors that have inspired a new wave of market volatility in the cryptosphere. Amid the dark clouds, Bitcoin (BTC) and Ethereum (ETH) are barely holding out after losing some of the ground covered in the rally that began around March 11. Meanwhile, the XRP market remains optimistic as community members anticipate a favorable outcome in Ripple's legal battle against the Securities and Exchange Commission (SEC).
Bitcoin price reclaims above $27,000 but for how long?
Bitcoin price has made a brief retest above the $27,000 level to trade at $27,060 at the time of writing. However, the position remains unstable because of increasing volatility in the market. The latest volatility storm is attributed to the regulators' newly directed attention to the world's largest crypto exchange by trading volume, Binance.
Today the CFTC charged Binance and its founder, Changpeng Zhao, with willful evasion of federal law and operating an illegal digital asset derivatives exchange. Learn more: https://t.co/DdczFgvW6A— CFTC (@CFTC) March 27, 2023
The Commodities Futures Trading Commission (CFTC), suing Binance and its CEO Changpeng Zhao, has directly impacted the market, triggering a new downtrend for Bitcoin price and other assets. If selling pressure increases, BTC could drop below the immediate support level at $26,584.
Below the latter, Bitcoin price could pull lower to tag the Exponential Moving Averages (EMA), starting with the 50-day EMA at $24,399. With more sellers flocking the scene, the king crypto could descend further to confront the 100- and 200-day EMAs at $22,796 and $22,501, respectively.
In extreme cases, Bitcoin price could repost the March 11 lows at the $19,600 level and, in the worst-case scenario, extend a wick down to tag the $18,784 support level.
A desperate turn of events could see Bitcoin price plunge to tag the $16,315 support floor before a possible trend reversal.
BTC/USDT 1-day chart
Nevertheless, while some are panic selling, there is always a buyer on the other side of the trade looking to take advantage of the current Bitcoin price. In a recent announcement, MicroStrategy said it has increased its Bitcoin holdings by 6,455 BTC tokens for a total value of approximately $150 million.
JUST IN: #Microstrategy Has Acquired An Additional 6,455 bitcoins for ~$150M at an average of ~$23,238 per #bitcoin— DustyBC Crypto (@TheDustyBC) March 27, 2023
The intelligence firm acquired the tokens at $23,238 per BTC. If sidelined investors join MicroStrategy's move, Bitcoin price could soar past the $28,000 zone to confront the $29,904 resistance level. A decisive flip of this roadblock into support could invalidate the bearish thesis.
In highly bullish cases, Bitcoin price could rise higher and tag the $31,392 resistance level. Such a move would denote a 16% ascent from the current price.
Ethereum price needs to hold above $1,700 or risk losing it all
Ethereum price is trading at $1,741 at the time of writing, facing a critical resistance at $1,819 as investor sentiment suggests liquidity issues. Almost 90% of the Ethereum supply is now in self-custody for the first time in eight years. This was last spotted in 2015 when Ether (ETH) debuted.
Understandably, this comes when investors appear to have lost faith in centralized exchanges (CEXs). Seemingly, investors are actively moving their possessions from Binance to cold wallets following the CFTC attack against Binance.
Ethereum price needs to hold above the $1,700 support level or risk further losses. Failure to do so could see the largest altcoin plummet in market value to confront the 50-day EMA at $1,644. If selling momentum increases, the PoS token could tag the confluence between the 200- and 100-day EMA at $1,573.
Unless ETH bulls use the EMAs as a turnaround point, Ethereum price could plunge lower to tag the $1,240 support level, reclaiming the March 11 lows. This would be the most probable level for a trend reversal.
In extreme cases, however, Ethereum price could revisit the $1,124 level last tested in November.
ETH/USDT 1-day chart
Conversely, if bulls make a resurgence, possibly prompted by a correction in Bitcoin's market value, Ethereum price could correct northward. In such a case, the token could break above the $1,819 resistance level before a hand-up to confront the $1,981 barricade. Such a move would denote a 13.74% climb from the current price.
Ripple price records multi-month highs amid lawsuit-related optimism
Ripple price has exploded 13% since March 25 as bulls build on gains made in the past day. Accordingly, the remittance token boasts four successive green bars to the current price of $0.496. The uptrend is hugely attributed to optimism about Ripple winning the legal battle against the SEC.
#XRP price feels like its itching for the SEC vs Ripple case to end. Does the price know something we dont? is the case about to end?— HODLCryptoSociety (@HODLCryptoSoc) March 28, 2023
With an intraday high of $0.509, Ripple price has recorded levels last seen before the FTX debacle in November 2022. Furthermore, XRP continues to defy the prevailing market slump triggered by the regulatory clampdown.
Ripple price could soar higher if positive chatter about the case continues, especially with high-ranking personalities like US attorney John Deaton giving positive indications about the case's outcome.
XRP has the most attractive risk/reward ratio IMO. The Judge’s ruling is coming down w/in the next few weeks (maybe this week). If the SEC wins, what’s the downside from .45? Ripple appeals and we get the status quo. Ripple wins and its made clear XRP isn’t a security? Upside?— John E Deaton (@JohnEDeaton1) March 26, 2023
An increase in buying pressure above the current level could see Bitcoin price shatter the immediate resistance level at $0.506. The token could tag the $0.533 resistance level in highly bullish cases, solidifying the October highs. Such a move would denote a 7% climb from the current price.
XRP/USDT 1-day chart
Conversely, if profit takers play their cards, Ripple price could plummet, first losing the $0.480 support level before tackling the $0.443 area. A decisive flip of this base into a resistance level would invalidate the bullish thesis.
In highly desperate cases, Ripple price could retest the 200-, 50-, and 100-day EMAs at $0.408, $0.400, and $0.394, respectively. Further down, the remittance token risks a retest of the March 21 low at $0.373, or worse, towards the January 12 and 6 lows around $0.350 and $0.330, respectively.
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