-
Learning the price of Bitcoin is not vital to the success of the cryptocurrency complex.
-
Ethereum price embraces FOMO with a 110% gain over the past six weeks.
-
XRP price presents a high probability entry price for traders.
The price of Bitcoin is struggling to shake the magnet effect of a critical mid-term moving average, despite broader strength in the cryptocurrency market. Conversely, the price of Ethereum broke through an overbought condition on Monday to mark new all-time highs today, and the price of XRP emerged from an uptrend.
Bitcoin price remains without commitment, frustrating speculators
On April 30, the price of Bitcoin emerged from a reverse low with an 8% gain, but price action since has been reluctant and frustrating. Part of the reason is the stubborn role of the 50-day simple moving average (SMA) in reducing tracking gains. Specifically, BTC has touched the moving average every day since April 30, with the price of Bitcoin never exceeding more than 5%.
Since the 10% rally on April 26, the price of Bitcoin has made a paltry 9% gain, leaving it well below the performance of most other cryptocurrencies. Tuesday’s pullback nearly broke below the right shoulder at $ 52,369 of the inverted head-and-shoulder pattern.
A resumption of the rally from the April low will find difficult resistance to the 361.8% Fibonacci extension of the 2017-18 bear market to $ 63,777, a level that thwarted the rally in mid-April . Further resistance is expected at the intersection of the April high of $ 64,899, with the lower trendline of the corner at $ 65,243.
BTC / USD Daily Chart
If the price of Bitcoin falls below the right shoulder at $ 52,369, this would negate the slightly bullish outlook and draw attention to the support levels. First support is the 100-day SMA at $ 52,157, followed by the April low at $ 47,044. Any further weakness leaves the price of Bitcoin exposed to test February’s low of $ 43,016.
Ethereum price hike reveals troubling pattern
ETH’s 6-week rate of change (ROC) eclipsed 110% and the price of Ethereum marked the 261.8% Fibonacci extension of the 2018 bear market to $ 3,587, the index Daily Relative Strength (RSI) now showing bearish momentum divergence. with the high price.
The price of Ethereum could rise further, reaching a 130% 6-week gain, which occurred in early 2021. However, ETH has built an ascending wedge pattern on the four-hour chart, increasing the chances that today’s breakout is a trader’s trap.
If a reversal begins today, initial support is the lower trendline of the corner at $ 3386. Additional support levels can be considered if the trendline is overcome with the sell off.
4 hour ETH / USD chart
A strong close above the wedge on the daily chart will allow speculators to target much higher prices, potentially extending the 361.8% April correction to $ 4,232, a gain of nearly 20% per compared to price at time of writing.
XRP Price Presents New Opportunity For Late Arriving Traders
XRP price triggered a cup base with bullish grip today, giving new traders the opportunity to capitalize on a timely entry price. XRP price will meet resistance at April 13 high at $ 1.96, but bigger challenges will be $ 2.00 and $ 2.08, 61.8% Fibonacci retracement of bear market 2018- 2020.
The measured movement target of the cup base with handle is $ 3.16, which is a gain of 90% over the top of the handle at $ 1.66. A rally of this magnitude would put the price of XRP within range of the all-time high of 2018 at $ 3.30.
4 hour XRP / USD chart
A drop below the threshold of $ 1.31 would be a warning that the price of XRP was vulnerable to a larger pullback and, therefore, a more complex bottoming process.