Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) are experiencing significant declines, with losses nearly reaching 5%, 6%, and 7% respectively. As of Friday, Bitcoin is struggling to maintain its position around the $108,000 mark, while both Ethereum and Ripple have closed below crucial support levels, indicating the possibility of further decline in the upcoming days.
Bitcoin’s price trajectory recently faced a setback as it was rejected by the 50-day Exponential Moving Average (EMA), situated at $114,822. This rejection initiated a drop of nearly 6% leading into Thursday, ultimately causing Bitcoin to close below its previously established ascending trendline. Currently, Bitcoin’s price hovers near $109,000. If this trend continues and the price dips below the 200-day EMA at $108,070, there is potential for further decline towards the recent low of $102,000 recorded on October 10. The Relative Strength Index (RSI) is currently at 39, suggesting that bearish momentum is firming up. Moreover, a bearish crossover on the Moving Average Convergence Divergence (MACD) last week reinforces this negative outlook.
Ethereum mirrors Bitcoin’s struggles, with its price also faltering. On Tuesday, Ethereum faced resistance at the significant daily level of $4,232, which aligns with both the 50-day EMA and the 78.6% Fibonacci retracement level. This led to a notable decline of approximately 8.88% by Thursday, with Ethereum currently trading around $3,900. Should Ethereum continue its downward trend, it could see a further decline towards the 61.8% Fibonacci retracement level at approximately $3,953. Much like Bitcoin, the RSI and MACD indicators for Ethereum suggest increasing bearish sentiment.
In the case of Ripple, the price encountered resistance near the lower trendline of a falling wedge pattern, resulting in a nearly 11% decline by Thursday. As of Friday, Ripple is trading around $2.35, having closed below a vital daily support level. If the downtrend persists, Ripple could potentially drop towards the next support level at $1.96. The momentum indicators for Ripple, including the RSI and MACD, corroborate the bearish sentiment observed in both Bitcoin and Ethereum.
Should there be recoveries in any of these cryptocurrencies, potential resistance levels await—Bitcoin could rise toward the 50-day EMA at $114,822, Ethereum toward the daily resistance at $4,232, and Ripple could aim for the 200-day EMA around $2.62. The current market conditions indicate a challenging period for these major cryptocurrencies, with traders remaining watchful for signs of potential reversals or further downtrends.
