- Bitcoin price is likely to retest $42,748 after bouncing off the $36,398 to $38,895 demand zone.
- Ethereum price follows BTC and eyes the retest of $3,200.
- Ripple price kick-starts another consolidation, foreshadowing an explosive breakout to $1.
Bitcoin price has retraced after failing to make it over a crucial hurdle. The downtrend was cut short, though, due to the presence of a demand zone. A bounce off this zone is likely to provide Ethereum, Ripple and other altcoin traders a brief opportunity to go long.
Bitcoin price to attempt a relief rally
Bitcoin price faced intense rejection as it approached the weekly supply zone extending from $45,550 to $51,860. This encounter resulted in a 17% drop to a daily demand zone, extending from $36,398 to $38,895.
A retest of this support area is crucial as it will allow Bitcoin price a chance to retry, invalidating the weekly hurdle. From a conservative standpoint, this relief rally is capped at $45,550. In some cases, the uptrend could preemptively stop at $42,748.
BTC/USD 1-day chart
If Bitcoin price produces a daily candlestick close below $34,752, it will invalidate the bullish thesis and suggest the possibility of further descent. In this case, BTC could slide lower and retest $29,100, collecting the liquidity resting below it.
Ethereum price barely survives
Ethereum price is in the same boat as BTC as it was rejected by a daily supply zone, extending from $3,188 to $3,393. The resulting correction pushed ETH to an immediate support area, ranging from $2,608 to $2,812.
Ethereum price came close to breaching this barrier but managed not to invalidate it. Going forward, ETH will continue to follow BTC’s footsteps and attempt a relief rally.
The upside for the smart contract token is capped at the 50-day Simple Moving Average (SMA) at $2,973 or the lower limit of the supply zone at $3,188. A daily close above $3,393 will forecast a possible retest for Ethereum price at the $3,600 level.
ETH/USD 1-day chart
The breaking point for Ethereum would come with a daily close below the $2,324; this development could crash ETH price to $1,730 to collect liquidity resting below.
Ripple price coils up again
Ripple price has been consolidating since February 12 and is primed for another explosive breakout. An upside move seems likely considering the recent bullish outlook for bellwether influencer BTC.
Market makers are likely to push the XRP price to retest the $1 and collect the liquidity resting above it. However, if the bullish momentum flags, the remittance token could produce a local top below at $0.855.
XRP/USD 12-hour chart
A twelve-hour candlestick close beneath the $0.746 support level will indicate a bearish breakout is underway. This will invalidate the bullish thesis and likely see Ripple price knocked down to $0.679, thereby filling the fair value gap.