FXEmpire.com –
Key Insights:
- Leading cryptocurrencies continue to trade sideways after reports that Binance could face fraud charges and MicroStrategy plans to purchase more Bitcoin.
- Bitcoin’s price breaks above a descending triangle but loses bullish momentum, key support at $28,070.
- Ethereum’s price retests symmetrical triangle’s top trendline, possible fall to support at $1,755.
- XRP remains in a descending triangle, 50-period SMA and pattern’s top trendline act as key resistance.
Bitcoin, Ethereum and XRP Forecast Video for 03.08.23 by Tim Smith
Leading cryptocurrencies traded mostly sideways in Thursday’s Asian session amid investors digesting mixed regulatory and corporate developments. Sentiment fluctuated after leading credit agency Fitch downgraded U.S. Treasuries and reports surfaced that Binance could face federal fraud charges. However, those concerns were partially alleviated by reports that Michael Saylor’s MicroStrategy plans to purchase more Bitcoin.
“We’re seeing a multitude of influential factors at play, which includes corporate investments, regulatory advancements, macroeconomic shifts, and potential for increased accessibility through financial products like ETFs,” Sei Labs’ Jeff Feng told CoinDesk.
Below we take a closer look at important trading levels in Bitcoin (BTC), Ethereum (ETH), and Ripple’s XRP (XRP).
Bitcoin
Bitcoin’s price recently price broke above the top trendline of an established descending triangle, rallying up to the 200-period simple moving average (SMA). However, the bullish momentum faded quickly, with price rejecting the closely-watched indicator and falling back below the 50-period SMA. A break beneath Tuesday’s low could lead to further selling down to key support at the $28,070 level. Conversely, a move above this week’s high could see follow-through buying up to $31,430, where the price would likely encounter resistance from a horizontal trendline connecting several trading peaks over the past two weeks.
Ethereum
After initially breaking down below a symmetrical triangle earlier in the week, Ethereum’s price staged a retest of the pattern’s top trendline and 50-period SMA before bears snuffed out the short-lived recovery effort. Lacklustre volume and a directionless relative strength indicator (RSI) suggest a continuation of the short-term sideways chop. A close beneath Tuesday’s breakdown low could trigger further selling, with possible falls down to a key level of support at $1,755. Alternatively, a move back above the retest high could reignite buying interest up to overhead resistance at around $1,930.
XRP
XRP’s price remains entrenched in a descending triangle, with neither the bulls nor bears in control of the action. Both the 50-period SMA and pattern’s top trendline have acted as a line of resistance for most of this week. A breakout above the triangle’s top trendline could see bulls make another run at recent highs around $0.835. However, a breakdown beneath the lower trendline could see a test of the of the 200-period SMA at 0.64. Interestingly, this area roughly coincides with the 50% Fibonacci level, if measured excluding the SEC news-driven price wick.
This article was originally posted on FX Empire
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