Top 3 Price Prediction: Bitcoin, Ethereum, Ripple – BTC, ETH and XRP rally pauses near key levels
- Bitcoin price hovers around $95,400 on Friday after rallying 5% so far this week.
- Ethereum stabilizes at $3,304 after encountering resistance at a key level.
- XRP finds support around the 50-day EMA at $2.07, suggesting a recovery ahead.
Bitcoin (BTC) holds above $95,400 on Friday after rallying 5% so far this week. Ethereum (ETH) and Ripple (XRP) followed BTC’s footsteps, hovering around key levels after their upside moves. The price action of the top three cryptocurrencies suggests near-term consolidation before the continuation of their upside momentum.
Bitcoin could extend its rally if the $94,000 support holds
Bitcoin price rose more than 7%, reaching a nearly two-month high of $97,800 on Wednesday after finding support around the previously broken upper consolidation zone at $90,000 last week. However, BTC declined by 1.39% on Thursday. As of Friday, it is trading at around $95,400.
If the 61.8% Fibonacci retracement level (from the April low of $74,508 to October’s all-time high of $126,199) at $94,253 holds as support, BTC could extend the surge toward the key psychological $100,000 level.
The Relative Strength Index (RSI) on the daily chart reads 63, above the neutral level of 50, indicating the bulls still have control of the momentum. Moreover, the Moving Average Convergence Divergence (MACD) shows a bullish crossover that remains intact, with rising green histogram bars above the neutral level, further supporting the positive outlook.
However, if the $94,253 level fail to hold, BTC could extend the decline toward the 50-day Exponential Moving Average (EMA) at $92,207.
Ethereum faces resistance around the 200-day EMA
Ethereum price rose more than 7% on Tuesday and consolidated around the 200-day EMA at $3,338 over the next two days. As of writing on Friday, ETH is trading down, failing to close above this resistance level.
If ETH closes above the 200-day EMA at $3,338, it could extend the rally toward the December 10 high of $3,447. A close above this level could extend gains toward the next resistance at $3,592.
Like Bitcoin, Ethereum’s RSI and MACD indicators signal bullishness, further supporting a positive view.
However, if ETH fails to close above the 200-day EMA and extends its correction, it could decline toward the 50-day EMA at $3,154.
XRP momentum indicates indecision among traders
XRP price found support around the 50-day EMA at $2.06 last week and hovered around this zone throughout Monday. On Tuesday, XRP rose by more than 5% but then declined over the next two days, erasing those gains. As of Friday, XRP is hovering around the 50-day EMA at $2.06.
If the 50-day EMA continues to hold as support, XRP could extend the surge toward the daily resistance level at $2.35.
The RSI on the daily chart is flattening around the neutral 50 level, indicating indecision among traders, while the MACD lines are converging, further supporting an indecisive outlook.
However, if XRP fails to find support around the 50-day EMA at $2.06, it could extend the decline toward the daily support at $1.96.
Cryptocurrency metrics FAQs
The developer or creator of each cryptocurrency decides on the total number of tokens that can be minted or issued. Only a certain number of these assets can be minted by mining, staking or other mechanisms. This is defined by the algorithm of the underlying blockchain technology. On the other hand, circulating supply can also be decreased via actions such as burning tokens, or mistakenly sending assets to addresses of other incompatible blockchains.
Market capitalization is the result of multiplying the circulating supply of a certain asset by the asset’s current market value.
Trading volume refers to the total number of tokens for a specific asset that has been transacted or exchanged between buyers and sellers within set trading hours, for example, 24 hours. It is used to gauge market sentiment, this metric combines all volumes on centralized exchanges and decentralized exchanges. Increasing trading volume often denotes the demand for a certain asset as more people are buying and selling the cryptocurrency.
Funding rates are a concept designed to encourage traders to take positions and ensure perpetual contract prices match spot markets. It defines a mechanism by exchanges to ensure that future prices and index prices periodic payments regularly converge. When the funding rate is positive, the price of the perpetual contract is higher than the mark price. This means traders who are bullish and have opened long positions pay traders who are in short positions. On the other hand, a negative funding rate means perpetual prices are below the mark price, and hence traders with short positions pay traders who have opened long positions.
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