Is the crypto bottom here?

  • Bitcoin price slips below weekly open, suggesting the possibility of a 10% downswing to $17,924.
  • Ethereum price will follow BTC’s and retest the $993 support level. 
  • Ripple price faces third rejection at the $0.336 hurdle and leans toward a correction to $0.306.

UPDATE: Bitcoin price predictions are torn between those who forecast a potential bottom for cryptocurrencies and BTC, and the ones – like billionaire investor Mark Mobius – that see the current consolidation just above the psychological $20,000 level as a stop for the bears before they keep marching towards new lows. After testing again the aforementioned round level, Bitcoin has bounced back on Thursday and it is trading above $20,500 at the time of this update (13.45 GMT). With US stock markets staging a rebound, trading in the green for the fourth consecutive session, cryptocurrencies could potentially follow suit if the market mood improves. That also has turned XRP price predictions a bit more optimistic, as the Ripple token trades in the thinnest range. The court saga between the payment giant and the US SEC is awaiting resolution, and XRP community is staying on the sideways before taking a new direction.

Bitcoin price shows signs of exhaustion as it reverses the bullish trend seen over the past three days. This has caused Ethereum, Ripple and other altcoins to take a backstep as well. Going forward, investors can expect this minor retracement to evolve into a foothold that bulls will use to extend the run-up.

Bitcoin price plans its next step

Bitcoin price climbed past the weekly open at $20,535 and swept Monday’s high at $21,068 on June 22. This bullishness caused a lot of altcoins to trigger exponential rallies. However, the exhaustion of buying pressure seems to be leading to a correction that has pushed BTC from $21,705 to $20,416.

This 7% downswing is likely to continue until BTC retests the $19,416 support level. Here, buyers have a chance to rescue the price and lift it higher, continuing the uptrend. However, failure could see Bitcoin price slide lower and sweep Monday’s low at $17,924. 

BTC/USD 4-hour chart

On the other hand, if Bitcoin price produces a higher high above the June 21 swing high at $21,705 and stabilizes above $21,068, it will invalidate the bearish outlook. This development could see BTC further rally to $23,000.

Ethereum price prepares to climb higher

Ethereum price rallied 35% between June 19 and June 22 and set a swing high at $1,192. During the process ETH produced a set of higher highs, which then  marked a top as bullish momentum exhausted.

This retracement is likely to further drive Ethereum price lower, at least until it revisits the $993 support level. Here, bulls have a chance to rescue ETH and trigger a run-up that could extend beyond the recently setup swing high.

ETH/USD 4-hour chart

ETH/USD 4-hour chart

If Ethereum price produces a four-hour candlestick close below $993 without any signs of a quick recovery, however, it will invalidate the bullish thesis. This development will further result in a retest of the $1,219 and $1,283 hurdles.

Ripple price needs to give it another go 

Ripple price has faced the $0.336 hurdle three times since June 13. Each time that the bulls triggered a rally to attempt a breakout, it failed. The most recent test was on June 21, which has resulted in a 5% pullback.

This downswing will likely continue until XRP price encounters the $0.306 support floor. A bounce off this level combined with an increase in buying pressure will be the key to triggering an extension of the ongoing uptrend.

If Ripple price manages to flip the $0.336 barrier, XRP might revisit the $0.401 hurdle after a 19% upswing.

XRP/USD 4-hour chart

XRP/USD 4-hour chart

While things are looking cautiously optimistic for Ripple price, a four-hour candlestick close below $0.306 will invalidate the recent upswing to $0.336. In such a case, XRP price might crash to $0.250, the next stable support floor.

 


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