Bitcoin continues to trade within a descending price channel, with the upper limit around $70,000 presenting both an opportunity for a breakout and the risk of a pullback. Recent price action shows Bitcoin bouncing off lower levels, indicating some strength, but it remains confined within this declining channel.
To break above the upper trendline and initiate a significant advance toward $70,000, Bitcoin will need a strong catalyst or substantial buying momentum. If successful in testing this level again, new highs could be on the horizon. However, failure to sustain this upward pressure might lead to a retreat to critical support levels.
In the event of a pullback, the psychological $60,000 mark should be monitored, as it coincides with the 100-day moving average. Additional support can be found at the 200-day EMA and previous consolidation zones around $58,000.
Should Bitcoin surpass the $70,000 threshold, the next target in a bullish scenario would be $75,000, a level that has historically posed strong resistance.
XRP Shows Bullish Breakout from Symmetrical Triangle
Meanwhile, XRP has recently broken out of a symmetrical triangle pattern that has formed since August, suggesting potential for further upside momentum. This breakout indicates that bullish sentiment is gaining traction. However, the sustainability of this momentum remains uncertain, as a return to the triangle or a breach of key support levels could invalidate the bullish outlook.
To confirm a sustained upward trend, XRP must maintain above the significant support zone at $0.58. A drop below this level could lead to a quick retreat to the lower $0.55 region. Conversely, if XRP continues to rise and holds above resistance, the market may target the $0.65–$0.70 range for additional gains.
Ethereum Returns to Descending Channel
Ethereum has also returned to its descending price channel after a brief bullish momentum, indicating a possible reversal. The second-largest cryptocurrency by market cap has been struggling with a persistent bearish trend since mid-2023. Although ETH has recently climbed back above the $2,500 mark, the bullish dynamic appears to be waning as it approaches significant resistance at $2,600 and $2,700.
Currently, Ethereum is consolidating within the descending channel, showing a lack of strong momentum. Observing whether it can hold these levels or reverse back to $2,400 or even $2,300 will be crucial. A breach of these support levels could signal a return to bearish sentiment.
On a positive note, there remains potential for Ethereum to gain traction in upcoming trading sessions, particularly on Monday when market activity typically increases. If buying interest strengthens, ETH could retest the $2,800 region by breaking through current resistance.
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