Price Analysis 1/23: BTC, ETH, XRP, BNB, SOL, DOGE, ADA

XRP continued its downtrend on Friday, slipping slightly lower than it opened the day. It may be heading closer to its second consecutive day of consistent decline if the trend persists.

However, traders are paying closer attention to its recent form on the 1-day chart. It has traded above $1.85 since Monday, rebounding off the mark after its previous slip below it.

XRP may continue to hold the mark on Friday amid the ongoing downtrend. Nonetheless, the slight improvement the asset experiences affects other assets. The global cryptocurrency market cap printed a doji on Thursday and may end Friday with one, indicating a drop in the downward momentum.

Additionally, the market cap posted higher lows over the last three days. If the trend continues, the likelihood of high volatility over the weekend increases.

The last four days have been a rollercoaster of emotions for investors as they grappled with geopolitical pressures. Nonetheless, they may be in the clear, as the threats appear minimal at the time of writing.

Trading activity has since slowed, as CoinMarketCap reported a 21% drop in volume over the last 24 hours.

In hindsight, while the downward momentum has eased, the market is still grappling with the impact of bearish fundamentals. The PCE report from Thursday may still be at play, as there is no strong bullish news to dispel it.

Away from fundamentals, let’s see how some assets will perform over the weekend.

BTC/USD

BTC slipped below $89k a few hours ago. Currently trading at $88,814, it continues its range-bound movement, which has lasted two days.

The recent consolidation follows several days of decline, sparking anticipation of further increases. The 4-hour chart suggests that the asset may be gearing up for a breakout, but not in the direction many would expect.

Bitcoin recently tested bollinger’s middle band and failed to flip it. It has since been in decline and may be heading toward the lower band. Aside from indicating the next possible price direction, the Bollinger bands are also constricting, indicating an impending breakout.

Another key indicator to watch is MACD, which shows an ongoing negative convergence. The asset may continue to decline if the current price trend persists. Nonetheless, previous price movement suggests that the bulls must defend $88,500, or risk a dip to $86,800.

ETH/USD

Ethereum is trading at $2,912 at the time of writing, slightly down from its opening price. It recently dropped to a low of $2,888 but rebounded and may be gearing up for further increases.

The 4-hour chart shows that the asset has been trading within a descending triangle since Tuesday. It means the coin will continue to plummet over the weekend. The readings from the candles align with those from MACD, which show an ongoing negative convergence.

In a nutshell, the chart pattern and the indicator suggest that the altcoin will continue its downtrend. If the prediction holds, ETH may be heading for a drop below $2,800

Nonetheless, it rebounded off the bollinger’s lower band on the 4-hour chart, showing a slim possibility of further increases. If this plays out, the asset will reclaim $3k over the weekend.

XRP/USD

XRP is yet to break out of its downward trend since Wednesday. It has since trended below Bollinger’s middle band since it failed to break it.

The trend is ongoing on the 4-hour chart. However, the indicator suggests that the asset may be gearing up for a breakout. XRP recently bounced off the lower band a few minutes ago and flipped green. Following its rebound, the buyer may stage a rally to $1.95.

However, the moving average convergence divergence remains unaffected by the recent hike. It prints a sell signal, hinting at further decline over the weekend. If the downtrend continues, the altcoin may drop below $1.85.

BNB/USD

BNB is currently struggling to flip a key level. It bounced off the bollinger’s lower band on Wednesday and has since trended close to the middle band on the 4-hour chart.

Since its rebound, it has failed to break above $892. The chart shows that the selling congestion is present at the time of writing. Nonetheless, the asset dropped to its lowest level of the day, but met buyback support and is struggling to break above the barrier again.

Aside from the bollinger bands, MACD is currently positive, suggesting a high chance the asset will break above the barrier over the weekend.

SOL/USD

Like XRP, SOL has trended close to bollinger’s middle band since Wednesday. However, it has since failed to decisively break above the mark.

Another failed attempt occurred a few minutes ago when it broke above the mark, but it is currently trading below it. Nonetheless, it is worth noting that the asset recently dropped to the lower band before facing notable buying pressure.

If the bulls continue the buying pressure, SOL will reclaim $130 in the coming days. However, MACD is gradually flipping bearish. If the asset fails to continue its uptrend, it may drop below $125 in the coming days.

DOGE/USD

Like XRP, DOGE retraced and tested its bollinger’s lower band a few minutes ago. However, it rebounded and is now trading at $0.124 at the time of writing.

Nonetheless, the asset has trended close to the middle band since Wednesday. It has since failed to decisively flip the mark and had another failed attempt a few hours ago. In response to its consistent failure to flip the mark, MACD is flipping negative.

The histogram associated with the indicator prints smaller bars, the first sign of an impending bearish convergence. If the trend persists, DOGE may slip $0.12 in the coming days.

ADA/USD

ADA prints a new green candle on the 4-hour chart. It would mark the second of the day if the bulls sustain the recent uptick, which started after its recent sharp drop.

The altcoin is edging closer to breaking above a key level it has failed to break since Wednesday. However, the new candle suggests an increased chance of flipping $0.37 over the weekend. It began above bollinger’s middle band, suggesting that the asset has decisively flipped the mark.

ADA may be heading for a new high for the week after reclaiming the highlighted level. Nonetheless, aside from the bollinger bands, MACD supports this prediction.  

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