Cryptocurrency markets were hit by rising U.S. consumer price index (CPI) data, further exacerbating the market's already volatile market. Although Bitcoin has long been seen as a leader in decentralization, its price has seen a notable drop this week.
Bitcoin price fell sharply by 4% to $67,150 last night but rebounded from a low of $65,320. The decline of the market leader brought bearish signals to the altcoin sector. Friday’s selling wave led to $7.84 billion in long liquidations.
So, will price trends for Bitcoin, Ethereum, and XRP continue to fall sharply this week as bearish forces gain strength? Or will the anticipation surrounding Bitcoin’s halving act like a phoenix and revive the bull run?
Is $100,000 Just a Pipe Dream for Bitcoin?
Amid the panic across the market, the Bitcoin price chart showed a huge bearish candle emerging from the upper trendline. The pullback tested the 50-day moving average and marked a minor correction within a bullish flag pattern.
Despite the sell-off, Bitcoin still remains above the 23.60% Fibonacci level and shows lower price rejections. Therefore, the underlying demand for Bitcoin remains strong.
As the Bitcoin halving date approaches, the bullish probability is increasing. With this upward trend, the Bitcoin price may usher in a breakout rebound from the flag pattern and continue the current upward trend.
Depending on the price levels and psychological barriers, the largest cryptocurrency could break the $100,000 mark. However, in the short term, bullishness in the coming week could push Bitcoin price to $76,000.
Meanwhile, Ethereum is under pressure as tensions rise above $3,000. Despite this, the Ethereum price remains above the psychological $3,000 mark, but long-term forecasts suggest that the price could fall.
The occurrence of price rejections indicates underlying demand similar to that of Bitcoin, increasing the chances of a reversal. However, the 7.50% drop seen last night saw Ethereum price close below the breakout ascending channel resistance trendline.
This casts some doubt on the possibility of a reversal. Nevertheless, the RSI divergence in Ethereum’s price trend strengthens the possibility of a reversal.
Additionally, the trend-based Fibonacci levels show that Ethereum price may try to break above the $4,000 mark in an attempt for a new breakout.
With the massive supply dumping of Bitcoin and Ethereum, altcoins like Ripple had no choice but to face a similar fate. The XRP token price fell by 10% to $0.54.
The decline tested the bullish dominance of the ascending support trendline since early 2023. Moreover, dynamic resistance within the past week has failed to provide momentum for any significant reversal.
Nonetheless, the RSI divergence and the lower rejection of the price are both signs of a strong rebound. If the much-anticipated altcoin season arrives with the Bitcoin halving, altcoins could see a surge out of the triangle this week.
According to the trend-based Fibonacci levels, the $0.8966 level is a reasonable target for a rebound from the triangle breakout.
What’s Next for Bitcoin, Ethereum, and XRP Prices?
Despite the sell-off experienced last night, Bitcoin and altcoins are still preparing for a rally next week. Lower price rejections, a general uptrend, and the upcoming halving could push the market to new heights. Therefore, dips offer discounted opportunities to buy blue-chip cryptocurrencies.
