Top 3 Price Prediction: Bitcoin, Ethereum, Ripple – BTC, ETH and XRP mild recovery sparks optimism
- Bitcoin stabilizes around $111,300 on Wednesday, having recovered slightly the previous day.
- Ethereum price trades above its daily level at $4,488, eyeing a potential rally toward record highs.
- Ripple’s XRP finds support at $2.78 and rebounds, suggesting further upside momentum ahead.
Bitcoin (BTC) price stabilizes around $111,300 on Wednesday, following a slight recovery the previous day. Ethereum (ETH) and Ripple (XRP) are also showing early signs of relief after rebounding from their key support zones, hinting at further upside in the upcoming days.
Bitcoin stabilizes around the 100-day EMA
Bitcoin price found rejection from its previously broken trendline on Saturday and declined by more than 5% until Monday, closing below its 100-day Exponential Moving Average (EMA) at $110,841. However, BTC recovered slightly the next day and closed above the 100-day EMA. At the time of writing on Wednesday, it hovers at around $111,300.
If the 100-day EMA at $110,841 continues to hold as support, BTC could extend the recovery toward its next daily resistance at $116,000.
The Relative Strength Index (RSI) on the daily chart reads 41, which is below its neutral level of 50, still indicating bearish momentum. For the recovery rally to be sustained, the RSI must move above its neutral level.
BTC/USDT daily chart
However, if BTC continues its correction, it could extend the decline toward its next key support at $103,831, the 200-day EMA.
Ethereum shows early signs of recovery
Ethereum reached a new all-time high of $4,956 on Sunday but failed to maintain its upward momentum, declining 8.45% the next day. However, it recovered 5% on Tuesday, closing above its daily resistance at $4,488. At the time of writing on Wednesday, it hovers at around $4,580.
If ETH continues its recovery, it could extend the rally toward its record high of $4,956. The RSI on the daily chart reads 57, above its neutral level of 50, indicating bullish momentum.
ETH/USDT daily chart
On the other hand, if ETH faces a correction, it could extend the decline to retest its next daily support at $4,232.
XRP’s momentum indicators show fading bearish signs
XRP price corrected over 5% on Monday and closed below its 61.8% Fibonacci retracement level at $2.99. However, it recovered from Monday’s fall and closed above the $2.99 level the next day. At the time of writing on Wednesday, it hovers at around $2.99.
If XRP continues its recovery, it could extend the rally toward its next daily resistance at $3.40.
The RSI on the daily chart reads 48, nearing its neutral level of 50, indicating early signs of fading bearish momentum. Moreover, the MACD also showed decreasing red histogram bars, supporting the fading bearish momentum thesis.
XRP/USDT daily
However, if XRP faces a correction, it could extend the decline toward its key daily support at $2.72.
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.
Recommended Articles
