BTCUSD and XRPUSD Technical Analysis – 25th OCT 2022

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BTCUSD: Bearish Engulfing Pattern Below $19685

Bitcoin was unable to sustain its bullish momentum and after touching a high of 19694 on 18th Oct, it started to decline touching a low of 18718 on 21st Oct.

We can see that bitcoin has made a failed attempt to cross the $20500 resistance on two separate occasions this month and is now back in the bearish zone.

We can see the formation of a bearish price crossover pattern with adaptive moving average AMA 20 and AMA 100 in the 4-hour time frame.

We can clearly see a bearish engulfing pattern below the $19685 handle which is a bearish reversal pattern because it signifies the end of an uptrend and a shift towards a downtrend.

Bitcoin touched an intraday low of 19252 in the Asian trading session and an intraday high of 19372 in the European trading session today.

Both the STOCH and Williams percent range are indicating overbought levels which means that in the immediate short term, a decline in the prices is expected.

The relative strength index is at 44 indicating a WEAKER demand for bitcoin, and the continuation of the selling pressure in the markets.

Bitcoin is now moving above its 100 hourly simple moving average and above its 200 hourly exponential moving averages.

Some of the major technical indicators are giving a SELL signal, which means that in the immediate short term, we are expecting targets of 19000 and 18500.

The average true range is indicating LESS market volatility with a mildly bearish momentum.

  • Bitcoin: bearish reversal seen below $19685
  • The STOCHRSI is indicating an oversold level
  • The price is now trading just below its pivot level of $19355
  • Some of the moving averages are giving a SELL market signal

Bitcoin: Bearish Reversal Seen Below $19685

We can now see the progression of a falling trend channel in bitcoin as it is unable to hold onto its gains, and the increase in the selling pressure suggest we are now moving towards the $18000 handle.

The Aroon indicator is giving a bearish trend signal in the 1-hour time frame.

The MACD indicator is back under zero indicating the bearish trend in the 15-minute time frame.

The RSI indicator is also back under 50 indicating the weakness present in the markets.

The immediate short-term outlook for bitcoin is mildly bearish, the medium-term outlook has turned bearish, and the long-term outlook remains neutral under present market conditions.

Bitcoin’s support zone is located at $18577, the Camarilla support levels and the price needs to remain above this level for any potential of the bullish reversal in the markets.

The price of BTCUSD is now facing its classic support level of 19303 and Fibonacci resistance level of 19343 after which the path towards 18500 will get cleared.

In the last 24hrs, BTCUSD has decreased by 0.03% by 5$ and has a 24hr trading volume of USD 26.294 billion. We can see a decrease of 4.13% in the trading volume compared to yesterday, which appears to be normal.

The Week Ahead

The price of bitcoin is moving in a mildly bearish zone below the $19500 level. Further downside is projected at $18500 and $18000 as the immediate targets.

We have seen a bearish opening of the markets which suggests that we are poised for further declines this week below the $19000 levels.

The daily RSI is printing at 48 which indicates a neutral level and a move towards the consolidation phase in the markets.

The price of BTCUSD will need to remain above the important support level of $18000 this week.

The weekly outlook is projected at $18500 with a consolidation zone of $18000.

Technical Indicators:

The moving Averages Convergence Divergence MACD (12,26): is at -5.20 indicating a SELL

The commodity channel index CCI (14): is at -80.22 indicating a SELL

The rate of price change ROC: is at -0.16 indicating a SELL

The bull/bear power (13): is at 3-38.49 indicating a SELL

XRPUSD: Double Top Pattern Below 0.4727

Ripple was unable to sustain its bullish momentum and after touching a high of 0.4841 on 18th Oct, the price started to decline touching a low of 0.4336 on 20th Oct.

The Ichimoku price is under the cloud in the 2-hour time frame.

The price of Ripple is back under the pivot point indicating a bearish trend in the weekly timeframe.

We can see an opening gap in the markets which is down indicating the bearish nature of the markets.

We can clearly see a double top pattern below the 0.4727 handle which is a bearish reversal pattern because it signifies the end of an uptrend and a shift towards a downtrend.

Ripple touched an intraday high of 0.4591 in the Asian trading session and an intraday low of 0.4438 in the European trading session today.

We can see that the prices are moving near resistance of the channel in the 15-minute time frame indicating a bearish trend in the markets.

The relative strength index is at 37 which signifies a very weak demand for Ripple at the current market prices and the continuation of selling pressure in the markets.

All of the moving averages are giving a STRONG SELL signal at the current market level of 0.4814.

Ripple is now trading below its pivot level of 0.4486 and is now facing its classic support level of 0.4446 and Fibonacci support level of 0.4475 after which the path towards 0.4300 will get cleared.

Most of the major technical indicators are giving a STRONG SELL signal.

  • Ripple: bearish reversal seen below the 0.4727 level
  • The Williams percent range is indicating an oversold level
  • The average true range indicates LESS volatility
  • Ripple gains bearish bias against the US dollar

Ripple: Bearish Reversal Seen Below 0.4727

We can see that the price of Ripple continues to decline against the US Dollar and has broken the support level of 0.4500. We are now heading towards the 0.4200 level.

The price of Ripple continues to remain in a bearish trend and further declines are expected. The price remains at a risk of more losses below the 0.4500 level.

We can see the formation of a bearish harami pattern in the 1-hour time frame.

The ichimoku bearish crossover pattern: Tenkan & Kijun is seen in the 4-hour time frame.

The short-term outlook for Ripple has turned bearish, the medium-term outlook is neutral, and the long-term outlook is neutral under present market conditions.

We can see that the support of the channel is broken in the 1-hour time frame.

The price of XRPUSD has decreased by 1.91% with a price change of $0.008585 in the past 24hrs and has a trading volume of 1.234 billion USD.

We can see an increase of 0.40% in the trading volume of Ripple compared to yesterday, which appears to be normal.

This Week Ahead

The price of Ripple is correcting lower against the US dollar and bitcoin. XRP/USD might decline further and test the support level of $0.4300. The pair is slowly moving down towards the $0.4400 level. The current downside wave is expected to rest at levels above $0.4000 after which we may see some upwards correction in the prices.

We can see a continuous progression of a bearish trend line formation from 0.4727 towards the 0.4339 level.

The weekly outlook for Ripple is projected at 0.4300 with a consolidation zone of 0.4200.

Technical Indicators:

The relative strength index, RSI (14):  is at 37.91 indicating a SELL

The moving averages convergence divergence, MACD (12,26): is at -0.003 indicating a SELL

The bull/bear power (13): is at -0.0042 indicating a SELLThe rate of price change, ROC: is at -2.139 indicating a SELL

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