A fake alarm on Bitcoin, Ethereum and XRP?
Bitcoin, Ethereum and XRP seem to have reached an exhaustion point after the last price action. Still, different metrics suggest that the bullish trend will continue very soon.
A fake alarm on Bitcoin, Ethereum and XRP?
The latest pump action in the crypto money market leaves question marks in the minds of market participants. We take a look at the most important levels of support and resistance for each crypto to better determine whether Bitcoin, Ethereum, and XRP are really doing pump action.
Bitcoin Aims the Highest Level of the New Year
Bitcoin left a clear rise streamer on July 21.The distance between the highest point of this continuation model predicts an increase of 15.7%. Therefore, another increase in the buying pressure behind the leading cryptocurrency can see that the BTC price rose to $ 10,700.
While Bitcoin targets the highest levels of the new year, data from IntoTheBlock reveals that it is related to the huge supply barrier directly in front of recent downward pressure.Based on the “Money In / Out Around Price” model, about 1.4 million addresses had previously bought about 1 million BTC between $ 9,540 and $ 9,810.Owners in this price range are trying to break even in long positions and provide a certain resistance to Bitcoin’s bullish trend. When the leading cryptocurrency overcomes this obstacle, IOMAP cohorts show that there is no other obstacle that will prevent it from reaching the target offered by the bullish streamer.
On the move side, this chain measure shows roughly 4.5 million addresses buying more than 2.5 million BTC between $ 8,960 and $ 9,520. Such an important area of interest would be the ability to hold in a correction state.
Ethereum Reaches the Highest in Five Months
The smart contracts giant has increased by nearly 19% in the past four days and has reached the $ 250 resistance level for the first time since March.Ethereum fell about $ 6 , while many expected to re-test the highest price level of $ 287 in mid-February . Still, traders used the bullish price movement to make a profit.Significant increase in sales orders at the $ 280 sum decreased Ethereum by 4.4%. Regardless, the Fibonacci retracement indicator shows that as long as Ethereum continues to trade above $ 259, the bullish trend will continue.
A similar outlook is offered by IntoTheBlock’s “Money In / Out of Price” model.This key indicator reveals that there is no significant supply barrier that will prevent Ethereum from rising to $ 300 or higher.
Meanwhile, a few supporting walls that sit beneath this altcoin can absorb any downward pressure.The first is between $ 263 and $ 271, and 1.15 million addresses bought 3.55 million ETH. The second and most important hurdle is between $ 230 and $ 247. Here, the IOMAP cohorts reveal that 4.6 million addresses have more than 18 million ETH.Traders entering the market while Ethereum trades around $ 240 will try to remain profitable in the event of a fall. They can even buy more ETH and allow prices to go higher.
XRP Processes Between 2 Basic Obstacles
While Bitcoin and Ethereum are booming, XRP faces tough resistance.The 200-day moving average continues. As a result, there are situations that will prevent the cross-border wire transfer to reach its upside potential.Due to the strength of this obstacle, only a daily candlestick above it can confirm that this cryptocurrency is ready for higher highest levels. If this happens, XRP can move up to the next resistance levels of $ 0.23 and $ 0.26.
Meanwhile, traders should pay attention to the 50-day moving average as it acts as a support wall for XRP. Passing this field will override the bullish view.It may even result in a price drop around $ 0.17 to the next support level.
Bitcoin Moves Crypto Money Market Forward
Global economies continue to be exposed to the impact of the ongoing outbreak. As a result, most central banks have chosen to continue to fill incentive packages and print money.The idea continues with asset policy “in the amounts needed to support smooth market functioning” as the Federal Reserve endorsed in late March.Although quantitative expansion has served as a cushion for other financial crises in the past, cryptocurrencies now offer investors a new opportunity to protect against risk. The rise of this new class of assets was so important that the US Currency Controller Office (OCC) recently allowed banks to serve as crypto depositors.Although many are skeptical, the overall adoption of cryptocurrencies is currently taking place. Therefore, since the crypto market is at the peak of a new bullish cycle, investors should pay close attention to the levels of support and resistance mentioned earlier.