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BTC is in a class of its own after ETF approvals - Faicy

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BTC is in a class of its own after ETF approvals


  • Bitcoin price flipping $67,063 into a support floor would set the pace for a continuation of the climb toward $70,000.
  • Ethereum price draws closer to 26% breakout, but there is a caveat.
  • A higher high on the RSI could send Ripple price nearly 10% north to $0.5715.

Bitcoin (BTC) price’s influence on altcoins since the US Securities & Exchange Commission (SEC) has not been the same as before. With BTC now on Wall Street, in the hands of institutions, altcoins are barely keeping up. For instance, while Bitcoin price is up nearly 60% in 2024, Ethereum (ETH) price is up only 33%.

Accordingly, the ETH/BTC ratio is 0.045, marking the lowest fraction since April 2021. Solana (SOL) is an outlier with notable gains in 2024, majorly influenced by the reputation as a blockchain that favorably competes against Ethereum. Its place as a hub for meme coins has also contributed to the stellar performance.

  

Also Read:  Bitcoin price closes week with a show of strength, forays above $67K range alongside millions in liquidations

Bitcoin price could confirm market structure change above $67K

Bitcoin price recorded an intraday high of $67,451 on Friday, with prospects for more gains as it continues to record higher highs.

If bullish momentum increases, enough for BTC to close above $67,063 on the one-day time frame, it would confirm a market structure change, setting the pace for a rally to $70,000, or in a high bullish case, an extension to the $73,777 all-time high.   

The lower highs on the Relative Strength Index (RSI) suggest growing bullish momentum, accentuated by the green histograms of the Awesome Oscillator (AO), suggest that bullish sentiment for BTC is becoming stronger.

BTC/USDT 1-day chart

On the other hand, if selling pressure increases, Bitcoin price could drop. If the $65,500, $63,354 and $60,630 thresholds fail to hold as support, BTC could drop as low as the $56,000 level.

Also Read: Bitcoin Weekly Forecast: Is BTC out of the woods?

Ethereum price edges closer to 26% breakout

Ethereum price is climbing, also recording higher highs. If bullish momentum increases, enough for ETH to break above the falling wedge pattern, it would make a 26% run up to the $4,083 profit target. This technical chart pattern is considered a significantly bullish reversal pattern, which is confirmed when the price breaks above the upper trendline. 

The profit target of a falling wedge is measured by adding the maximum distance between the upper and lower trendlines to the breakout point. The upside potential for ETH is contingent on Bitcoin price sustaining its gains.

ETH/USDT 1-day chart

On the flip side, if selling pressure sets in, Ethereum price could pull back, slipping below support due to the ascending trendline. For the bullish thesis to be invalidated, the price must break and close below the $2,781 support on the one-day time frame.

Also Read: Ethereum drops below $3,000 again, spot ETH ETF sparks debate in crypto community

Ripple price eyes 10% gains

Ripple price is climbing with higher highs sustaining the 50% Fibonacci placeholder of $0.4952 continues to hold as support. With the RSI steadily moving north, shown by the lower highs of this momentum indicator, buying pressure is rising. This favors the upside.

A higher high on the RSI above the mean level of 50 could reinforce the uptrend, sending Ripple price to the $0.5715 roadblock. This would mean a climb of nearly 10% above current levels.

XRP/USDT 1-day chart

However, early profit booking could see the Ripple price draw back, pulling toward the $0.4952 support. A leg lower to the $0.4500 threshold would invalidate the bullish thesis with XRP price likely to extend the fall to the $0.4188 bottom.

Also Read: XRP trades steady at $0.50 as Ripple shares plan to expand services in Africa

Bitcoin, altcoins, stablecoins FAQs

Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.

Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.

Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.

Bitcoin dominance is the ratio of Bitcoin’s market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.

 




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