- Bitcoin (BTC) rebounds to $97,000 on Friday after a volatile drop to $90,500, following its $100K milestone the day before
- Ethereum (ETH) price holds above the weekly level of $3,454, suggesting a rally toward $4,000
- Ripple (XRP) price faced rejection from the $3 mark, indicating a deeper correction ahead
In the ever-evolving world of cryptocurrencies, Bitcoin, Ethereum, and Ripple have been making headlines with their price movements. Bitcoin experienced a significant drop after reaching the $100K milestone, while Ethereum maintained its bullish momentum, signaling a potential rally towards $4000. On the other hand, Ripple exhibited bearish tendencies, hinting at potential declines.
Bitcoin’s Volatility After Reaching the $100K Milestone:
An intriguing development in the cryptocurrency market was when Bitcoin rebounded to $97,000 after hitting a low of $90,500, following the $100K milestone. Despite a fall to a daily low of $90,500, Bitcoin managed to recover and closed above $96,900, showing signs of volatility after reaching the $100,000 mark. At the time of writing, it was hovering around the $97,800 mark, indicating weak bullish momentum.
Ethereum Bulls Eyeing the $4000 Mark:
Ethereum showcased a different trend as compared to Bitcoin. It retested and found support around the weekly level of $3454. It rallied 4.6% in two days and traded slightly above $3870. If this level holds, Ethereum could potentially extend its rally to retest the psychologically important $4000 level. The bullish momentum is gaining traction, as indicated by the Relative Strength Index (RSI) on the daily chart.
Ripple Bears Showing Signs of Exhaustion:
Ripple’s price trend also stood out. After surging more than 18% and reaching a new six-year high of $2.90, it declined by 17.6%. Ripple’s correction is supported by the RSI, which stands at 72, signaling overbought conditions and suggesting an increasing risk of a correction. If Ripple continues its recovery, it could extend to retest its psychologically important level of $3.00.
source: coingecko
Understanding Bitcoin, Altcoins, and Stablecoins:
For those new to the crypto world, it’s essential to understand the key players. Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. Altcoins are any cryptocurrency apart from Bitcoin, with Litecoin being the first altcoin forked from the Bitcoin protocol. Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents.
Bitcoin Dominance in the Crypto Market:
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, indicating that investors are resorting to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin.
Conclusion:
The crypto market is constantly evolving, with Bitcoin, Ethereum, and Ripple making significant moves. Investors and traders must stay updated with these trends and understand the key concepts in the market to make informed decisions. As the market continues to evolve, it’s crucial to keep an eye on these major players and their potential impacts on the broader crypto market.
