- Bitcoin price may have printed the final bottom for spring.
- Ethereum could see a countertrend rally to $3,150.
- XRP price action is still disappointing, but holdlng could pay off.
The cryptocurrency market could be establishing a bottom that will only be noticed in retrospect. Traders have been experiencing sell-offs and fakeouts all month. The games played could be smart money's involvement before the market rallies. Bitcoin, Ethereum and XRP could experience more sideways price action before a new rally is confirmed.
Bitcoin signals whales in the market
Bitcoin price magnet-like price action around $41,300 and $39,700 hints that whales may be trying to accumulate the digital asset. The criteria could fit perfectly as a Bitcoin Wyckoff accumulation phase. Investors should consider a dollar-cost approach at these levels to avoid missing out on a good entry in retrospect. The next target for Bitcoin price lies somewhere in the $36,000 zone if the bulls cannot hold the swing low at 37,701.
BTC./USDT 4-Hour Chart
Invalidation of the Macro Bitcoin triangle lies at $28,000. If $28,000 is breached, traders should have enough steam to push the BTC price as low as $17k resulting in a 40% correction from the current Bitcoin price.
Ethereum price could shake out greedy bears
ETH price has breached the weekly trend line again but now trades above it at $2,850. This is the first sign of the bull rally everyone is hoping for. In addition, the ETH price could be coiling into an ending diagonal pattern on the 8-hour chart. The Relative Strength Index displays bullish divergence in oversold territory, which further confirms that the downtrend could briefly come to a halt. The bullish target is $3,150
ETH/USDT 8-Hour Chart
Ethereum price invalidation is $2,480. If the bears can breach this area, the ETH price uptrend could be void. The bears could confidently aim for $2,200, resulting in a 20% decrease from the current Ethereum price.
XRP price forces traders to lighten their load
XRP price still looks like the most disappointing digital asset in the cryptocurrency market. Today, the ripple price broke through a parallel trend channel as the price has wiped out liquidity under $0.62. A dollar-cost average approach could still benefit XRP maximists aiming for long-term macro targets.
XRP price volume is still falling on the 4-hour chart in a steep decline. Day traders are likely being liquidated, so a spike in price would be unsurprising. Still, the safest invalidation level is now $0.54.
XRP/USDT 8-Hour Chart
XRP macro targets are well above the $3.00 zone, so any discounts in Ripple price are likely to be accompanied by smart money fakeouts. However, If the XRP price breaks $0.54, expect more genuine sell-offs. XRP price could likely fall back to $0.44, resulting in a 35% dip from the current 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.