Big Cryptocurrencies Hold Price Support Levels And Then Rally

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Bitcoin, Ethereum and XRP managed to hold above key price support levels during March and have rallied semi-vigorously. Price chart analysts identify areas where buyers come back in and take over from sellers. That’s what happened this month with the leading cryptos.

The Bitcoin daily price chart looks like this now:

You can see the beginnings of a positive divergence between the price low of early December and that of late January on the MACD chart. Note that the Bitcoin price is now back above the 50-day moving average (the blue line) and that this moving average is now turning back upward.

The cryptocurrency still has a ways to go before a kind of bottom could be confirmed. A couple of prices above that 200-day moving average (the red line) would be more convincing.

For a slightly different perspective, take a look at the Bitcoin point-and-figure chart,

Those who are bullish would want to see a 48-hour period where the crypto makes it above — and stays above — that 45500 level. That’s where sellers took over from buyers last time around. On the other side, note that a 48-hour period below 34500 would be a break of support and bearish. This price range between the 2 levels is quite a battle.

The Ethereum daily price chart looks like this:

It’s the same basic technical look as the Bitcoin chart. The cryptocurrencies tend to trade together. Ethereum is back above the 50-day moving average which is beginning to trend upward. For now, it appears to be a successful test of the January and February lows. It would be a more convincing bullish pattern if the price could make it back above the 200-day moving average.

Here’s the Ethereum point-and-figure daily chart,

This crypto dipped more convincingly down than did Bitcoin earlier in 2022. Take a look at the notation on the chart in the upper left hand corner where it says “P&F Pattern: Double Top Breakout on March 17th, 2022.” Ethereum is already back to short-term bullish from the standpoint of point-and-figure analysis.

The XRP daily price chart is here:

The positive divergence between price and the MACD indicator from the December low to the late January low is obvious. This is suggestive of at least a short-term bottom. Another bullish item is how Ripple’s price is now back above the 50-day moving average. As with the other 2 big cryptocurrencies, it would be more convincing if the price managed to move above (and then stay above) the 200-day moving average.

Here’s the point and figure chart for XRP,

It’s easy to see the price range on this chart: the support level at .63 has held 3 times and a move above 1.75 would be convincingly bullish. It’s somewhat amazing to see that this cryptocurrency trades as low as 13 cents as recently as just 2 years ago. Those are big percentage gains (or losses) depending on where an investor got in or out.

Not investment advice. For educational purposes only.

For more analysis & charts, please go to my website:

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Credit: www.forbes.com /

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