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Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin Ricochets to $40,000 as Elon Musk Tweets Dogecoin

Last Updated July 23rd 2021
3 Min Read
  • Bitcoin makes way above $40,000, but technical levels remain feeble.
  • Ethereum seeks higher support at $2,800 to pave the way for gains eyeing $3,000.
  • Ripple sticks between the 200 SMA support and the 100 SMA resistance on the four-hour chart.
  • Cryptocurrencies across the board are battling for recovery after diving into deep swampy waters this week. Bitcoin extended the declines to $30,500, but a recovery is underway. Data by CoinGecko shows that BTC is up 6.3%b over the last 24 hours while gaining 1.8% on an hourly basis.

    The pioneer smart contract token, Ethereum has settled above $2,700 amid the push for gains above $3,000. Ether has accrued 3.4% gains in 24 hours and only 1.5% in the last hour.

    Ripple is trading at $1.2 after recovering from the anchor zone at $0.8. The cross-border money remittance token has been displaced from the fifth position by Cardano (ADA). Meanwhile, ADA is up 17.5% to trade at $1.8.

    The cryptocurrency market is dotted red and green, a palatable picture compared to the bloodbath during Thursday’s Asian trading session.

    Interestingly, Elon Musk has published another tweet on Dogecoin, which has resulted in an 8.8% growth. The meme coin trades at $0.39 at the time of writing, amid the expected pump witnessed every time Musk talks about the coin.

    Bitcoin wobbles to $40,000 amid weak technical levels

    Bitcoin massively plunged to $30,500 this week before making a reflex recovery back to $40,000. The downswing came before a buy signal from the TD Sequential indicator on the four-hour chart.

    A buy signal forms in a red nine candlestick, implying that overhead pressure is dwindling. Bulls prepare to take back control following this extremely accurate signal, explaining the upswing to levels slightly above $40,000.

    At time of writing, Bitcoin is teetering marginally above $40,400. The primary goal is to secure higher support, in a bid to bring down the volatility in the market. Once support is established, bulls can then look forward to lifting beyond the resistance at $44,500.

    BTC/USD four-hour chart

     Bitcoin BTC Four-Hour Chart

    It is worth noting that the Moving Average Convergence Divergence (MACD) still has a bearish outlook. Therefore, traders must be cautious to avoid bull traps. However, once the MACD line crosses above the signal line, it will validate the upswing toward $50,000.

    Read Also: Should You Buy Bitcoin?

    Ethereum bulls closing the gap to $3,000

    Ethereum has been on an upward roll after finding support at $1,950. Recovery although gradual, has stepped above the hurdle at $2,800. At the moment, bulls are focused on pushing Ether above $3,000, and perhaps restart the next phase to $4,000.

    According to the Relative Strength Index (RSI) on the four-hour chart, the bullish grip is intensifying as more investors enter the market to buy at a lower price. Establishing higher support, preferably above $2,800 will contribute greatly to the journey above $3,000.

    ETH/USD four-hour chart

     Ethereum ETH Four-Hour Chart

    The SuperTrend has a bearish signal as illustrated on the chart. This implies that overhead pressure has not been entirely ousted and traders must be aware that a correction could still be in the cards.

    Check Out: Is Ethereum a Good Investment Right Now?

    Ripple’s sluggish recovery in jeopardy

    Following the dip to $0.8, XRP bounced, reclaiming the ground above $1. Bulls have spent most of the sessions on Thursday battling for gains back to $1.7 but only managed to settle above $1.2. At the time of writing, the cross-border money transfer token trades at $1.23 amid the push by the bulls to extend the action higher.

    The four-hour chart shows that recovery will face delays at the 100 Simple Moving Average (SMA). Closing the day below this zone could see overhead pressure rise, jeopardizing the uptrend and leaving the support at $1.2 vulnerable.

    XRP/USD four-hour chart

     Ripple XRP Four-Hour Chart

    The MACD also shines a light on the bearish picture, with the continued drop into the negative region. Moreover, the MACD line (blue) widens the divergence under the signal, adding credibility to the downswing.

    Don't Miss: Is it a Good Time to Buy Ripple?

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