BTC and XRP - Downside expected as significant support has been breached



From yesterday’s open when the price of Bitcoin was sitting at $9988.8 which was it’s highest point, we have seen a decrease of 4.71% as the price came down to $9518 at it’s lowest point today. Currently, the price is hovering around those levels and is sitting slightly higher at around $9564.BTC and XRP - Downside expected as significant support has been breachedLooking at the hourly chart, we can see that the price has broken out from the ascending support level, significant uptrend support from the ascending channel in which the price has been since December last year. On the 18th of December, the price has been sitting at $6544 and from there to its highest point this year at $10490 made on the 13th of February made an increase of 60%.

As we are now seeing a breakout to the downside from this ascending range it could indicate that the price increase has ended and that we are seeing the development of the descending wave. The fact that the price retested the ascending support for resistance after a breakout has been made and got rejected there makes this possibility more probable. It is worth noting that the price made a higher low compared to the prior one which had a large wick but a series of lower highs with spikey price action is confirming a downtrend.

This is why a lower low would be immediately expected, most likely to the 1 Fib level or somewhere around its vicinity, but if the correction of the same degree as the ascending channel wave, the price is set to go significantly lower then $9127.7.


On yesterday’s open the price of Ripple was $0.2839 and from there to it’s lowest point today so far which is at $0.2626 made a decrease of 7.51%. Like in the case of Bitcoin, Ripple’s price is also still hovering around those levels. but unlike Bitcoin, Ripple’s price chart made a lower low compared to the previous one at around $0.267.BTC and XRP - Downside expected as significant support has been breachedAs you can see by looking at the hourly chart the price made inside the territory of the lower range below the significant horizontal level at $0.266 where the 0.5 Fibonacci level is. This could be an early indication that the price is going to continue moving to the downside potentially even below the 0.786 Fibonacci level which was outlined as a scenario in the previous analysis but the decrease could stop on some of the higher support levels like the 0.618 Fib or the $0.24730 horizontal.

If the price, however, spikes to the upside in the following day it could mean that this breach below the $0.266 level was a dip that retested the vicinity of the prior low’s spike looking to activate another round of buying that is needed for the price to catch up some upward momentum.


FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage — at your service. Open your trading account now or learn more about crypto CFD trading with FXOpen.

*At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules respectively. They are not available for trading by Retail clients.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Cryptocurrencies

ADA Drops to Last Place in the Top 10 Cryptocurrencies BTC/USD Analysis: Bitcoin Price Rises Ahead of Halving BTC/USD Analysis: Bearish Arguments Become More Convincing DOGE Price Increases by 170% in Less Than 2 Months Bitcoin Price Recovered over the Weekend, But Market Anxiety Remains

Latest articles

Weekly Market Wrap With Gary Thomson: FTSE, NZD/USD, USD, USD/JPY
Financial Market News

Weekly Market Wrap With Gary Thomson: FTSE, NZD/USD, USD, USD/JPY

Get the latest scoop on the week's hottest headlines, all in one convenient video. Join Gary Thomson, the COO of  FXOpen UK, as he breaks down the most significant news reports and shares his expert insights.

  • FTSE 100's Holy Grail

S&P 500 Price Consolidates ahead of Earnings Season

On April 4, we wrote that the S&P 500 is showing signs of weakness around the 5,250 level. How is the situation on the stock market developing by today, which is the start of the reporting season

Forex Analysis

Analysis: EUR/USD Close to Year’s Low after ECB Decision

As predicted by analysts, the European Central Bank did not change the interest rate yesterday, keeping it at = 4.50%. This morning the EUR/USD rate is near the psychological level of 1.0700, which approximately corresponds to the 2024

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.