Bitcoin awaits the final stage of price discovery, jumpstart crypto bull run

• Bitcoin price bounces above $ 19,000 despite on-chain metrics turning bearish.
• Ethereum is struggling to overcome the hurdle at $ 600, as on-chain metrics suggest investors have retreated to the sidelines.
• Ripple is on the verge of correcting to $ 0.45, especially if the support levels at $ 0.6 and the 50 SMA are shattered.

The cryptocurrency market is returning to bullish after retracing in the past 24 hours. All the top ten cryptocurrencies are in green, considering the hourly percentage change. Bitcoin leads the pack after claiming land above $ 19,000.

The fight for higher annual highs is still ongoing, especially for Bitcoin and Ethereum. However, it is essential to proceed with caution, as discussed above, using the percentage of Bitcoin’s transfer volume in profit.

Similarly, Ethereum investors don’t seem to be thrilled with the launch of ETH 2.0, a situation that could wreak havoc for the smart-contract token in the short term.

Bitcoin resumes the uptrend by aiming for $ 20,000

The bellwether cryptocurrency has returned to trading above $ 19,000. Rejection from levels close to $ 20,000 lost traction before reaching $ 18,000. Buyers took advantage of the simple moving average 50 support on the 4-hour chart and the ascending trend line to force the ongoing reversal.

At the time of writing, BTC / USD is dancing slightly above $ 19,200, while the bulls work very hard to raise $ 20,000. The cheerful optimism appears to have been validated by the Relative Strength Index, as it bounces from the midline towards the overbought area.

Bitcoin could trigger a massive bull run if it breaks resistance at the new all-time high reached at 19.915. Trading above $ 20,000 would see the cryptocurrency king enter price discovery mode, possibly even surpass the $ 22,500 forecast made on Tuesday.

BTC / USD 4-hour chart

On the other hand, a bearish narrative will enter the picture if Bitcoin ends the day below $ 19,000. Price action below the ascending trend line, as well as the 100 SMA, could trigger massive sell orders, creating enough volume to force BTC into a downtrend with a target of 200 SMA.

Ethereum loses traction due to a breakdown to $ 525

The smart contract token did not break the $ 600 hurdle after falling from the new annual high of around $ 636. The bears appear to be gaining momentum under the short-term resistance. On the downside, support is provided by an ascending trend line.

Trading below the trend line will likely be detrimental to the progress made since the Thanksgiving crash. The 50 SMA is expected to absorb some of the selling pressure below $ 600. However, if ETH falls further, the price could revisit the $ 525 (formerly resistance) zone.

As Ether supply increases, buyer congestion at $ 500 and 200 SMA will come in handy in the event of prolonged losses. As discussed earlier, most on-chain metrics have turned bearish, hence the potential for a sizable correction before Ethereum resumes the uptrend.

ETH / USD 4-hour chart

On the upside, Ethereum will abandon the bearish outlook if the price closes the day above $ 600. Furthermore, we assume that stability arrives on the market above this crucial level. If so, buyers will have plenty of time to plan the mission to earn $ 720, as predicted by FXStreet’s Crypto Editor, Tanya Abrosimova.

Ripple on the verge of massive retreat if critical support breaks

XRP holds the support provided by the 50 SMA firmly on the 4-hour chart. As explained earlier on Wednesday, the need for support emerged after the cross-border token slipped under an ascending wedge pattern.

If buyer congestion at the 50 SMA is dispersed, Ripple will likely ease into another slump with the potential to reach last week’s support at $ 0.45. The 100 SMA, slightly above $ 0.45, could absorb some of the selling pressure. However, if the bearish hold intensifies, XRP will fall to the 200 SMA, slightly above $ 0.35.

XRP / USD 4-hour chart

For now, stability has been enhanced by the RSI as it is slightly above the midline. Closing the day above the 50 SMA or the support at $ 0.6 could help focus the bulls’ attention to higher levels, preferably $ 0.7 and $ 0.75. Price action beyond the crucial $ 0.75 could pave the way for the final leg at $ 1.