- BTC, ETH and XRP defended crucial near-term support levels.
- Will they bounce back to their new highs before Christmas?
On Wednesday, December 18, the US Fed further cut interest rates by 0.25%, but its hawkish projections for 2025 triggered Bitcoin (BTC) drop to $100,000.
During the same trading session, Ethereum (ETH) fell by 6.8% while Ripple (XRP) undervalued by 10%. All major digital assets eased to near-term support levels as analysts remained optimistic about risky assets.
So, will the big three rebound or decline? Let’s explore the charts for information.
Bitcoin defends $100,000: will ETH and XRP rebound?
Source: BTC/USDT, TradingView
Since December 12, BTC bulls have defended $100,000. The recent FOMC sell-off has eased on a psychological level. This confirmed it as support.
Interestingly, the 100-day EMA (exponential moving average), which stopped after BTC dumps since October, has aligned with the channel lows. This made the $98,000-$100,000 area strong near-term support for BTC.
The mid-range of $104,000 and the upper level of $108,000 to $109,000 could be achievable if support holds.
On the other hand, a break below support could further escalate the carnage and embolden the bears. In such a case, $90,000 and $85,000 could become accessible to the bears.
That said, the recent decline is also due to a hunt for liquidity, which is currently concentrated at the $102.5k, $105k, and $108k levels (bright yellow lines).
Source: Coinglass
Rising liquidity made BTC’s rebound more likely unless low trading volume over the Christmas holiday triggers more sell-offs.
How will ETH and XRP react to the above BTC price scenarios?
ETH, XRP price prediction
For ETH, the altcoin king has consolidated between $3.5k and $4k since early December. Like BTC, it fell from $4.1k but rebounded to the lows of the $3.5k range as of this writing.
Source: ETH/USDT, TradingView
A rise to $3.7k and $4k could be achievable if the low holds. A decisive move above trendline support (white) could confirm a resumption of the uptrend that began in November.
That said, if channel support breaks, ETH bears could drag the altcoin to $3.3k or $3.1k.
Interestingly, the XRP chart looked strong among the big 3. Despite the 10% decline, XRP has held above its Q4 trendline support and could be the key level to watch for the remainder of 2024.
Source: XRP/USDT, TradingView
Bulls could target a $2.8 level or push higher to the 2021 cycle high of $3.3 using support as a springboard. The uptrend was supported by the recent launch of the RLUSD stablecoin and ETF expectations in 2025.
Read Bitcoin (BTC) Price Prediction 2024-2025
However, a crack below could allow short sellers to push XRP down to $2 or $1.6.
In conclusion, major cryptocurrencies, BTC, ETH and XRP, defended key levels, suggesting a potential market trend reversal to the upside. But will the likely weakness in trading volumes over the Christmas period affect the recovery?
