The weekly RSI for the Bitcoin (BTC), Ethereum (ETH) and XRP price fell to a new all-time low in July. It has recovered since, and generated bullish divergence in the case of BTC and XRP, while it broke out from a resistance line in the case of ETH.
Bitcoin Price Prediction: Biggest RSI Divergence in History
The Bitcoin price has fallen since reaching an all-time high of $68,944 in Nov. 2021. The downward movement led to a low of $15,599 on Nov. 11.
Comparing the decrease to the previous bear markets, it would make sense that the price of Bitcoin is close to reaching a bottom. The crypto market correction beginning in 2014 and 2018 had a drop of 86% and 84%, respectively. The current decrease is 77%.
Furthermore, the previous corrections lasted for 413 and 364 days, respectively. The current one has been ongoing for 378 days.
Another interesting reading comes from the weekly RSI, which fell to a new all-time low in June 2022. The 25 value was lower than the low of 2015 and 2019 (red icons). Finally, the weekly RSI has generated the most significant bullish divergence (green line) until now. Such divergences often precede upward movements.
However, if the weekly RSI does not initiate an upward movement, the next support area would be at $14,000.
Therefore, the movement of the next few weeks will be crucial in determining the long-term Bitcoin price.
Ethereum Price Prediction: Is Pullback Complete?
ETH is the native token of the Ethereum blockchain, created by Vitalik Buterin. The technical analysis from the weekly chart shows that the price of Ethereum has fallen since reaching an all-time high of $4,868 in Nov. 2021. The price of ETH fell to a low of $881 in June 2022.
Unlike Bitcoin, the Ethereum price did not break its yearly low in Nov. To the contrary, the price action has been relatively bullish since and created a higher low (green icon). These two lows also validated a long-term ascending parallel channel.
As for the RSI, the difference between Bitcoin and Ethereum comes from the fact that there is no bullish divergence in the latter’s case. However, the RSI has broken out from its descending resistance line (green line).
Therefore, a breakout from the $1,350 area would indicate that the ETH price prediction is bullish. On the other hand, a weekly close below the channel’s resistance line would mean that the Ethereum price prediction is bearish instead.
XRP Price Prediction: Breakout Could Lead to Rally
The XRP price has fallen below a descending resistance line since April 2021. The line has been validated several times (red icons), most recently on Oct. 2022.
While following the line, the XRP price bounced at the long-term $0.30 horizontal support area (green icon). This also caused the RSI to generate bullish divergence (green line). But, the indicator has not broken out from its resistance.
So, the RSI movement for the XRP price is closer to that of Bitcoin than that of Ethereum.
However, the price movement is more similar to ETH. A breakdown from the $0.30 horizontal support area would confirm that the XRP price forecast is bearish. On the other hand, a XRP price breakout from the descending resistance line would make the future price forecast bullish. The resistance line is currently at an average price of $0.43.
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