XRP Signals, Bitcoin, Ethereum Target Key Levels

What to Know:

• Key takeaway #1 — Bitcoin remains under pressure as bears are selling on rallies near the $74,508 resistance level.
• Key takeaway #2 — Outflows from BTC exchange-traded products reached $133.3 million last week, contributing to a total outflow of $3.8 billion over the past four weeks from crypto investment products.
• Key takeaway #3 — The bearish sentiment is reflected in the defense of higher levels in major altcoins, suggesting traders anticipate further declines.

Bitcoin is facing continued selling pressure as bears capitalize on rallies near the $74,508 resistance. The cryptocurrency market is experiencing outflows from Bitcoin exchange-traded products, and major altcoins are showing signs of bearish defense at higher levels, indicating a prevailing negative sentiment. Investors are closely watching key support levels to determine if a strong relief rally can occur.

S&P 500 Index Price Prediction

The S&P 500 Index (SPX) is currently undergoing a battle between buyers and sellers at the ascending channel pattern’s support line. The moving averages are nearing a bearish crossover, and the Relative Strength Index (RSI) is in negative territory, suggesting a potential resurgence of bearish momentum.

If the index price breaks below the 6,780 level, a deeper correction could occur, potentially reaching 6,720 and then the significant support at 6,550. For buyers to regain control, they must push the price above 7,002, which could lead to a resumption of the uptrend toward 7,290. Institutional sentiment appears cautious as traders monitor these critical levels for directional cues.

US Dollar Index Price Prediction

The US Dollar Index (DXY) has been trading below its moving averages, yet bears have struggled to breach the 96.21 to 95.55 support zone. Bulls are aiming to strengthen their position by driving the price above these moving averages, which could trigger a rally toward 99.49 and potentially the overhead resistance at 100.54.

Conversely, a sharp decline from the moving averages would indicate sustained selling pressure from bears. A close below the 95.55 support could signal the next leg of a downtrend. This movement reflects broader macro factors influencing currency valuations and potentially affecting cryptocurrency markets through liquidity shifts.

What Are the Key Support and Resistance Levels for Bitcoin?

Sellers are actively attempting to halt Bitcoin’s recovery near the $71,000 mark, reinforcing the bearish sentiment and suggesting continued selling during rallies. To maintain control, sellers need to drive the price below $65,000, potentially leading to a retest of the critical $60,000 level. A breach of this support could pave the way for further declines toward $52,500.

Buyers, on the other hand, must push the Bitcoin price above the $74,508 breakdown level to signal a weakening bearish trend. Success in this endeavor could lead to a surge toward the 50-day Simple Moving Average (SMA) at $83,910, where strong resistance is anticipated. Monitoring funding rates and derivatives data can provide insights into potential volatility around these levels.

How Are Altcoins Performing Amidst Bitcoin’s Struggles?

Ether (ETH) has faced rejection at the $2,111 level, indicating strong bearish defense at this price point. Sellers are aiming to push the price below the immediate support at $1,897, potentially leading to a drop to $1,750. Buyers are expected to defend the $1,750 level vigorously, as a close below it could sink the pair to $1,537.

Conversely, if Ether’s price rises and breaks above the 20-day Exponential Moving Average (EMA) at $2,221, it would signal reduced selling pressure. This could lead to a rally toward the 50-day SMA at $2,744. Meanwhile, XRP is showing some resilience, testing key levels within its descending channel, and Solana is attempting to regain ground above the $95 mark.

What Factors Are Influencing the Cryptocurrency Market?

Several factors are currently influencing the cryptocurrency market, including outflows from Bitcoin ETFs, which indicate a decrease in institutional sentiment. Concerns over regulatory actions, macroeconomic uncertainty, and volatility are also playing significant roles. The performance of Bitcoin, as the leading cryptocurrency, often sets the tone for the broader market, impacting altcoins and derivatives trading.

Developments within specific blockchain ecosystems, such as the XRP Ledger and Solana, can also drive individual altcoin performance. Liquidity conditions, funding rates, and overall risk appetite among investors are crucial determinants of market direction. Monitoring these factors provides a comprehensive view of the forces shaping the cryptocurrency landscape.

Bitcoin’s current struggle to overcome resistance highlights the ongoing challenges in the cryptocurrency market, with potential implications for both Bitcoin and altcoins.

Related: XRP Signals Potential Price Drop

Source: Original article