From Saturday when the price of Bitcoin came up to $11177 at its highest point we have seen a decrease of 7% as it fell to $10388 at its lowest point yesterday. A minor recovery has been seen with the price coming to $10540 but it fell again to yesterday’s low level and made a lower high and is currently being traded at $10466.
On the hourly chart, you can see that the price has been forming a local descending triangle from yesterday’s low and has now tested its upper resistance level. As it apears that the resistance is found, indicated by the current red candle, we are likely to see another minor lower low compared to the yesterday’s one. The downfall we have seen since Sunday was most likely a corrective decline although it looks impulsive.
If the price has ended its higher degree correction on the 9th of September the ascending strcutre seen afterwards is the starting impulse to the upside which is set to bring the price of Bitcoin above $12k on the next run-up. This will shortly be validated as if the price continues moving to the downside, breaking out on from the descending triangle it could mean that the ascending structure.
The price of Ripple has decreased even further then the price of Bitcoin as it fell by around 9.97% from its Saturday’s high at $0.25526 to $0.23 level on yesterday’s low. At the moment the price is being traded slightly higher but is still consolidating in its lower support range.
Looking at the hourly chart, you can see that unlike in the case of Bitcoin, the price of Ripple has continued decreasing to the levels from which the whole ascending move has been made since the 9th of September. This coming back to the starting point levels could serve as an indication that the ascending structure was corrective in nature afterall.
If this is true then the downfall we have seen from Saturday could be the continuation of the impulsive move from the higher degree count and would in that case continue pushing the prices lower below its early September lows. As the price has fallen back to the $0.23 area and found support there we are now going to see from an interaction with its resistance level interaction which scenario is more likely to play out in the upcoming period.