Bitcoin is currently on the verge of breaking an important resistance level on the daily charts. The leading cryptocurrency reached a high of $94,919 before experiencing a pullback. If Bitcoin manages to surpass the $95,000 mark, it could potentially trigger a rally in altcoins such as XRP, ADA, and Dogecoin, all of which are currently down by more than 2%.
Speaking of XRP, the altcoin is currently exhibiting signs of a long-term bullish pattern. Analysts are optimistic about the possibility of one more price surge before a major correction takes place. However, the short-term outlook for XRP remains uncertain. While there is some minor support between $2.16 and $2.26, the lack of strong structure in recent price action and weak momentum raise concerns. A drop below $2.11 could invalidate the current short-term bullish wave count and potentially delay any upcoming rally.
Analyst EGRAG Crypto has set his sights on a ‘mega monthly candle close’ for XRP, with a target price of $27. The chart analysis suggests a potential move towards the $55 level in the long run.
The big question on everyone’s mind is whether Bitcoin will rally in May. Historically, May has been associated with the saying “Sell in May and go away,” but Bitcoin’s performance tells a different story. Over the past 15 years, Bitcoin has ended May in the green 9 times and in the red 6 times, indicating a 67% chance of positive returns. Additionally, data from Coinglass reveals that Bitcoin has averaged a return of over 7.9% in May over the last 12 years, suggesting that May has been a favorable month for Bitcoin.
In conclusion, while Bitcoin is approaching a crucial resistance level and altcoins like XRP are showing signs of a potential rally, the outcome for May remains uncertain. Past performance may offer some insights, but it’s important to remember that the cryptocurrency market is highly volatile and unpredictable. Investors should exercise caution and conduct thorough research before making any investment decisions in the coming month.