Bitcoin drops below the $58,800 support level

• Bitcoin price closes below the $58,783 support level, suggesting a continuation of the downtrend.
• Ethereum price is finding resistance around its trend retracement, following a decline.
• Ripple price closes below the 200-day EMA at $0.552, signaling a bearish move on the horizon.

Bitcoin (BTC) and Ripple (XRP) prices are closing below their key support levels, suggesting a downside is on the horizon. Moreover, the price of Ethereum (ETH) has been rejected around its resistance level, signaling a continuation of its downtrend.

Bitcoin price is poised for a downtrend as it falls below its support level

Bitcoin price closed on Sunday below the support level of $58,783 and reached a low of $57,201. On Monday, it is trading slightly higher by 0.56% at $57,674.

If the $59,560 level, its 50% price retracement level, holds as resistance, it could continue to decline to retest the daily support level at $56,000.

The Relative Strength Index (RSI) and the Awesome Oscillator (AO) on the daily chart are trading below their neutral levels of 50 and zero, respectively. Both indicators suggest weak momentum and a continuation of its downtrend.

BTC/USDT Daily Chart

However, Bitcoin price breaks above the $59,560 support level and closes above $62,042, its 61.8% Fibonacci retracement level (drawn from a high in late July to a low in early August). In this case, the bear thesis will be invalidated. BTC could rise 5.5% to revise its daily resistance level at $65,379.

Ethereum price is set for a decline after retesting its resistance barrier

Ethereum price retested its broken uptrend line (formed by connecting several August 7 lows) around $2,619 on August 29 and fell 4% over the next three days. On Monday, it is trading slightly higher by 1% at $2,445.

If the previously broken uptrend line at $2,619 continues to act as resistance, ETH could continue to decline 5% to retest the August 8 low of $2,327.

The daily chart’s RSI and AO are trading below the neutral 50 and zero levels. These momentum indicators strongly point to bearish dominance.

ETH/USDT Daily Chart

If ETH breaks above the $2,619 level and closes above the daily resistance at $2,927, forming a higher high on the daily chart, this would invalidate the bearish thesis and could rise 11% to retest the weekly resistance level at $3,236 .

Ripple price is set for a downside as it closes below the 200-day EMA

Ripple price closed below its 200-day exponential moving average (EMA) at $0.552 on Sunday. Since Monday, it is trading 0.4% higher to $0.564, facing the 200-day EMA resistance.

If the 200-day EMA continues to hold as resistance and close below $0.544, its daily XRP support level could drop 10% to retest the August 7 low of $0.492.

The RSI and AO are trading below the neutral 50 and zero levels on the daily chart. These momentum indicators signal continued bearish dominance and imminent price declines on the horizon.

XRP/USDT Daily Chart

On the other hand, if Ripple price closes above the daily resistance level of $0.626, it would change the market structure by creating a higher high on the daily chart, which may lead to a 5.3% rally to revise the high of July 31 of $0.658.