Crypto markets were hit by rising CPI data in the US, increasing volatility in the already volatile market. Because Bitcoin is closely linked to the US market, the price of Bitcoin plunged this week despite being the pioneer of decentralization.
With a sharp 4% decline last night, Bitcoin price closed the day at $67,150, recovering from the low of $65,320. The fall of the market leader triggered a downward trend in the altcoin sector.
According to data from Coinglass, this Friday's sell-off wiped out $784 million in long liquidations.
Will Bitcoin, Ethereum and XRP price trends take a nosedive next week as bearish momentum increases? Or will the growing expectations surrounding the Bitcoin halving trigger a bull market that rises like a phoenix from the ashes?
Is $100,000 for Bitcoin just a pipe dream?
Amid the market-wide panic, the BTC price chart shows a massive bearish candle originating from the overhead trendline. This pullback tests the 50D EMA and signals a minor correction within the bullish flag.
Trading view
Furthermore, despite the sell-off, Bitcoin remains above the 23.60% Fibonacci level and has lower price rejection. Therefore, the underlying demand for Bitcoin remains significant.
As Bitcoin halving day approaches, the likelihood of a bullish rise increases. With this increase, BTC price could stage a breakout rally of a flag pattern to continue the prevailing uptrend.
Due to price levels and psychological barriers, the largest cryptocurrency could reach the $100,000 mark. However, in the short term, the uptrend could see BTC price rise to $76,000 in the coming week.
Ethereum is under stress, tension rises above the $3,000 mark
As Bitcoin price corrects, the largest altcoin is sharing the heat of increased supply in the market. However, Ethereum price remains above the psychological level of $3,000, with a long-term forecast of lower price rejection.
Trading view
The rejection of the lower price shows a similar underlying demand to Bitcoin, increasing the chances of reversal. However, last night's 7.50% decline left ETH price below the broken resistance trendline of a rising channel.
This calls into question the possibility of reversal. Nevertheless, the RSI divergence in the ETH price trend increases the possibility of a reversal.
Furthermore, according to the trend-based Fibonacci levels, ETH price could reach the $4,000 mark for a new breakout attempt.
Will the sleeping giant wake up this April?
Given the massive supply drop in Bitcoin and Ethereum, altcoins like Ripple have no choice but to suffer a similar fate. The XRP token price loses 10% of its market value and falls to $0.54.
Trading view
The decline tests bullish dominance at the ascending support trendline that has been in action since early 2023. Furthermore, the dynamic resistance on the weekly time frame does not provide significant impetus for a reversal.
Nevertheless, the RSI divergence coupled with lower price rejection at the baseline suggests a stronger comeback. The altcoin could rise sharply this week and break out of the triangle as the Bitcoin halving kicks off the highly anticipated altcoin season.
According to the trend-based Fibonacci levels, the $0.8966 level is a suitable target for the triangle breakout rally.
What's next for Bitcoin, Ethereum and XRP prices?
Despite last night's sell-off, Bitcoin and altcoins are preparing for a retaliation next week. The lower price rejection, the prevailing bullish trend, and the upcoming halving could push the market to new highs. Therefore, the crash presents an opportunity to buy blue-chip cryptocurrencies at a discount.
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