Cryptocurrencies Consolidate After August Breakouts, But Remain Bullish

Bitcoin (BTC) is consolidating after an aggressive August breakout, but its daily structure remains heavily biased in favor of buyers. The cryptocurrency peaked at about $81,000 and is currently trading around $78,840, a gain of almost 30% from its starting point.

The rapidly rising 20-day EMA has reached roughly $72,250, while this indicator is currently at about $72,180. Their convergence around $72,000 establishes a crucial support area for Bitcoin. Additionally, Bitcoin is trading well above its 50-day and 100-day moving averages, which are currently at $68,680 and $67,300, respectively.

XRP is also consolidating after one of its biggest breakouts this year, but the most recent daily structure indicates that buyers are still in charge. XRP is trading around $1.41, significantly above its 200-day moving average, which has been reclaimed multiple times since August. The claim that the prior long-term downward trend has been broken would be strengthened by a successful defense of this indicator.

Ethereum (ETH) is also in an exceptionally strong position, holding hundreds of dollars above its recently recovered 200-day moving average while consolidating around $2,470. ETH is currently trading close to $2,472 after rising quickly from about $1,900. Breaking the long-term trend indicator is no longer Ethereum's immediate concern.