- Bitcoin price at risk of a deeper push south as upside potential is limited.
- Ethereum price develops a bull-trap pattern, warning of some continued weakness.
- XRP price may find some bullish momentum due to a key Ichimoku time-cycle.
Bitcoin price faces a double-bottom pattern on its $1,000/3-box Reversal Point and Figure Chart hinting at a substantial drop ahead of the Thanksgiving weekend. Ethereum price filled a prior gap between the bodies of the weekly candlesticks and the weekly Tenkan-Sen, but downside risks remain. XRP price may begin a new swing higher because of a Kumo Twist.
Bitcoin price faces -16% drop ahead of Thanksgiving holiday and weekend
Bitcoin price has developed a double-bottom on its Point and Figure chart, creating a short opportunity for the bears. The hypothetical short entry is a sell stop order at $55,000, a stop loss at $59,000 and a profit target at $42,000. While the Vertical Profit Target Method in Point and Figure Analysis projects an actual target of $37,000, likely, the neckline (black diagonal line) of the prior inverse head-and-shoulders pattern will act as support.
BTC/USD $1,000/3-box Reversal Point and Figure Chart
Bulls could invalidate the near-term bearish bias by pushing Bitcoin price to a close above the former 100$ Fibonacci expansion level at $63,000. From there, a renewed push to all-time highs would likely commence.
Ethereum price likely to face continued weakness
Ethereum price, like Bitcoin, shows signs of continued weakness ahead. A bear trap pattern is in development on Ethereum’s $25/3-box Reversal Point and Figure chart. This pattern can create substantial selling pressure as late-term buyers inevitably turn into sellers as prices accelerate their movement south.
ETH/USD $25/3-box Reversal Point and Figure Chart
The theoretical short entry is a sell stop order at $4,050, a stop loss at $4,150 and a profit target at $3,300. However, the weekly Tenkan-Sen (not shown) is at $3,800 and could limit any further downside pressure for Ethereum. Therefore, any daily close above $4,400 would invalidate the short trade idea.
XRP price could lead altcoins to outperform Bitcoin and Ethereum
XRP price has undoubtedly had a bearish past two weeks. From the November 10th swing high, XRP is down over 24%. However, the Kumo Twist coming up on November 24th could end that downtrend and move higher. Kumo Twists, when Senkou Span A crosses above or below Senkou Span B, are often periods where significant major and minor swing highs and lows are found.
XRP/USDT Daily Ichimoku Chart
XRP price would need to close at or above the $1.19 value are to return to a bullish market. From there, XRP is poised to begin its run above the $2.00 value area. However, if XRP remains below the Cloud ($1.05) throughout the week, a steep drop towards $0.84 is next.
Read More: Altcoins to outperform leading cryptos