Cryptocurrencies Extend Bullish Runs Amid Technical Warnings
Bitcoin and Ethereum continue their upward momentum as they trade above $80,000 and $2,500 respectively. The price of Bitcoin has risen by over 3% this week, while Ethereum has gained around 1.5%. Meanwhile, Ripple hovers around $1.44 on Friday, down more than 5% this week.
The technical outlook for these top three cryptocurrencies remains constructive but is getting stretched, which could lead to a short-term correction. Bitcoin's upside momentum is still dominant but becoming stretched, with the Relative Strength Index (RSI) in overbought territory near 82. The Moving Average Convergence Divergence (MACD) indicator remains positive but is easing from recent extremes.
Ethereum could extend its gains if $2,500 holds strong, with immediate support seen at the nearby horizontal level around $2,500. On the topside, the next notable resistance emerges at the psychological $3,000 hurdle, where buyers could begin to book profits if overbought signals persist.
XRP's momentum remains stretched but constructive, with the RSI hovering in overbought territory near 73 and the MACD indicator above the signal line. The next significant resistance does not emerge until the horizontal line around $1.900, leaving scope for further gains if dip-buying persists and overbought conditions unwind through consolidation.