Here’s what to expect after FTX’s collapse
- Bitcoin price is showing a strong bullish reaction after sweeping the $17,593 barrier.
- Ethereum is pricing a stable support level at $1,280 but waiting for the big crypto signal to make the next move.
- Ripple price is sliding back to the $0.336 to $0.466 range and is currently struggling with the midpoint of the range at $0.401.
The Bitcoin price, along with Ethereum, Ripple and other altcoins, has undergone a massive selloff in the last 24 to 48 hours following the recent collapse of Sam Bankman Fried’s exchange FTX.
Before the well-known crypto exchange was acquired by Binance, the original token FTT fell as a result of the balance rumors.
Read more: Binance buys FTX to end FTT-induced FUD
Regardless of the recent buying, the market has sold off, but there could be a chance for a comeback, especially if the Bitcoin price manages to stabilize.
Bitcoin price is trying to recover
Bitcoin price rallied 15% in the past three days, sweeping down the June 18 swing at $17,593. This development has put BTC at a critical point where recovery is only possible if it can climb above the $19,000 level.
In such a case, a recovery bounce to $20,742 could be underway. For the next few days, if the buyers step up, the range between $18,500 and $20,742 is where BTC will remain. This development is necessary to build momentum, especially if it is the start of a run to $25,000 or $28,000.
BTC/USD 1-Day Chart
However, things could take a gloomy turn if the Bitcoin price falls below the $18,500 support. If BTC produces a daily candlestick close below $17,593, it will invalidate the bullish outlook and trigger a correction to the next support level of $15,551.
Ethereum price at a turning point
Ethereum price faces a brutal rejection of the twelve-hour demand zone, which extends from $1,675 to $1,750. ETH lost roughly 26% in under four days and is currently retesting the $1,280 range.
A breakdown of this level will prove fatal for holders, the Bulls have one last chance to defend this area. Depending on Bitcoin’s outlook, a resurgence of buying pressure could push ETH back to $1,402.
Only in a strong bullish case can investors expect the Ethereum price to mark the psychological level of $1,500.
ETH/USD 12-hour chart
On the other hand, if the Ethereum price breaks below $1,280, it will invalidate the bullish thesis and open the way to return to the midpoint of the $1,080 range.
Ripple price crumbles under pressure
The Ripple price made several lower highs between late September and early November. This weakness was followed by a breakdown of the $0.466 support level, leading to a 28% crash. As a result, the XRP price re-entered the $0.336 to $0.466 range.
So far, the Ripple price has jumped 16% and is currently hovering below the midpoint of $0.401. A reversal of this barrier to a support floor will be key to recovering recent losses. In such a case, the XRP price could rise by 12% to $0.447.
XRP/USD Chart
Regardless of the recovery, a failure to push past the $0.401 barrier would signal weakness among buyers. This development could see the Ripple price return to $0.336, where buyers could retry the rally.
