- Bitcoin is keen on defending support at $37,000; pushing above $38,000 could jumpstart the rally above $40,000.
- ETH hit a barrier at $1,700 (new record high) but bounces off support at $1,600.
- Ripple is holding dearly to the 50 SMA support; nonetheless, price movement remains capped under $0.4.
Ethereum’s uptrend has cooled off after towering the market on Thursday. On the other hand, Bitcoin is on a mission to get back into the spotlight if it jumps above $40,000. Ripple’s vicious pump-and-dump saga seems to have let the dust settle, allowing the bulls to fight for action beyond $0.4.
A comprehensive look at the market, mainly the top 50, shows that some altcoins are posting incredible gains despite Bitcoin’s ranging movement. Some of these tokens include Polkadot, Dogecoin, Aave, UMA, and Compound.
Bitcoin must break this critical hurdle to rally above $40,000
The pioneer cryptocurrency seems to have settled within a narrow range bounded by $37,000 and $38,000. This is a significant move considering BTC has recovered from $32,000 since the beginning of the week.
For now, breaking above $38,000 remains the most daunting task for the bulls. However, once broken, more investors are likely to rush into the market to anticipate gains above $40,000. A golden cross pattern formed after the 50 Simple Moving Average crossed above the 100 SMA on the 4-hour, is also a bullish signal.
BTC/USD 4-hour chart
Bitcoin will embark on another breakdown if the support at $37,000 ceases to hold. A surge in overhead pressure is likely to push Bitcoin onto the support levels at $36,000, the 200 SMA at $35,000, and the primary support at $32,000.
Ethereum rebounds from higher support but can rise to $1,800?
Ether achieved another new all-time high at $1,700. Interest has been growing in the project, with investors and analysts predicting that it has a long way to go before hitting a local top.
Following the record high, Ethereum retreated but found support at $1,600. At the moment, ETH is exchanging hands at $1,635 amid the push to rise above $1,700 and perhaps clock $1,800. The Relative Strength Index on the 4-hour chart is likely to return in the overbought area, hinting at the bullish outlook remaining intact.
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ETH/USD 4-hour chart
Note that Ethereum may abandon the bullish narrative altogether if the immediate support at $1,600 crumbles. Price action below $1,600 could trigger massive sell orders as investors cash out for profit. Some areas of interest include $1,500, the 50 SMA currently at $1,400, and $1,300.
Ripple secures vital support ahead of breakout
In the last couple of days, Ripple has consolidated the massive losses above the 50 SMA on the 4-hour chart. Despite the robust support, its upside is limited under $0.4. Trading above $0.4 will likely catapult XRP to higher price levels, perhaps $0.5.
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XRP/USD 4-hour chart
Thus, sideways trading will dominate until XRP makes a move either above $0.4 or under the 50 SMA, currently around $0.365. The Moving Average Convergence Divergence indicator (MACD) emphasizes the consolidation as it levels at the mean line with the signal line.
A drop under this initial support could be detrimental to XRP and may culminate in the price retesting the anchor provided by the 200 SMA, currently at $0.3.