Bitcoin price is stabilizing around a key support level that has been tested twice in the past three months. A resurgence of buying pressure could push the price of BTC, ETH and XRP higher, according to analyst Akash Girimath.
Bitcoin (BTC) poised to fluctuate
BTC price has been trading higher in a parallel channel for the past three months. The current retest, however, is slowly penetrating the 200 SMA, showing buyers decreasing. As we covered earlier, a rising candlestick on the three-day chart indicates that buyers remain active. BTC still needs to surpass the 200 three-day SMA and reach the daily supply zone ranging from $42.153 to $43,981. The increase is expected to be limited around the supply region, indicating a 9% increase.
While the ascending parallel channel and bullish thesis makes sense, a daily candle close below $34,752 could completely invalidate the bullish thesis.
Ethereum (ETH) price analysis
Ethereum price broke the long-standing support cluster and climbed from $2,800 to $3,000, indicating a short-term increase in selling pressure. The recent reversal from the lower trendline is encouraging, but crossing $2,908 and $3,061 to extend. According to the analyst, ETH could then reach $3,129 in 2022, with the most ETH volume being traded. This will initiate a rise to the 200-day SMA at $3,472, a 21% increase from the current $2,855 level.
invalidating the bullish thesis by causing a lower bottom could be triggered by negative momentum pulling ETH below the weekly support level at $2,541. This development may cause it to drop to the $2,000 level psychologically, according to the analyst.
Ripple price takes the pressure off the sell side
Ripple price dropped below $0.601 to collect the sell stops set in late January. This move has reduced negative pressure and indicates that a reversal is imminent. As the chart shows, the recovery is solid and seeks a return to the average at $0.733. This is probably where Ripple will create a local peak. Adding confidence to this thesis could point to $0.768, where the 2022 control volume is concentrated. Therefore, the $0.733 to $0.768 range is where investors should consider booking profit. Akash Girimath, whose analysis we share as
Kriptokoin.com, ends with a scenario that investors can follow as an alternative:
one-day candle close below the $0.601 support level, It could undermine the bullish argument, leading to a lower bottom. In this case, XRP could decline to the $0.548 support level and then reevaluate the directional divergence.