Bitcoin and Major Altcoins Face Critical Support Levels Amid Rising Tensions

Bitcoin Trading Near Key Support Level

Bitcoin (BTC) is currently testing a significant support zone at the 50-day Exponential Moving Average (EMA), approximately $103,100. A decisive drop below this threshold could catalyze a significant downward movement. If Bitcoin fails to maintain this support, it could lead to further declines, potentially approaching the psychologically important mark of $100,000.

As of now, Bitcoin is trading around $104,500, having recently faced a 2.1% decrease after drawing support from its Fair Value Gap (FVG) at $108,064. The Relative Strength Index (RSI) currently indicates a bearish momentum, reading at 47, which is below the neutral level of 50. Additionally, the Moving Average Convergence Divergence (MACD) has shown a bearish crossover, reinforcing the downward trend.

Ethereum’s Momentum Weakness

Ethereum (ETH) is encountering crucial support near its 50-day EMA, which stands at $2,441. This level aligns with a lower boundary of consolidation at $2,461, rendering it a pivotal point. Currently, Ethereum hovers around $2,514.

Should it fall below the EMA at $2,441, the next significant support level to watch would be $2,000. The daily chart shows the RSI at 48, which suggests bearish momentum is building. The MACD has also displayed a bearish crossover recently, reinforcing this sentiment.

Ripple’s Struggles with Resistance

Ripple (XRP) experienced difficulty breaking through the 50-day EMA at $2.24 and has since been faced with increased selling pressure. Currently trading around $2.16, XRP has support at approximately $2.15, but further decline could see it retesting the $1.96 level.

The RSI for XRP is registering at 44, indicating strong bearish momentum, coupled with a recent bearish crossover on the MACD, which suggests a prevailing downward trend. If XRP manages to reclaim the 50-day EMA, it could aim for recovery toward the high of $2.47 observed on May 23.

Market Sentiment Influenced by Geopolitical Events

Traders are exercising caution as geopolitical tensions escalate, particularly with President Trump expected to announce the U.S. position on the ongoing Israel-Iran conflict within the next two weeks. Such developments could significantly shift sentiment in the cryptocurrency markets, impacting trading strategies and investor behaviors.

Conclusion

The current landscape for Bitcoin, Ethereum, and Ripple underscores the importance of monitoring key support and resistance levels. A breach below crucial markers could signal significant declines, while a rebound may present bullish opportunities. Investors are urged to stay alert, as external factors continue to influence market dynamics.