Bitcoin Price Faces Crucial Test Below $56,000
Bitcoin is currently wrestling with a crucial support level around $56,000. After a recent retest of the 50% retracement level at $59,560, Bitcoin experienced a 2.78% drop, followed by another 1.5% decline, bringing its price to $56,640. If Bitcoin fails to hold the $56,022 support, it could potentially slide further by 3.5% to test the psychological barrier of $54,000.
The Relative Strength Index (RSI) and the Awesome Oscillator (AO) are both indicating weak momentum, suggesting that the downtrend might continue. If Bitcoin manages to break through the $59,560 resistance and close above $62,019, it could invalidate the bearish trend and potentially rally by 5.5% to revisit its daily resistance level of $65,379.
Ethereum Price Approaching Key Support Level at $2,300
Ethereum is also showing signs of a bearish trend as it approaches the $2,300 level. After a rejection near the previously broken ascending trendline, Ethereum dropped 4.4% to $2,367. If it closes below $2,327, the price could decline further by 8.5%, retesting the weekly support level at $2,118.
Like Bitcoin, Ethereum’s RSI and AO are also below their neutral levels, suggesting bearish dominance. However, if Ethereum breaks above $2,619 and closes above $2,927, it could potentially rally by 11% to retest its weekly resistance at $3,236.
Ripple’s Struggle at Key Support Levels
Ripple is trading around its 200-day Exponential Moving Average (EMA) at $0.549, which coincides with the daily support level at $0.544. Currently down 1% at $0.551, if Ripple breaks below these levels, it could drop by 10% to retest the August 7 low of $0.492.
The RSI and AO for Ripple are also below neutral levels, indicating ongoing bearish pressure. Conversely, if Ripple closes above $0.626, it could shift the market structure, leading to a potential 5.3% rise to revisit the July 31 high of $0.658.
