Crypto Markets to Start Relief Rally

  • Bitcoin price remains struggling between $36,400 and $46,200 with no directional bias.
  • Ethereum price is taking steps to circumvent the bearish outlook but has yet to succeed.
  • Ripple price maintains its bullish outlook and eyes a retest of $1.

Bitcoin price saw a massive surge ahead of the March 16 Federal Open Market Committee (FOMC) meeting. The rally was brief, however, and was called off, suggesting that BTC may have to decline before any noticeable uptrend resumes. As Ethereum follows the lead of the big crypto, Ripple and other altcoins are likely to take advantage and rally.

Bitcoin Price Attempts a Rapid Rise

Bitcoin price has repeatedly marked the $36,398-$38,895 demand zone and shows no signs of breaking out of this consolidation range. This winding up of price action for BTC will most likely resolve to the downside if ongoing developments in traditional markets worsen.

A daily candlestick close below $36,398 will invalidate said demand zone and pave the way for the bears to drive BTC down to the weekly support level at $34,752, which is the last line of defense.

A breakdown of this peg will indicate that Bitcoin price could crash to $30,000 to collect liquidity remaining below the even lows formed in mid-2021.

BTC/USD 1-day chart

While things look bearish for Bitcoin price, a daily candlestick near $52,000 will create a higher high, invalidating the bearish thesis.

Ethereum price is trying to prevent a bearish fate

Ethereum price has set up three lower highs and higher lows, which when connected using trendlines reveal a symmetrical triangle. This technical formation calls for a 26% crash to $1,962, achieved by adding the distance between the first swing high and low at the breakout point at $2,631.

ETH already broke through the pattern on March 6, but it struggled lower due to the weekly support level at $2,541. A decisive move below this level could be the key to seeing ETH descend to the psychological level of $2,000 or lower.

ETH/USD 1-day chart

ETH/USD 1-day chart

A bearish outlook seems the most logical outcome, and a resurgence in buying pressure will struggle to push ETH higher. The resistance levels stretching from $2,762-$3,523 will be a formidable hurdle to break through. Only a daily candlestick close above $3,600 will invalidate the bearish thesis for Ethereum price.

Ripple Price Clings

Ripple price has formed a bullish flag pattern with a bullish outlook – unlike Ethereum. Additionally, there are several support levels ranging from $0.705 to $0.546 that suggest less downside risk for the rebate token.

The bull flag predicts a 31% ascent, obtained by measuring the length of the pole and adding it to the breakout point at $0.767. This technique reveals a target at $1. However, moving to this level will not be easy, and the Ripple price might stop at $0.855 and $0.917.

XRP/USD 1-day chart

XRP/USD 1-day chart

Regardless of the bullish outlook for the Ripple price, it is strongly correlated with Bitcoin. Therefore, a BTC crash could also lower the price of XRP. Therefore, a daily close below the $0.689 support level will invalidate the demand zone and bull flag hypothesis, and push XRP to the next support zone, extending from $0.546 to $0.633.

Here buyers will have another chance to come back, but failing to hold above $0.546 will create a lower low and further invalidate the bullish thesis.