Bitcoin, Ethereum, Ripple Price Predictions: Bitcoin May Drop After Testing Key Resistance Level
Bitcoin, Ethereum, and Ripple witnessed modest recoveries with brief upward movements on Thursday. However, technical analysis and market conditions suggest that the overall downward trends for these digital currencies are likely to resume in the near future.
Bitcoin’s price retested its 61.8% Fibonacci retracement level at $62,066 on Thursday after reaching a swing high of $70,079 on July 29 and a low of $49,101 on Monday. Currently trading slightly lower at $61,380, Bitcoin faces a critical zone at the $62,066 level, coinciding with the broken trendline and the 100-day Exponential Moving Average (EMA) around $63,021. A failure to break above this level could lead to a 19% decline back to the $49,917 daily support level. The Relative Strength Index (RSI) and Awesome Oscillator (AO) indicators on the daily chart signal bearish dominance, with both below their respective neutral levels of 50 and zero.
If Bitcoin manages to close above the August 2 high of $65,596, it could form a higher high on the daily timeframe, potentially driving a 6% price increase to retest the weekly resistance at $69,648.
Ethereum’s price closed below the daily support level of $2,927 on August 3, dropping 16.5% over the following two days. After testing the weekly support at $2,118, it rebounded with a 10.68% increase from Tuesday to Thursday, currently trading slightly lower at $2,668. Ethereum may face resistance around the 50% retracement level at $2,843, closely aligned with the daily resistance at $2,927. Failure to surpass this level could result in a 25% decline to retest the weekly support at $2,118. The RSI and AO indicators on the daily chart also point to a bearish trend.
If Ethereum closes above the $3,396 daily high from July 29, it could lead to a 5% increase as it retests the July 22 high of $3,562.
Ripple’s price retested its daily resistance level at $0.643 on Wednesday and faced rejection, currently trading slightly lower at $0.616. If the $0.643 level continues to act as resistance, XRP could experience a 15% decline to revisit its next daily support at $0.544. The RSI and AO indicators on the daily chart are crucial for determining bearish control, with both needing to fall below their neutral levels to strengthen the bearish trend.
Conversely, if Ripple’s price closes above the $0.643 daily resistance level, it could create a higher high on the daily chart, potentially driving a 12% increase towards the next daily resistance level at $0.724.