- Bitcoin price pushes higher, trapping short-sellers before a short squeeze will occur.
- Ethereum price action breached a major resistance level for the first time in nearly three and a half months.
- XRP price action fizzles after breaking the major resistance level.
Bitcoin price has made some bullish moves on Tuesday, pushing BTC higher by more than 5%. Ethereum price continues to go higher and higher, hitting and holding the $3,000 value area. XRP price faces selling pressure after making new one-month highs.
Bitcoin price prepares for its next bullish expansion phase
Bitcoin price has completed several bullish movements over the past week that may confirm a new bullish expansion phase is about to begin. On Friday, March 18, 2022, the first movement was completed with a successful close above the Ichimoku Cloud, the Tenkan-Sen, and the Kijun-Sen.
Following Friday’s success, Bitcoin tested the Ichimoku Cloud as support over the weekend through Monday. Today, Bitcoin price has confirmed the bullish breakout above the Cloud and reacted to the Kijiun-Sen as support. Additionally, Bitcoin has moved above and remains above the 50% Fibonacci retracement at $42,125.
To maintain its momentum, Bitcoin will need to close its daily candlestick above the 50% Fibonacci retracement. The next major resistance level for Bitcoin price is the $44,600 value area where the current range swing highs and the 61.8% Fibonacci retracement exist.
BTC/USD Daily Ichimoku Kinko Hyo Chart
A successful close above $44,600 would likely trigger a fast move towards $50,000.
The bullish outlook for Bitcoin price is invalidated if BTC drops below $37,600.
Ethereum price extends its gains to over 20% over eight days
Ethereum price has made some swift progress from the $2,500 price range to the current $3,000 range. Additionally, ETH recently tested and broke above the top of the Ichimoku Cloud - the first such breach since December 9rd, 2021.
The only condition remaining for Ethereum to confirm an Ideal Bullish Ichimoku Breakout is a daily close above the Ichimoku Cloud. A daily close at or above $3,050 would confirm that breakout and put Ethereum price on the path to $4,000.
ETH/USD Daily Ichimoku Kinko Hyo Chart
There is continued downside risks for Ethereum price, but the risks are likely limited to the $2,300 value area.
XRP price could pull back before spiking to $1
XRP price action has been a source of disappointment for buyers today. After Monday’s 5% gain, Ripple attempted to expand higher by moving above the 38.2% Fibonacci retracement at $0.84 to hit an intraday and a new one-month high at $0.865. However, sellers entered and pushed XRP into negative territory for the day.
A pullback to the daily Tenkan-Sen at $0.80 may be the primary target for sellers. If that occurs, it would be the tenth consecutive day of the Tenkan-Sen getting tested as support. If XRP price moves to test the Tenkan-Sen, and it holds, then sidelined buyers will likely enter and begin the push to $1.
XRP/USDT Daily Ichimoku Kinko Hyo Chart
However, downside risks remain a concern. XRP price remains inside a bearish continuation pattern. A daily close at or below $0.73 could trigger substantial selling pressure down to the $0.50 value area.