- Bitcoin draws closer to massive upswing following an ascending triangle pattern.
- Ethereum steadies above $2,000 as bulls glance toward $2,500.
- Ripple rebounds from key support at $0.85 as bulls focus on regaining the ground above $1.
The last several days have seen altcoins such as Ethereum, Ripple, Stellar and Litecoin lead price action. Ripple broke out following a significant milestone in the lawsuit filed by the United States Securities and Exchange Commission (SEC). The cross-border token hit a multi-year high of $1.2 before retreating to confirm $0.85.
Ethereum rallied during the worldwide Easter celebrations, clocking a new record high around $2,146. On the other hand, Stellar and Litecoin made great strides in their recovery journeys. The flagship cryptocurrency Bitcoin faces hiccups in the bullish cycle, but a technical pattern formation points at a colossal liftoff.
Bitcoin Builds Toward Massive Technical Breakout
Bitcoin tested the support at $56,000 on Wednesday amid widespread losses. The bellwether cryptocurrency has dropped from highs around $60,000, following exhaustion in the bullish camp.
At the time of writing, Bitcoin teeters at $56,518 while holding onto the ascending triangle's hypotenuse. The Relative Strength Index (RSI) on the daily chart points at the uptrend progressing toward the x-axis.
An ascending triangle is a bullish continuation pattern; therefore, if the price cracks through the x-axis resistance, Bitcoin would launch and lift off to levels beyond $90,000.
BTC/USD Daily Chart
The bullish outlook will be sabotaged if Bitcoin slides under the x-axis and the 50-day Simple Moving Average (SMA). Massive losses would be triggered with BTC diving under $50,000 to seek support at the 100 SMA, currently holding hands at $46,100.
Ethereum Bulls Focus on New Record Highs
Ether has managed to recover marginal ground above $2,000. The uptick in price comes after the smart contract giant spiraled to $1,930 in the wake of an upswing to $2,146. Holding the position at $2,000 is a significant bullish signal. Price action above this level is bound to encourage buyers to join the market from the sides.
A comprehensive look at the four-hour chart suggests that the 50 SMA would hinder price movement. However, massive buy orders would be triggered to crack the hurdle. On the upside, the all-time high at $2,146 is the primary seller concentration zone, but bulls focus on gains past $2,500.
ETH/USD Four-Hour Chart
It is worth mentioning that the RSI's negative divergence on the same four-hour chart. The formation occurs when the price is trending higher while the RSI forms a lower high pattern. In other words, this divergence reveals a declining volume as overhead pressure mounts. Therefore, the uptrend is likely to weaken as Ether settles above $2,000.
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Ripple Faces Key Battles Before Another Upswing
Ripple embraced support at the 61.8% Fibonacci retracement level, taken between the last swing high of $1.2 to a swing low of $0.56. The retracement from the multi-year high might have allowed more investors to join the market, explaining the immediate acceleration toward $1.
In the meantime, XRP dodders at $0.96 amid an endless battle to break the resistance at the 78.6% Fibo. Trading above this crucial level could quickly bolster the cross-border token past $1. For now, the slighted hurdles are to the upside based on the upward-pointing RSI.
XRP/USD Four-Hour Chart
On the flip side, the anticipated growth above $1 may fail to occur if the immediate resistance at the 78.6% Fibo remains unshaken. Moreover, buyers have a task to sustain gains beyond $1, failure to which overhead pressure may soar, as bears rush for revenge and by pushing for a correction back to $0.85.
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