Bitcoin price steadies around $87,500 on Wednesday after a four-week decline.
Ethereum price hovers around $2,900, finding support around the 61.8% Fibonacci retracement at $2,749.
XRP price holds above $2, rebounding from the lower boundary of a descending channel in the previous week.
Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) prices hover around key levels mid-week after rebounding from support. The price action of these top three cryptocurrencies suggests fading bearish momentum in the technical indicators, hinting at a possible recovery in the coming days.
Bitcoin price steadies after massive correction
Bitcoin price found support roughly around the key psychological level of $80,000 on Friday, recovered slightly over the weekend, and closed above $88,300 on Monday. However, on Tuesday, BTC saw a slight correction, closing the day at $87,369. At the time of writing on Wednesday, BTC steadies at around $87,400.
If BTC continues its recovery, it could extend the rally toward the next key resistance at $90,000.
The Relative Strength Index (RSI) on the daily chart reads 31, after slipping below the oversold threshold last week, suggesting that downside pressure may be moderating as bearish momentum shows early signs of exhaustion.
On the other hand, if BTC continues to drop, it could extend the decline toward the key psychological level at $80,000.
Ethereum price shows fading bearishness on momentum indicators
Ethereum price faced rejection at the previously broken trendline on November 13 and declined more than 18% over the following eight days, reaching a low of $2,623 on Friday. ETH recovered nearly 7% in the next three days, after finding support near the 61.8% Fibonacci retracement level at $2,749. At the time of writing on Wednesday, ETH hovers at around $2,900.
If ETH continues its recovery, it could extend the rally toward the daily resistance level at $3,017. A successful close above this could extend additional gains toward the 50-day EMA at $3,483.
Like Bitcoin, Ethereum's RSI is rebounding from oversold territory, suggesting early signs of exhaustion and a potential recovery ahead. The MACD indicator also showed a bullish crossover on Tuesday, providing a buy signal and further supporting the recovery thesis.
On the other hand, if ETH faces continued decline, it could extend the drop toward the 61.8% Fibonacci retracement level at $2,749.
XRP could extend recovery after finding support around lower channel boundary
XRP price retested and found support around the lower trendline of the descending channel (drawn by connecting multiple highs and lows with two trendlines) on Saturday and recovered 14.19% in the next two days. At the time of writing on Wednesday, XRP hovers at around $2.20.
If XRP continues its recovery, it could extend the rally toward the next daily resistance level at $2.35, which roughly coincides with the 50-day EMA at $2.37.
The RSI reads 47, rebounding from oversold territory last week, suggesting that bearish pressure is easing and supporting a recovery view. Additionally, the MACD showed a bullish crossover on Tuesday, providing a buy signal and further supporting the recovery thesis.
On the other hand, if XRP corrects, it could extend the decline toward the Friday low of $1.82.
