Bitcoin, Ethereum, XRP Forecast: BTC Stabilizes as Treasury Yields Retreat

Key Insights:

• Leading cryptocurrencies stabilize after a retreat in Treasury yields from multiyear highs.
• Bitcoin finds buying interest near top trendline of a symmetrical triangle, support at $26,300; resistance at $28,800.
• Ethereum sees buyers near symmetrical triangle upper trendline and 200 SMA , support at $1,595; resistance at $1,820.
• XRP trades comfortably above the 50- and 200 SMAs, support at $0.5015; resistance at $0.61.

Bitcoin, Ethereum and XRP Forecast Video for 05.10.23

Leading cryptocurrencies along with other risk-on assets continued to inch higher in Thursday’s Asian session after a retreat in bond yields from multiyear highs. The yield on the 10-year Treasury note tumbled nearly 7 basis points to 4.735%, its biggest fall in more than a month, on the back of payroll data that pointed toward slowing jobs growth. Importantly, the weaker-than-expected employment data raised hopes the Federal Reserve may begin to ease interest rates earlier than initially anticipated.

Additionally, a favourable ruling in the ongoing SEC vs. Ripple Labs lawsuit also buoyed sentiment across the asset class. Notably, U.S. District Judge Analisa Torresre refused to allow the securities watchdog to appeal her recent decision involving Ripple, a ruling that market observers have seen as a major defeat for the regulator in its attempt to police cryptocurrencies through litigation.

Below, we turn to the charts to identify important trading levels to monitor in Bitcoin (BTC), Ethereum (ETH) and Ripple’s XRP (XRP).

Technical Analysis: Bitcoin, Ethereum and XRP

Bitcoin

Bitcoin’s price continues to grind higher after finding support from the top trendline of a symmetrical triangle. However, volumes remain thin, increasing the likelihood of sudden spikes in volatility. Follow-though buying may see bulls test key overhead resistance at $28,800. Conversely, a breakdown below the triangle pattern could see a revisit of the $26,300 level, where the price finds a confluence of support from a horizontal trendline and 200 moving average.

Ethereum

Buyers continue to defend the $1,630 level, where Ethereum’s price finds a confluence of support from a symmetrical triangle’s lower trendline and the 200 moving average. Trading volumes remain low here also, increasing the chances of a liquidation event. A move higher could see a test of $1,820, an area where the price encounters resistance from a horizontal trendline. Alternatively, a break below the triangle’s top trendline and 200 SMA could see a revisit of lower support at $1,595.

XRP

The Ripple-specific news discussed above acted as the catalyst for an impressive rally in the XRP price from the upper trendline of a symmetrical triangle on above-average volume. Moreover, the fifth largest cryptocurrency by market capitalization also now trades comfortably above both the 50- and 200-period moving averages, confirming an upwards bias. Further buying could see a move up to resistance around the 0.61 cent level. Alternatively, a downside reversal could trigger a move down to key support around $0.5015.