BTC, ETH, and XRP technical indicators have fully turned bearish, and mainstream tokens may face a 10% depth pullback.

The cryptocurrency market has shown weak trends recently, with the three major mainstream tokens Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) all experiencing significant declines this week. Technical indicators have turned bearish across the board, suggesting that a deeper adjustment may be imminent. This article will analyze the current market situation in depth, providing investors with key price levels and potential risk alerts.

Bitcoin: 50-day moving average breached, $107,000 becomes key support

(Source: Trading View)

The price of Bitcoin hovered around $112,300 on September 24, falling nearly 3% over the past two days. Last Friday, BTC failed to hold above the daily support level of $116,000, and subsequently declined for four consecutive days by 3.19%, eventually breaking below the 50-day Exponential Moving Average (EMA) of $113,794.

· Technical indicators fully turn bearish

On the daily chart, Bitcoin's Relative Strength Index (RSI) has fallen to 42, clearly below the neutral level of 50, indicating that sellers are taking control of the market. More concerning is that the Moving Average Convergence Divergence (MACD) indicator showed a bearish crossover on Monday, issuing a clear sell signal. The red rising histogram is below the neutral level, further confirming the continuation of bearish momentum and the downtrend.

· Key Price Levels

If Bitcoin continues to adjust, the next important support level is at $107,245. The performance at this level will determine whether BTC will enter a deeper correction in the short term. Conversely, if BTC can regain and hold above the 50-day EMA at $113,794, it may retest the resistance level of $116,000.

Ethereum: Breaks Key Support, $3,600 Becomes Next Target

(Source: Trading View)

Ethereum's market performance is weaker than Bitcoin's, having closed below the daily support level of $4,488 on Friday, followed by a further fall of 6.77% over the next four days, and on Tuesday it even fell below the next key support level of $4,232. As of September 24, the ETH price hovers around $4,171.

· Fibonacci retracement levels become the focus of attention

If ETH continues the current downtrend, the next important target will be the 61.8% Fibonacci retracement level of $3,593, which means there may still be about a 14% downside potential from the current price.

Similar to Bitcoin, both the RSI and MACD indicators of Ethereum support a bearish view, indicating that the downward trend is still ongoing. This consistency in technical indicators increases the likelihood of further declines.

· Reverse Conditions

To reverse the current downtrend, ETH needs to regain and hold above the daily resistance level of $4,232. If this can be achieved, it may continue the rebound momentum, pushing towards the next resistance level of $4,488.

XRP: Falls below Fibonacci key level, $2.35 becomes the next target

(Source: Trading View)

Ripple (XRP) failed to find support near the 61.8% Fibonacci retracement level of $2.99 last Friday, falling sharply by 6.62% on Tuesday. As of September 24, the price of XRP hovers around $2.82, having accumulated a nearly 5% decline so far this week.

· The technical indicators continue to deteriorate

Like Bitcoin and Ethereum, the momentum indicator for XRP has also turned bearish, indicating the possibility of deeper adjustments in the future. If XRP continues to fall and closes below the daily support level of $2.72, it may extend its decline to the next support level of $2.35, which means there is still about a 17% downside potential from the current price.

· Potential Rebound Path

However, if XRP can stabilize and regain its current level, it may challenge the resistance level of $2.99. The performance at this level will determine whether XRP can reverse the current downtrend.

Market Overall Analysis: Three Major Factors Leading to the Weakness of Mainstream Tokens

1. Profit-taking pressure increases

After Bitcoin broke through the historical high of 110,000 USD and Ethereum surpassed 4,500 USD, the market naturally faced profit-taking pressure. Long-term holders and institutional investors began to lock in some profits, leading to increased selling pressure.

2. Macroeconomic Uncertainty

The slowdown in global economic growth, persistent inflationary pressures, and escalating geopolitical tensions have all contributed to uncertainty in the risk asset markets. In this environment, investors tend to reduce their risk exposure, and crypto assets, being high-risk assets, are naturally affected.

3. Technical Indicator Overbought Correction

After a rapid increase in the early stage, the technical indicators of mainstream cryptocurrencies have generally entered the overbought zone. The current pullback is considered a healthy price correction from a technical perspective, which helps the market to release the overheating pressure.

Investment Strategy Recommendations

In the current market environment, investors should consider the following strategies:

Build positions in batches: Use price pullbacks to gradually increase holdings, avoiding a one-time heavy investment.

Pay attention to key support levels: Bitcoin's $107,245, Ethereum's $3,593, and XRP's $2.35 are important technical support levels, and the performance at these levels will determine the short-term trend.

Set Stop Loss: It is crucial to set stop loss properly in a market environment with increased volatility.

Pay attention to market sentiment indicators: Fear and Greed Index and other market sentiment indicators can help determine whether the market is oversold.

Maintain cash reserves: Keep some funds to cope with potential further falls and seize better entry opportunities.

Conclusion: Cautious in the short term, optimistic in the medium to long term

Although the current technical indicators show that the three major mainstream tokens may face further adjustments, the fundamentals of the crypto assets market remain strong in the medium to long term. The continuous increase in institutional adoption, the gradual clarification of the regulatory environment, and the ongoing technological innovations all provide solid support for the market.

Investors should remain rational and avoid emotional decision-making, viewing the current market adjustment as a potential opportunity for long-term investment. At the same time, closely monitor changes in technical indicators and key price levels, and flexibly adjust investment strategies.