We take a look at Bitcoin and XRP price going into the week of October 18th, 2021. Aside from fundamentals, we rely heavily on technical analysis to assess overall sentiment. This is achieved by identifying key support and resistance levels that traders and investors will be watching in the short term. What price levels will investors and traders be focusing on going into next week?
At the time of this report, Bitcoin is currently trading at $61,281. Bitcoin has surged ~ 11% over the last week – following positive developments around a potential ETF being approved. The recent push above $60,000 marks 6-month highs for the largest cryptocurrency by market cap. If all goes well, the industry’s first U.S Bitcoin futures ETF could launch next week. This will no doubt give mainstream investors easier access to BTC exposure. Despite these recent developments, Bitcoin has continued to rally over the last year, amassing ~ 442% growth.
Bitcoin Technical Analysis
Back in late September, Visionary Financial mentioned that rising hash-rate could be a catalyst for growth. This came to fruition, as price action followed hash-rate metics.
#Bitcoin hash-rate continues to rebound. Hovering around levels not seen since early June. 👀
Price has historically been correlated to hash-rate.
— Visionary Financial (@VisionaryFinanc) September 30, 2021
At the time of this report, we will be watching $57,100 support. If Bitcoin can hold this support in the short term, we believe the digital asset could re-test all-time highs.
As discussed above, $57,100 could be an important support in the short term. BTC is holding this level quite strongly right now as it continues to eye $65,000 levels. Positive ETF developments could send BTC to $65,000 resistance sooner than later. If this happens, it will get quite interesting, since $65,000 marks all-time highs. Traders and investors should expect volatility to increase at these levels, as the price will either decide to create newer highs or facilitate a short-term pull-back.
At the time of this report, XRP is currently trading at $1.09. The 6th largest digital asset by market cap is down ~ 6% over the last week. Despite investors still awaiting results from the Ripple Vs SEC lawsuit, Ripple continues to expand operations. Most recently, Ripple entered the ESG space with a joint strategic investment with Nelnet Renewable Energy. The investment is believed to be in the ballpark of $44 million in Nelnet’s solar energy fund. Ripple hopes the strategic investment will fuel solar energy projects across the United States.
XRP Technical Analysis
XRP is currently hovering above $1.05 support. If XRP can hold $1.05 support in the short term, we believe more upside should follow.
As long as $1.05 support is maintained, XRP should target $1.23 this week. Powering through $1.23 resistance could put bulls in control to re-test $1.38 resistance. On the contrary, if XRP rejects $1.05 support, we expect a pull-back to $0.85 levels in the short term. Given the recent price action, a pullback to $0.85 levels would still be “normalized price action” in our opinion.
ROC ( rate of change ) for XRP is in a neutral position right now. As discussed in prior analysis, ROC above 0.00 denotes bullish momentum, and ROC below 0.00 denotes bearish momentum. With XRP hovering around 0.00 right now, it is still looking for identity going into this week.
Notice: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. The information has been obtained from sources we believe to be reliable; however, no guarantee is made or implied with respect to its accuracy, timeliness, or completeness. Authors may own the cryptocurrency they discuss. The information and content are subject to change without notice. Visionary Financial and its affiliates do not provide investment, tax, legal, or accounting advice.