xrp crypto value

Crypto markets prepare for a bullish October

ETH takes the front stage, while BTC and XRP lag
Written by publisher team

  • Bitcoin price is showing signs of a bullish breakout as it crosses the falling wedge.
  • Ethereum price is also showing an optimistic view as it is forming a descending parallel channel.
  • Ripple price is consolidating on the hope of forming a higher bottom and starting an uptrend.

Bitcoin price is going through a temporary bearish swing as it is setting up a falling wedge pattern. Similar to the big cryptocurrency, the price of Ethereum is also forming a bullish pattern. However, it appears that Ripple is bouncing off the support floor without any technical formations.

Bitcoin price waiting for a breakout

Bitcoin price has been in a downtrend since September 7th, but the asset is getting crowded as it is sloping lower. In total, BTC has made nearly four lower highs and three lower lows since this point. Connecting these swing points using trend lines shows the formation of a falling wedge pattern.

This technical formation is forecasting a 12% rise to $51,925, which is obtained by measuring the distance between the first swing high and the swing low and adding it to the breakout point.

Investors can assume that BTC will bounce back from the 50% Fib retracement level at $41,126 and break through the upper trendline at $44192. The move will create a higher low relative to the July 21 low, while the relative strength index (RSI) is creating a lower lower low on these dates. This development indicates the formation of a hidden bullish divergence, which adds a tailwind to the bullish scenario from the perspective of the falling wedge.

A breakout from the pattern, while optimistic in theory, wouldn’t be the only requirement. The resistance levels at $44,893 and $46,856 are likely to impede the upside before reaching the target of $49,766.

12 hour BTC / USDT chart

While things seem to be inclined towards the upside, a failure to recover BTC at $41,126 would signal that buyers are not ready.

In such a case, investors can expect Bitcoin to return to the high-probability reversal zone, which ranges from $38,287 to $34,264, before resuming the rally.

Ethereum price contradicts bullish breakout

Ethereum price has created three distinct lower tops and lower lows since August 31. Connecting these swing points shows the formation of a descending parallel channel. While ETH has bounced off the middle line of the channel, it is currently retesting the upper trend line with hopes of a breakout.

A potential rally in buying pressure pushing ETH to produce a crucial 12-hour candlestick close above $3,202 will confirm the breakout and start a new bullish rally. In such a case, ETH could rise to the $3,619 mark after a 13% rally.

If buying pressure continues to rise, Ethereum price may continue and mark the $3,952 resistance level.

ETH/USD 12-hour chart

ETH/USD 12-hour chart

On the other hand, if Ethereum price breaks through the $2,889 support line, it will lead to a sell-off of 9% to the $2,442 to $2,605 demand zone. If the downtrend bounces off this area, an uptrend may arise. However, if sellers push ETH to produce a decisive close below $2,442, it will invalidate the bullish theory.

Price ripples at an inflection point

Ripple price is hovering above the $0.924 support level, with the hope of a rebound from it. However, the big crypto is showing temporary weakness and the price of XRP could drop to $0.816.

Regardless, a decisive daily candlestick close above $1,052 will remove a major hurdle and turn into a platform that could launch an upward trend. Despite this rally, XRP price needs to clear two more blocks, at $1,192 and $1,326, to create a higher top.

This move could trigger an influx of marginal buyers, start a buying spree and push the transfer token to $1.67. A rally from the current price to $1,672 would represent a rally of 81%.

XRP/USD 1 Day Chart

XRP/USD 1 Day Chart

Conversely, if the Ripple price fails to hold above $0.924, this will bring the altcoin down to $0.816. A convincing close below this support floor will invalidate the bullish theory and may trigger the move lower.

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