Towards a rebound in altcoins? – The situation is much less catastrophic than during the year 2022 when the vast majority of altcoins dropped by more than 90%. The start of 2023 has been interesting for altcoins, which have been able to recover, but for the past few weeks, the price has been falling and struggling to rebound. WhileEthereum seems to be regaining strength against Bitcoin, is it possible that altcoins can rebound? We will analyze XRP which shows a 12% increase in one week.
Altcoin capitalization is trying to resume the bullish trendline
Traders are not rushing into altcoins currently. There’s been a hype aroundartificial intelligence and more recently around same corners with in particular the Pepe, but the vast majority of altcoins remain on the sidelines for now. Recently, the price stalled against the resistance at $670 billion :
Since then, the price has fallen by more than 15% before rebounding timidly at the level of the bullish trendline. The course must resume a bullish momentum. For buyers, the goal is for the price to close above the last high marked at $661 billion. In this way, the price could continue to mark a momentum with bottoms and rising tops. However, the price evolves at the level of the institutional bias (EMA 9/EMA 18) bearish, and this one could act as dynamic resistance. In this case, the capitalization of altcoins could experience a new wave of falls.
The RSI is bouncing off the level of the bullish trendline. If this trendline is kept, buyers could hold on to momentum.
Bitcoin dominance remains undecided
It’s been several weeks since Bitcoin dominance is slowing. Indeed, the price experienced a significant increase between the end of 2022 and the beginning of April. In fact, in a few months, the dominance went from 40% To 47% of dominance. For the past few weeks, the price has been slowing down and moving below the last peak marked at 48.9% :
If the price manages to rebound at the level of the bullish institutional biasthe course could resume a bullish momentum, and altcoins might struggle to express themselves. On the other hand, if the price manages to mark a best local by closing under 46.9%, altcoins could benefit. Indeed, the dominance of Bitcoin must fall below the 47% resistance so that altcoins can take advantage of the capital turnover. For the moment, BTC attracts capital like a magnet, and only the strongest altcoins manage to express themselves.
Ethereum needs to break resistance at $1,950 daily
From the top marked to $2,150Ethereum fell until finding buyers around $1,750. Through the fence above $1,870 on a daily basis, the price finds a bullish momentum. However, buyers will have to break the resistance at $1,970 :
The course is currently at the level of bullish institutional biasit could act as dynamic support. If so, the price could rebound and break the resistance at $1,970. In this case, the price could return to the level of the last peak marked at $2,150even at the level of resistance at $2,400. The buyers’ objective is for the price to close above the last high at $2,150 to rekindle the momentum with bottoms and rising tops. Watch out, a close below the last low at $1,740 would relaunch the bearish momentumand the price could fall towards the next bracket at $1,700.
The RSI is located below the bearish trendlineas long as this is the case the momentum will remain fragile. Also a rejection could occur at the level of the trendline in the days to come. Now let’s look at the strength of Ethereum against Bitcoin.
Is the ETH/BTC pair going up again?
As explained in the introduction to the article, Ethereum has been recovering against Bitcoin for a few weeks. Ethereum being the altcoin leader, this is good news for altcoins. However, the ETH/BTC pair is evolving at the level of the bearish trendlinea rejection could once again occur:
The course marks a DETOUR below the intermediate rack support. Buyers reacted below support, but need to keep pushing to close price above 0.07 BTC. A close above this level would break the bearish trendline and find a bullish momentum within the range between 0.06 BTC And 0.08 BTC. Thus, the price could reach the monthly resistance located at 0.08 BTC.
The RSI is encouraging, it tries to break the bearish trendline. In addition, thanks to the fence greater than 53, the momentum is turning bullish again on this momentum indicator. Buyers have their hands on the momentum.
XRP is the altcoin of the week: +12% in one week
While the ripple fight (XRP) against the SEC continues, some glimmers of hope appear (finally). This hope is reflected in the price of XRP which climbs more than 50% since the beginning of the year. Also, the price of XRP shows a 12% increase in one week :
As with all altcoins, the bear market has been very difficult for XRP. The price fell by 85% from top marked to $1.96. The price has found buyers at the level of the bracket at $0.32. However, for the moment the price is still evolving in a tidy located between $0.32 And $0.51. The course is located at the level of the resistance at $0.51, the buyers must push for the price to break the range. In this case, the price could rise towards the next resistance located at $0.65 (green arrow). However, a rejection does not seem impossible. In this case, the price could return to the level of the intermediate range support located at $0.42 (Red Arrow).
The RSI has recently bounced back at the level of bullish trendline, buyers are holding on to momentum for now. The indicator should continue to hold this trendline, and it should continue to show bottoms and rising tops.
The capitalaltcoin market attempts to reboundand if the price recovers the bullish trendline, the price could return to the level of the resistance at $670 billion. Bitcoin dominance remains stuck between the latest high at 48.9% and the latest low at 46.9% dominance. If the latest dip gives way, altcoins could take advantage. Since closing above $1,870 on a daily basis, the price of ETH has regained bullish momentum. However, it will be necessary to break the resistance at $1,970 to hope for a return to the level of the next resistance at $2,400. THE altcoin leader regains strength against Bitcoin for a few weeks, but beware of the bearish trendline which could reject the price once again.
XRP is one of the best performing altcoins this week, it is up 12%. The price is currently at the level of a double resistance. If they give way, the price could quickly reach the next resistance located at $0.65.
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