- Bitcoin price stabilizes around $93,500 on Monday, following a 10.06% rally the previous week.
- Ethereum price faces resistance around the daily resistance level at $1,861; a breakout signals a potential rally.
- XRP closes above the $2.23 resistance, indicating an uptrend ahead.
Bitcoin (BTC) and Ethereum (ETH) prices are stabilizing at around $93,500 and $1,770 at the time of writing on Monday, following a rally of over 10% and 12% the previous week. Ripple (XRP) price also rallied 8.3% and closed above its key resistance level last week, indicating an uptrend ahead.
Bitcoin declines as it faces rejection from the $95,000 level
Bitcoin price broke above its 200-day Exponential Moving Average (EMA) at $85,000 early last week, rallying 11.14% until Friday. However, BTC failed to close above its March high of $95,000 and declined slightly over the next two days. At the time of writing on Monday, it hovers around $93,500.
If BTC fails to close above the $95,000 resistance level and faces a pullback, it could extend the decline to find support around the $90,000 psychological importance level.
The Relative Strength Index (RSI) on the daily chart reads 65 after being rejected around its overbought level of 70 on Saturday, indicating fading bullish momentum. If the RSI falls below its neutral level of 50, Bitcoin’s price could experience a sharp decline.
BTC/USDT daily chart
However, if BTC continues its upward momentum and closes above $95,000, it could extend the rally to retest its next daily resistance at $97,000.
Ethereum bulls show signs of exhaustion
Ethereum price broke above the $1,700 resistance level on Tuesday and rallied by 14.86% until Saturday. However, ETH retested the daily resistance level at $1,861 the next day and declined slightly. At the time of writing on Monday, it hovers at around $1,773.
If ETH declines and closes below $1,700, it could extend the losses to retest its next daily support at $1,449.
The RSI on the daily chart stands at 53 and points downward toward its neutral level of 50, indicating fading bullish momentum. If the RSI falls below its neutral level of 50, Ethereum’s price could experience a sharp decline.
ETH/USDT daily chart
Conversely, if ETH breaks and closes above the daily resistance at $1,861, it could extend the rally to retest its psychological importance level at $2,000.
XRP shows signs of strength
XRP price continued to trade above its 200-day Exponential Moving Average at $1.98 last week, rallied over 8%, and closed above the daily resistance level at $2.23 on Sunday. At the time of writing on Monday, it hovers at around $2.24.
If XRP continues its upward trend, it will extend the rally to retest its March 24 high of $2.50 before potentially reaching $3.00.
The RSI on the daily chart reads 57, above its neutral level of 50, indicating bullish momentum.
XRP/USDT daily chart
On the other hand, if XRP fails to find support around the $2.23 level, it could extend the decline to retest its next support level at $1.96.
Bitcoin, altcoins, stablecoins FAQs
Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.
Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.
Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.
Bitcoin dominance is the ratio of Bitcoin’s market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.
