The altcoin market faced a downturn last week, with major cryptocurrencies witnessing significant declines. Despite initial bullish sentiments from Ripple’s victory, traders are now pivoting towards bearish positions. This has put prominent altcoins like Ripple’s XRP, Binance Coin (BNB), and Litecoin (LTC) at a critical juncture, heading towards a make-or-break moment in the coming week.
The Market Outlook
The past week was marked by extreme fluctuations in the crypto market, with prices swinging from unexpected highs to distressing lows within hours. Bitcoin struggled to maintain optimism among bullish investors and fell below the psychological threshold of $30K. If Bitcoin continues to hover below $30.5K next week, a significant shift is anticipated, leading investors to explore altcoins and potentially driving up their prices.
Ripple (XRP) Price Analysis
XRP saw a bullish surge that surpassed the key resistance level of $0.85, but the momentum was short-lived. This prompted short-term bulls to cash in profits, while aggressive bears began opening short positions. The bears’ target is to pull the price towards the 50-day EMA support level at $0.74. If the price bounces back from this level, XRP may fluctuate between $0.75 to $0.85 for a while. A successful breakout and closure above $0.85 could pave the way for a retest of $0.93, while a fall below $0.74 could push the price down to $0.55.
Binance Coin (BNB) Price Analysis
BNB finds itself within the confines of a symmetrical triangle pattern, indicating uncertainty between bullish and bearish traders. While the symmetrical triangle is typically a continuation pattern, it can also act as a breakout pattern. The relatively flat 20-day EMA and the hovering Relative Strength Index (RSI) around the midpoint offer no clear advantage to either bulls or bears. If buyers push the price above the triangle, BNB could rise to the next resistance at $285, potentially surging to $300. On the other hand, for bears to take control, they need to maintain the price below the triangle. A collapse of the $235 support level may intensify selling pressure down to $220.
Litecoin (LTC) Price Analysis
Litecoin’s price has been fluctuating within moving averages, indicating market uncertainty. Buyers’ efforts to push above the 100-day EMA have faced resistance, with sellers aiming to establish it as a resistance level. If LTC price falls below the crucial support of $89, selling pressure may intensify, potentially driving the price down to $81. However, breaking past $96 could trigger a relief rally up to $106.
Next week holds great significance for Ripple (XRP), Binance Coin (BNB), and Litecoin (LTC). Traders should closely monitor key levels and patterns to seize potential breakout opportunities amid market turbulence. With Bitcoin’s volatility, altcoins may offer lucrative opportunities for investors looking to capitalize on price movements in the coming days.
