Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin Restarts Uptrend After Elon Musk's Bombshell Tweets
- Elon Musk's series of Tweets left Bitcoin bleeding during the weekend session.
- Tesla confirms that it has not sold any Bitcoin, as the price recovers to $45,000.
- Ethereum dances at $3,500 while bulls look forward to a falling wedge pattern breakout.
- Ripple remains in consolidation despite the eventful crypto weekend session.
Selected cryptocurrencies tanked massively over the weekend, led by Bitcoin's drop from highs above $51,000 to lower price levels close to $51,000. The dumping has been attributed to a tweet from the Twitter handle @CryptoWhale, which said that there is a chance Tesla will dump its Bitcoin holdings.
Elon Musk responded to the comment with a one-word statement, "Indeed," which many believed triggered the massive downfall. Musk was involved in a series of "arguments" with renowned cryptocurrency figures who called him out on an uninformed criticism of Bitcoin throughout.
At the time of writing, Bitcoin has recovered slightly from the dip to $42,000 and is pivotal at $45,000. Analysts believe another tweet by the founder and CEO of Tesla is behind the recovery. Note that Musk has clarified that his company has not sold any Bitcoin.
Bitcoin begins lock-step action to recovery
The bellwether cryptocurrency trades marginally above $45,500. Following the tweet from Musk, investors seem to have stopped panicking and are perhaps reentering at a lower price ahead of an anticipated liftoff toward $50,000.
Short technical levels hint at the uptrend lasting longer based on the Moving Average Convergence Divergence (MACD). As the MACD line crosses above the signal line (blue), Bitcoin bears tend to gain ground against the bears. The indicator's movement into the positive region will call more buyers into the market, thus validating the upswing toward $50,000.
BTC/USD four-hour chart
Read Also: Bitcoin Trading Tips
Ethereum price pivotal at $3,500
Ether dived to $3,100 in a move directly connected to Bitcoin's slump to $42,000. The immense buyer congestion at this level ensured that the bearish leg did not extend further. At the time of writing, ETH trades slightly above $3,500.
The 50 Simple Moving Average (SMA) limits the price action ahead of a potential breakout from the falling wedge pattern. This is a highly bullish pattern in technical analysis. A break above the upper trendline may catapult Ethereum into a trajectory for gains above $4,000 and toward $5,000.
ETH/USD four-hour chart
On the flip side, it is worth keeping in mind that the MACD has a vivid bearish picture. In other words, the uptrend toward $4,000 and $5,000 will be jeopardized or delayed. Moreover, if this technical outlook fails to improve, Ethereum may drop back to $3,100 before a significant upswing comes into the picture.
Ripple stuck in consolidation
Ripple has been trading sideways for nearly three weeks. The calls for recovery above $2 have gone unanswered, especially with the resistance at $1.6. On the downside, support has been established at $1.2.
The recent drop in Bitcoin price pushed Ripple to $1.3, but a recovery ensued with the price lifting above $1.5. At the time of writing, Ripple trades at $1.52 while facing immense resistance at $1.6. The 100 SMA provides immediate support in a bid to prevent losses from revisiting $1.2.
XRP/USD four-hour chart
The Bollinger Band validates the sideways trading, which may continue in the near term. XRP will likely take some time for the BB bands to squeeze and pave the way for a break. Traders can look out for a confirmed break above the crucial hurdle at $1.6 for gains eyeing $2
Don't Miss: Is it a Good Time to Buy Ripple?