- Bitcoin price action initially gets rid of strong selling pressure, finds buyers at support, and then resumes some selling pressure.
- Ethereum price action mixed with high rejection after all time.
- XRP price is waiting for its bullish breakout and an opportunity to outperform its peers.
Bitcoin closed more than 5% lower on Thursday, but buyers stepped in to hold Tenkan-Sen as support. Ethereum price action shows that the recent rejection has caused some hesitation. XRP price does not have to move far to initiate a massive bullish breakout.
Bitcoin price continues to find buyers in Tenkan-Sen
Bitcoin price has shown resilience and conviction since establishing all-time highs. There were widespread fears that with Ethereum rejecting all-time highs, Bitcoin could suffer a strong corrective move below the $60,000 value area. Although the Binance.US platform had an anomaly that brought Bitcoin back to the $8000 level – this was the exception. If buyers can maintain Tenkan-Sen as a primary support area, the next step is to test $70,000.
BTC/USD Ichimoku Daily Chart
Market participants should be wary of the weekend. Weekends are known for contrasting price action saws and big sell-offs, especially on Sundays. Watch for the continuous break below the Tenkaan-Sen to test the Kijun-Sen near the $55,000 value area.
Ethereum price may catch short sellers if bulls push higher
Ethereum price action was almost comical during the trading session on Thursday, with Ethereum sellers preventing Ethereum sellers from making new all-time highs by just $2.70 (based on exchange data). Although Ethereum closed 7% below Thursday’s high and 2.5% below the opening, buyers initially seemed unconstrained. Some weakness and selling pressure was observed during the lunch hour in New York. Like Bitcoin, Ethereum has found buyers near Tenkan-Sen. If the bulls can maintain the daily close above Tenkan-Sen, another test of all-time highs appears inevitable.
Ichimoku Daily Chart ETH / USD
However, watch for signs of selling pressure emerging as the weekend approaches. The black vertical line marks where the nearest Kumo Twist is (when Senkou Span A intersects above or below Senkou Span B). Kumo Twists often indicate turning points for markets that were trending aggressively at the time of Twist. Thus, the upcoming weekend will be a perfect opportunity for short sellers to push Ethereum price lower to test Kijun-Sen at $3,575 or Senkou Span B at $3,350.
XRP price action frustrates bulls and bears
XRP price has spent the past two weeks trading in a very tight trading range. The bodies of the daily candlesticks are set at $1.08 on the downside and $1.16 on the high side. From Ichimoku’s perspective, XRP met all the conditions to confirm the perfect bullish Ichimoku break – long buyers need to step in and push Ripple higher. A close at or above $1.17 is likely enough to start XRP up 50% towards the $1.60-$1.70 value area.
XRP / USD Ichimoku Daily Chart
As the weekend approaches, the bulls will want to be aware of any strong push south that could cause a daily close below the cloud. A close at or below $1.03 could be an early warning sign of some impending selling pressure. If the sellers push the price of XRP low enough to close the Chikou Span below the candlesticks ($0.88), it is likely that a whole new bear market for XRP will start.