Will ETH Outperform BTC? | BTC, XRP, ADA, ALGO Analysis
Hi and welcome, everyone. It's Martin here with CryptoGains. First of all, I just want to share with you that I'll be away for a couple of days, and there will be no CryptoGains videos until Wednesday next week, which is Wednesday, 7 May.
With this thing clear, now, let's begin with a brief analysis of Bitcoin. And we're using content from be[in]crypto, very high-quality technical analysis, noting that the long term supports it between $46,900 and $47,700 and that we're facing strong resistance around $55,800. And, most importantly, that, actually, the short term indicators are bearish, and we're going to see how that unfolds on the technical charts in a minute.
Also, another key development is that, according to JP Morgan, Ethereum should or is very likely to outperform Bitcoin over the long term. And they cite a couple of reasons. And one of them, of course, is that Ether is very resilient, and it's one of the major crypto networks upon which various applications are built, and a lot of transactions go through Ethereum, as well. And here, furthermore, there is a quote from them that "in a market with significantly higher spot turnover, it is plausible that the underlying base of long exposure in error is less reliant on leverage in the form of futures and swaps". Just another case for the resilience and robustness of the Ethereum network.
And finally, the key development in Ripple. After some positive development with the SEC case, now data from sentiment indicates that, first of all, we're still in a state of negative social sentiment, which usually is a good opportunity to begin buying, and also that actually institutional holders are accumulating Ripple. So let's move to the technical charts and see how we can trade some of these insights.
For Bitcoin on the one-hour chart, $54,000 is a critical dividing line. Above that level, buying Bitcoin, which targets at $55,000, $55,500 and $56,500. Conversely, below $54,000, selling Bitcoin, with targets at $53,400 and $52,400 on the short side.
Next, let's take a look at Ethereum. OK, Ethereum's looking good. At first, this chart may seem very busy, but let me explain it, and you'll start making more sense of it. Because we're going into new all-time highs, it's difficult to predict support and resistance levels based on past data. So what I'm using here is the Fibonacci analysis, which indicates, based on mathematical levels, the likely next resistance areas as Ethereum is charting higher. But the critical point is $2710. Above that level, buying Ethereum. Of course, the first target is $2760, the recent all-time high on the short side. The targets are at $2780 and $2710.
However, on the long side, we can see that based on the Fibonacci levels, we could be seeing levels with strong resistance at $2792 and $2869, and then ultimately $2980 is a very significant 1.618 level of Fibonacci extension.
Now let's move to Ripple. With Ripple, the pivotal point is $1.385. Above that level, buying Ripple, with targets at $1.415 and $1.45. Conversely, below $1.385, it's more than likely that the downside pressure will prevail, taking us down to $1.355 and $1.33.
Now let's take a look at Cardano. So here are the important levels to look for in Cardano. Above $1.355, which used to be resistance, good buying opportunities, with targets at $1.41 and $1.51, which is the longer-term resistance area. Conversely, below $1.355, selling Cardano, and the nearest support or target for Take Profit we can see comes at $1.295.
And, finally, let's take a look at Algorand. Algorand is a cryptocurrency we recently added to the StormGain platform, and it presents a very good opportunity based on very simple technical analysis. Horizontal support and resistance above $1.296. Buying Algorand, with targets at the nearest resistance $1.314 and then at the longer-term resistance of $1.337. Conversely, below $1.296, we could sell Algorand, with targets at $1.28 and $1.255 on the short side.
Thanks for joining me today. As a reminder, there will be no CryptoGains until Wednesday next week. Keep learning with the video education section in the CryptoGains market insight subsection. And remember to join the Crypto Signals Made Easy channel for lots of insight and trading ideas. Thanks for joining me today. Trade wisely, and I'll see you next week.