Bitcoin News Today: Bitcoin and XRP 8.37% Drop Amid Profit-Taking, Technical Indicators Signal Uptrend Continuity

Bitcoin and XRP Pull Back, But Bulls Have Reason for Optimism: Analysis

Bitcoin’s price retreated to $117,763 after failing to break above $121,000, while XRP fell 8.37% in 24 hours to $3.25 following a recent all-time high near $3.60. Despite the pullback, technical indicators suggest a healthy consolidation within a broader uptrend rather than a reversal. The crypto Fear & Greed Index remains at 70, reflecting sustained bullish sentiment, with over 70% of users on Myriad predicting Bitcoin could reach $125,000 before dipping to $105,000 [1].

The decline in Bitcoin and XRP aligns with typical profit-taking behavior after rapid gains. Bitcoin’s daily chart shows a red candle closing at $117,763, maintaining its position above critical support levels like $112,000 and key moving averages. The 50-day exponential moving average (EMA) sits at $110,976, and the 200-day EMA at $88,217, with Bitcoin trading well above both. This “golden” alignment, where shorter-term averages exceed longer-term ones, reinforces the likelihood of a sustained uptrend [2].

Technical metrics further support the bullish case. Bitcoin’s ADX (Average Directional Index) is at 29, above the 25 threshold that confirms trend strength, indicating the uptrend remains intact despite the pullback. The Relative Strength Index (RSI) stands at 60 on the daily timeframe, avoiding oversold territory (below 30) and suggesting room for further consolidation without undermining the broader move higher [3]. For XRP, the ADX is at 54, signaling a “power trend” where corrections are typically short-lived. Its price remains 25% above the 50-day EMA ($2.63), demonstrating resilience in the face of today’s 8.37% decline [4].

Fundamental factors underpin the optimism. JPMorgan’s ongoing crypto-backed loan initiative validates Bitcoin and XRP as collateral assets, while the recent passage of the GENIUS Act provides regulatory clarity for U.S. stablecoin issuers. Analysts suggest these developments could attract significant capital inflows from traditional markets into crypto [5].

Key levels to watch include Bitcoin’s immediate support at $115,000 and strong support at $112,000, with resistance near $121,000 and the all-time high of $123,091. For XRP, support is currently at $3.25 (23.6% Fibonacci retracement level), with a strong support zone at $3.00 and resistance near $3.60 [6].

The Squeeze Momentum Indicator shows slightly bearish momentum for Bitcoin on the daily timeframe, consistent with today’s red candle. However, isolated metrics like this should be interpreted cautiously, as they often indicate a compression phase rather than a structural shift [7]. XRP’s RSI at 66 reflects a pullback from overbought levels but remains in bullish territory, signaling a healthy digestion of gains rather than a reversal.

Sources:

[1] [title1] [url1]

[2] [title2] [url1]

[3] [title3] [url1]

[4] [title4] [url1]

[5] [title5] [url1]

[6] [title6] [url1]

[7] [title7] [url1]

Note: All sources reference the original article at [url1] (https://decrypt.co/331438/bitcoin-xrp-price-pull-back-bulls-optimism-analysis).