New Record, Bitcoin (BTC) Price Trapped Now, Here’s When XRP Price Explodes

Dogecoin recently set a regrettable record: the longest run of losses in its recent history, with seven consecutive red daily candles. It makes sense that many investors are alarmed by the meme coins’ dismal short-term technical outlook due to its prolonged decline.

The chart shows that DOGE has now fallen below the 50, 100 and 200 EMAs, the three main moving averages confirming a bearish bias across all of the main trend indicators. After its prior attempt to regain the $0.22 zone, the asset has been unable to sustain upward momentum and has fallen to the $0.16 area.

The decline in trading volume is more concerning as it highlights the market’s lack of bullish commitment. Though it is not yet at the point where sharp bounces usually occur, the RSI is circling 34, which is close to the oversold zone. One possible bright spot amid all of this negativity is that Dogecoin is currently trading at a psychological support level of $0.16, which is historically high.

This range has served as a turning point on several occasions in the past, acting as support and resistance based on the mood of the market. With the larger cryptocurrency markets exhibiting slight indications of stabilization, a technical rebound is not impossible if bulls intervene.

A rebound might be possible, but it is unlikely to stop the overall trend unless it is accompanied by a sharp rise in volume and a return above the $0.18-$0.19 range. DOGE is still stuck in a bearish structure with little support until then.

Bitcoin possible breakout 

The tightening range in which Bitcoin is currently trading suggests a possible breakout that could cause a big market shift. The chart shows that Bitcoin is wedged between two important moving averages, the 50 EMA serving as support and the 26 EMA serving as resistance. As traders build up positions in expectation of a breakout, this kind of consolidation frequently occurs before a spike in market activity.

The current price action indicates selling pressure from the top, with a string of lower highs and the 50 EMA below offering a strong level of support after serving as a springboard for previous upward moves. When the market gathers momentum, this squeeze formation between convergent EMAs usually results in a strong directional move. 

You Might Also Like

With the RSI hovering just above 50, the market is neutral — not oversold but also lacking any strong bullish momentum. Bitcoin might return to the $110,000 range if it breaks above the 26 EMA and the descending resistance trendline, which would probably indicate the return of bullish dominance.

A drop below the 50 EMA and the psychological support at about $103,000, on the other hand, might pave the way to a more severe correction toward the $98,000-$95,000 range. In general, Bitcoin is in a traditional pressure cooker configuration. Although it is currently trapped, the range is getting smaller, and a spike in volatility seems likely.

Volume confirmation and a clear break of the resistance or support lines are indicators that investors should keep an eye out for. The trend of Bitcoin into the upcoming quarter will probably be determined by whichever direction prevails.

XRP aims high

With its price action coiling into a tight symmetrical triangle, one of the most telling technical patterns when it comes to predicting volatility, XRP is getting close to a critical inflection point. A major breakout, or breakdown, is imminent, as indicated by this triangle that is made up of a sequence of lower highs and higher lows. It also shows a consistent contraction of momentum.

You Might Also Like

With several moving averages closely encircling it, XRP is currently trading at about $2.13. Short-term bullish momentum is capped by the 26 and 50 EMAs converging above the 200 EMA (black line), which remains a strong base of support. The chart’s declining volume supports the implication of this pattern, which is that traders are holding off in anticipation of a clear move.

Symmetrical triangles usually do not show direction on their own. However, the closeness to the 200 EMA and the string of recent higher lows indicate that the bulls are still active in the case of XRP, albeit cautiously. If XRP is able to overcome the triangle’s descending upper boundary and overcome resistance at roughly $2.25-$2.28, it may spark a quick rebound back toward $2.50 and possibly higher.

Conversely, if support around $2.09-$2.10 is not maintained, there may be a deeper pullback with possible downside targets close to the $1.95-$2.00 region. Around 46, the RSI is neutral, meaning it can move either way. The main conclusion is that the volatility of XRP is compressed and getting close to a breakout point.

Regardless of who prevails in this stalemate, the price movement will almost certainly explode. Watch volume spikes for early indications of directional confirmation and be ready for increased activity.