The Bitcoin price rises above the pivotal range, suggesting the start of a healthy upswing that may transform into a bull run ahead. This has induced strong bullish momentum within the markets, due to which the popular tokens have soared by a decent margin. However, some altcoins like XRP & Avalanche (AVAX) are feared to lose their profits soon as the bears are about to knock on the door, causing a significant correction.
Ripple (XRP) Price Analysis
The XRP price has experienced significant bearish heat, which squashed all the gains incurred with the final judgement in the Ripple vs. SEC lawsuit. The XRPArmy appeared to try hard to keep up the momentum, but the bears left no stone unturned in keeping the price within the range. The XRP price is trading within a bearish pattern and hence is believed to shed huge gains in the coming days.
The XRP price is trading within a descending triangle and has failed to surpass the upper resistance in recent times. Considering the current trade setup, it appears that the XRP price is trading under acute bearish influence. The token, which has been testing new support since July, is expected to maintain a steep declining trend, leading to a major drop soon. The triangle remains active, with the lower highs forming below EMA 50.
Additionally, the declining RSI suggests a major drop in volume, which substantiates the bearish claim. Hence, the price after reaching the apex is believed to drop close to the first support at $0.56, and if bulls fail to defend, a major drop below $0.5 may be imminent.
Avalanche (AVAX) Price Analysis
The avalanche price rally has raised eyebrows as the token has managed to surge above 400% since November. Despite this, the price failed to surpass the pivotal zone around $50, as it faced a major rejection at $49.96, causing a 20% drop. Although the token has triggered a rebound, the bulls appear to be incapable of maintaining an upswing.
After producing a fine 480% rise since the September lows, the price trembled down as the volume marked new lows in December. The volume kept rising along waves 1 to 4, and through waves 4 to 5, the volume dropped, which may trigger a correction. The most revealing signal of all is the inverted cup or rounded top pattern, which suggests the top is in. Hence, one final surprise move before the correction.
Besides, the AVAX price managed to close and stay below EMA21, which suggests a crash or correction could be on the horizon, which may end in a higher low compared to September before long-term growth.