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BTC coils up for a final shakeout before next leg up - Faicy

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BTC coils up for a final shakeout before next leg up

  • Bitcoin price could revisit $60,000 before returning to the $73,777 peak as pre-halving dips are common.
  • Ethereum price could reclaim $4,000 if BTC closes above $69,000.
  • Ripple price could go as low as $0.5000 before XRP becomes attractive to buyers.

Bitcoin (BTC) price continues to drive markets, with the effects of its show of strength and weakness being felt across the industry in kind. As the market walks into the weekend, volatility is expected to increase as trading volumes reduce, which is characteristic of the weekend.

According to analysts, the market could be due for a final shakeout before we continue on our next leg up. If there is any truth to this prediction, then three things stand:

  1. Pre-halving dips should not be a surprise if history is enough to go by.
  2. The recent meme coin mania inspired euphoria across the market, with the current correction making it seem like the bull market has been canceled.
  3. This dip is probably the cheapest traders can buy altcoins for possibly the rest of the bull run.

Also Read: Bitcoin price upside potential grows as BlackRock draws more of Wall Street players into BTC market

Bitcoin could provide another buying opportunity

With the BTC halving barely two weeks out, Bitcoin price could provide a buying opportunity by retesting the supply zone between $58,375 and $65,518. BTC is already overbought, as shown by the Relative Strength Index (RSI), which is falling. The Awesome Oscillator (AO) is also recording dwindling histogram bars.

As BTC price consolidates along the $69,000 threshold on the weekly time frame, a pullback is likely before the bulls can decisively overcome this blockade.

BTC/USDT 1-week chart

On the other hand, increased buying pressure above current levels could confirm the continuation of the primary trend. The first confirmation of this would be a candlestick close above $69,000, above which more buy orders could send BTC price to reclaim $73,777 or even higher to take $75,000.

Also Read: Layer 3 tokens see double-digit losses dragged by Bitcoin price drop

Ethereum price eyes $4,000, but there is a catch

Ethereum (ETH) price remains well above the ascending parallel channel and sits atop the ascending trendline. A successful bounce above this technical formation could see ETH price extend north to the $4,000 psychological level. Such an outcome, however, is contingent on BTC price decisively reclaiming ground above $69,000.

ETH/USDT 1-day chart

On the other hand, if the Ethereum price extends the fall in the hands of ETH sellers, the altcoin could fall back into the channel. A break and close below the upper boundary of the governing chart pattern would delay the uptrend. For it to be invalidated, however, ETH must break and close below $2,500.

Also Read: Ethereum on course to post weekly losses as debate over security status continues

XRP price eyes $0.5000

Ripple (XRP) price could extend the fall to the $0.5000 psychological level if the bears can see the price close below $0.5783. A breakdown of this buyer congestion level could see XRP holders exit the market to avoid more losses.

The position of the RSI below 50 points to a bearish stance, reinforced by the Moving Average Convergence Divergence (MACD) in negative territory and the bearish histogram of the AO.  

XRP/USDT 1-day chart

On the other hand, if the bulls find their way, Ripple price could push above $0.6685. A candlestick close above this level could set the tone for XRP price to foray into the supply zone between $0.7311 and $0.7942. A candlestick close above its midline at $0.7655 would confirm the continuation of the trend, likely going as high as $0.8000.

Also Read: XRP price ranges below $0.60 despite Ripple stablecoin launch announcement

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