Bitcoin price started a fresh decline below the $90,000 support. BTC must stay above the $86,000 zone to avoid more losses in the near term.

• Bitcoin started a fresh decline from the $95,500 zone.
• The price is trading below $90,000 and the 100 hourly Simple moving average.
• There is a short-term triangle forming with resistance at $89,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The pair could start another decline if it fails to stay above the $90,000 zone.

Bitcoin Price Dips Sharply

Bitcoin price failed to stay above the $95,500 level and started a fresh decline. BTC declined heavily below the $93,200 and $92,200 support levels.

The price even dived below the $90,000 level. It tested the $86,000 zone. A low was formed at $86,000 and the price is now consolidating losses. It is back above the $88,500 level and the 23.6% Fib retracement level of the downward move from the $96,482 swing high to the $86,000 low.

Bitcoin price is now trading below $91,200 and the 100 hourly Simple moving average. On the upside, immediate resistance is near the $89,000 level. There is also a short-term triangle forming with resistance at $89,000 on the hourly chart of the BTC/USD pair.

The first key resistance is near the $90,000 level. The next key resistance could be $91,250 or the 50% Fib retracement level of the downward move from the $96,482 swing high to the $86,000 low.

A close above the $91,250 resistance might send the price further higher. In the stated case, the price could rise and test the $93,500 resistance level. Any more gains might send the price toward the $95,000 level or even $96,400.

Another Decline In BTC?

If Bitcoin fails to rise above the $90,000 resistance zone, it could start a fresh decline. Immediate support on the downside is near the $88,000 level. The first major support is near the $87,250 level.

The next support is now near the $86,000 zone. Any more losses might send the price toward the $85,000 support in the near term. The main support sits at $83,200.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $88,000, followed by $86,000.

Major Resistance Levels – $90,000 and $91,250.

The broader market downturn since the beginning of February has affected XRP’s price. The fourth largest crypto by market capitalization has lost 10% of its value over the past week and now trades at $2.30.

This decline has intensified bearish sentiment, leading XRP futures traders to increase their short positions against any potential recovery. 

XRP Faces Strong Selling Pressure as Bearish Sentiment Deepens

XRP’s persistent price dip has strengthened the bearish bias against it by its future traders. On-chain data reflects the pessimism as XRP’s long/short ratio indicates that more traders are betting on further downside rather than a rebound this week. As of this writing, this ratio stands at 0.99.

An asset’s long/short ratio compares the number of long positions (bets that the price will rise) to short positions (bets that the price will fall) in the market. When the ratio is above 1, there are more long than short positions, indicating that more traders are betting on a price increase.

Converesly, as in XRP’s case, a ratio below one suggests that traders are largely betting on a price decline. This signals a strong bearish sentiment in the market, reinforcing the likelihood of further downside.

In addition, XRP’s negative weighted sentiment confirms this bearish bias. At press time, this metric is below zero at -0.66. 

An asset’s weighted sentiment measures its overall positive or negative bias, considering both the volume of social media mentions and the sentiment expressed in those mentions. When it is negative, as in the case of XRP, it is a bearish signal.

It suggests that XRP investors are increasingly skeptical about its near-term outlook, prompting them to trade less and worsening the price dip. 

XRP Teeters on Key Support

Since reaching an all-time high of $3.40 on January 16, XRP has traded within a descending triangle. This bearish pattern is formed when an asset’s price creates lower highs while maintaining a strong support level, resulting in a downward-sloping trendline that converges with a horizontal base. 

The pattern indicates that sellers are gaining control, and a breakdown below support could lead to further declines. At press time, XRP trades at $2.30, slightly above this support formed at $2.27.

If this line breaks, XRP’s price could drop to $2.13. If selling pressure gains momentum at this level, the token’s value could further dip toward $1.47.

On the flip side, if market sentiment becomes bullish, it would drive up XRP’s demand and could cause its price to break above the descending triangle to reach $2.81.

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