BTC and XRP - Increase Seen But Could Still Be Corrective



From yesterday’s low at $12771 the price of Bitcoin has increased by around 5% as it reached slightly below $13400 where it’s currently being traded. The price is in an upward trajectory after some days of consolidating but as it was doing so in an ascending range this could be the continuation of that ascending structure.


Looking at the hourly chart, you can see that the price of Bitcoin made a rise above the prior attempt for a breakout when the price came above the 1.272 Fibonacci level. As now we are seeing an impulsive move above the Fib level again it could be an early indication that a breakout to the upside is being made. On the other hand, there is still a possibility that the price is continuing to form its ascending channel as this move could end as a third interaction with its resistance level.

If we are seeing a breakout that would indicate that the 4th wave from the Minute count ended on yesterday’s low in which case the current move is impulsive and is going to push the price of Bitcoin higher above the 1.272 Fibonacci level. But if this is another corrective wave the price is going to get rejected at the current levels and continue moving to the downside to at least another interaction with the ascending channel’s support level.


The price of Ripple has increased by 3.48% from yesterday’s low at $0.2443 and is currently being traded at $0.25193. This rise has pushed to price up to its minor resistance level which was the previous horizontal support and is now testing. The price found support on the ascending channels support level but dipped slightly below it at the intersection with the $0.24730 which could be interpreted as a bullish sign.


On the hourly chart, we can see that this was been accounted as the developing 5th wave from most likely the starting impulse wave of the higher degree which will be its leading diagonal. Another possibility could be that this is another corrective channel but since the price has continuously been forming higher lows and higher high since the 24th of September another higher high could be anticipated in the upcoming period.

The price target for this higher high would mark the completion of this 5th wave after which a corrective decrease would be expected. This is why the current rise could be that corrective decrease, namely its second wave if the 5th wave ended last Friday when the price came up to the $0.264 level. Like in the case of Bitcoin we are shortly going to see validation as if the price gets rejected it would indicate correctness, but if it continues increasing past the current levels it would indicate impulsiveness.

FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage, 30% margin call, 0.01 lot minimum transaction size with no maximum — 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

Bitcoin Cash Analysis: Promising Resistance Breakout Cryptocurrency Prices Rise on SEC Rumours Market Analysis: Bitcoin Sets September High BTC/USD Analysis: Bulls Lose Progress Amid SEC Defeat Bitcoin Trading Volumes Fell to a Minimum of 4 Years

Latest articles


Top 5 Stocks to Watch in October: Bank on the Backfoot, No Thirst for Coca-Cola, Tech Giant Takes Dip and Electric Vehicle Volatility

October is here, and as the markets enter a new month, we take a closer look at five stocks that could be of significant interest to investors. 1) Bank of AmericaBank of America stock has taken a dive over the

Forex Analysis

Market Analysis: The American Currency Resumes Growth

The beginning of October turned out to be favourable for continued growth in the US dollar. From the data published yesterday, it follows that in September, the US manufacturing business activity index (PMI) rose to 49.0 against the forecast

Forex Analysis

EUR/USD Analysis: The Rate Updates Its Multi-month Low

Never in its history has the euro fallen for 11 weeks in a row against the dollar, but it happened. The minimum has been set for 2023. The reason seems to be that in an environment where central banks are

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.