Bitcoin (BTC) is experiencing a slowdown in its upward trend, residing within the bounds of an ascending parallel channel. The diminishing momentum is evident as the Relative Strength Index (RSI) flattens and trends south, indicating potential exhaustion among buyers. The Awesome Oscillator (AO) histogram, marked by a consistent series of red bars, suggests an increase in sellers. Additionally, the Moving Average Convergence Divergence (MACD) indicator crossing below the yellow band signals further sell-offs as long positions are closed. Consequently, there's a likelihood of Bitcoin breaking the lower channel boundary, testing the $34,000 level, with a potential decline to $32,000 or even $31,190, constituting a 12% drop.
On the flip side, if sidelined investors enter the market, creating buying pressure, Bitcoin's fortunes could reverse.
Ethereum (ETH) faces resistance at the $1,935 level, the midpoint of a supply zone extending from $1,861 to $2,004. A rejection from this zone could lead to a retracement to $1,800 or the $1,748 support level. The RSI, hovering just above 70 with a deviation southward, indicates potential downward movement. However, the AO and MACD indicators moving positively suggest the presence of bulls. Increased buying pressure may propel Ethereum past $1,935, confirming an upward trend with potential targets at $2,029 and $2,141.
Ripple (XRP) is undergoing a recovery rally, challenging the $0.69 resistance. Overcoming this level could lead to further gains into the $0.77-$0.81 supply zone, with a push towards the $0.93 range high upon breaching $0.79. The RSI at 75 signals overbought conditions, advising caution. The AO histogram and MACD support a bullish outlook, but increased selling pressure may drive XRP below $0.66 and potentially below $0.59, challenging the bullish thesis and initiating consolidation around $0.53.