Ripple steals the spotlight as Bitcoin prepares rally beyond $50,000
- Bitcoin is far from a global top but must close the day above $48,000 to validate the uptrend.
- Ethereum unrelenting in the fight towards new all-time high, especially if the RSI negative divergence is broken.
- Ripple is on the brink of an upswing to $0.75 if the 61.8% Fibonacci level resistance is shattered.
Ripple is leading the recovery in the cryptocurrency market several days after Bitcoin and Ethereum hit new record highs. The cross-border token is up a whopping 16% over the last 24 hours to exchange hands at $0.59.
Bitcoin is slightly bullish but is challenged by the selling pressure at $48,000. On the other hand, it has not overcome the resistance at $1,800, thus delaying the rally to $2,000.
The entire cryptocurrency market is dotted green with selected altcoins posting incredible gains such as Cosmos, Tron, The Graph, Algorand and Yearn.Finance.
Bitcoin stalls ahead of breakout
The king of cryptocurrencies is trading at $47,640 following a second rejection at $48,000. The previous rejection found support at $44,000, whereby buyers took the opportunity to increase their entries and make another run for $50,000.
However, the momentum has not been strong enough to overcome the hurdle, delaying the anticipated rally. In the time being, the Relative Strength Index (RSI) on the 4-hour chart supports a sideways action as it levels around 65. Its advance into the overbought area will signify a strengthening bullish grip.
On the other hand, on-chain metrics suggest that Bitcoin is far from the global top and may well rally above $100,000. In addition, the support Bitcoin is getting as companies like Tesla and MasterCard incorporate it is likely to keep investor interest high.
BTC/USD 4-hour chart
Ethereum holds higher support as bulls push for higher highs
The leading smart-contract token has been pivoting between $1,700 and $1,800. The narrow range’s upper limit remains an uphill task that must be overcome to pave the way for gains toward the coveted $2,000. Notably, Ethereum recently traded record highs at $1,840, which means that a break above $1,800 is possible.
The Relative Strength Index (RSI) on the 4-hour chart signals that the uptrend being nurtured will hold, especially if the negative divergence is broken. A negative divergence forms when the RSI forms a series of lower highs while the price forms higher lows. However, once broken, it adds credence to Ether’s uptrend.
ETH/USD 4-hour chart
Ripple battles crucial resistance eyeing $0.75
The embattled cross-border token seems unbothered by the uncertainty brought about by the lawsuits filed against it. Simultaneously, investors choose to ignore last week’s pump-and-dump drive that saw XRP rise to $0.75 and later tumbled to $0.35.
At the time of writing, Ripple is trading at $0.58 as bulls fight to overcome the seller congestion at $0.6. Closing the day above this level will likely place the token on the express lane to $0.75. The uptrend has been reinforced by the RSI’s consistent growth from the midline to the overbought area.
XRP/USD 4-hour chart
Bitcoin may rise to $100,000 by the end of 2021, as predicted, but the near-term resistance at $48,000 and $50,000 is an uphill battle. On the downside, support formed at $44,000 remains key to the uptrend.
Ethereum must close the day above $1,800 to trigger more buy orders as buyers push towards $2,000.
Ripple breaks out toward $0.75 despite the recent freefall to $0.35. Trading above $0.6 will catapult XRP upwards, ignoring the uncertainty due to the ongoing lawsuits.