Key Moments
- Bitcoin (BTC) is retesting a key breakdown zone at $65,729 after falling to a daily low of $62,510 earlier this week.
- Ethereum (ETH) rebounded from the $1,800 psychological level and now trades near $1,916, with mixed momentum signals.
- XRP is trying to reclaim a broken falling-wedge trendline after sliding toward weekly support at $1.30.
Bitcoin Attempts to Reclaim Broken Support
Bitcoin (BTC) is staging a cautious rebound on Wednesday. Earlier this week, a correction pushed the price out of its consolidation range. On Monday, BTC closed below the lower boundary at $65,729. Selling pressure continued into Tuesday, when the asset hit a daily low of $62,510. As of Wednesday, BTC is retesting the breakdown zone near $65,729.
However, failure to close above $65,729 would keep downside risks in play. In that case, the pullback could extend toward the next major support at $60,000.
Momentum signals are improving but remain mixed. The Relative Strength Index (RSI) stands at 36 and is rebounding from oversold levels. Therefore, bearish pressure appears to be fading. Meanwhile, the Moving Average Convergence Divergence (MACD) has posted a bullish crossover. This suggests a constructive backdrop if buyers maintain control.
If BTC secures a daily close above $65,729, upside potential could expand. In that scenario, price may revisit the upper consolidation boundary at $71,746.
| Bitcoin Technical Levels | Level |
|---|---|
| Lower consolidation boundary / breakdown zone | $65,729 |
| Recent daily low | $62,510 |
| Key support | $60,000 |
| Upper consolidation boundary | $71,746 |
| RSI | 36 |
Ethereum Rebounds After Testing $1,800
Ethereum (ETH) is also recovering on Wednesday. The asset has been in a correction since mid-January. Last week saw a modest pullback. Then, on Tuesday, ETH dropped another 5.5% and tested the key $1,800 level. As of Wednesday, ETH trades near $1,916, signaling a partial rebound.
If Ethereum resumes its decline and closes below $1,800, further losses may follow. The next downside target sits near the lower consolidation band at $1,747. Moreover, a sustained break below $1,747 could expose support around $1,669.
ETH’s technical signals mirror Bitcoin’s. The RSI shows fading bearish momentum. At the same time, the MACD has produced a bullish crossover. Consequently, further upside is possible if buying pressure strengthens.
On the upside, continued recovery could lift ETH toward the upper consolidation boundary at $2,149.
| Ethereum Technical Levels | Level |
|---|---|
| Psychological support | $1,800 |
| Current price (Wednesday) | $1,916 |
| Lower consolidation range | $1,747 |
| Daily support | $1,669 |
| Upper consolidation range | $2,149 |
XRP Attempts to Reclaim Broken Falling-Wedge Trendline
XRP is also participating in the midweek recovery. Earlier this week, the token broke below a falling wedge pattern. On Tuesday, it moved closer to weekly support at $1.30. As of Wednesday, XRP is bouncing modestly and retesting the broken trendline.
If buyers fail to hold this level, the decline may resume. In that case, XRP could revisit weekly support at $1.30. Furthermore, a daily close below $1.30 would weaken the structure and may open the door to the February 6 low at $1.11.
Momentum indicators remain mixed. The RSI shows easing bearish pressure. Meanwhile, the MACD displays a bullish crossover. Thus, downside momentum is fading even as price remains fragile.
Conversely, if the trendline turns into support, XRP could extend its recovery. The next upside target is the psychological level at $1.50.
| XRP Technical Levels | Level |
|---|---|
| Weekly support | $1.30 |
| February 6 low | $1.11 |
| Psychological resistance | $1.50 |
Key Cryptocurrency Metrics Explained
Circulating Supply
The circulating supply reflects how many tokens are available in the market. Developers set issuance rules through mining, staking, or other predefined mechanisms. Therefore, supply growth follows the blockchain’s algorithm.
However, circulating supply can also shrink. Token burns remove assets permanently. In addition, coins sent to incompatible addresses may be lost and effectively removed from circulation.
Market Capitalization
Market capitalization equals circulating supply multiplied by the current price. This metric shows the total market value of a cryptocurrency. Therefore, it provides a quick snapshot of relative size.
Trading Volume
Trading volume measures how many tokens change hands over a set period, such as 24 hours. It combines activity from centralized and decentralized exchanges.
Traders use volume to assess sentiment and liquidity. Rising volume often signals strong interest and demand. Conversely, declining volume may suggest weakening participation.
Funding Rate
Funding rates help align perpetual futures prices with spot prices. Exchanges use periodic payments between traders to maintain this balance.
When the funding rate is positive, perpetual contracts trade above the mark price. In this case, long traders pay short traders. Conversely, a negative rate means perpetual prices are below the mark price, so short traders pay longs.
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