Bitcoin (BTC) and XRP are currently navigating turbulent waters, with both tokens facing potential downturns as market signals suggest bearish trends. As of today, August 5, 2025, analysts are closely monitoring Bitcoin’s inability to sustain its upward momentum past critical resistance levels, while XRP grapples with breaking free from its prevailing corrective trend.
Bitcoin: Facing the Bear
Bitcoin’s recent multi-month rally has hit a significant snag. The flagship cryptocurrency struggles to maintain its footing above the macro trendline that connects its 2017 and 2021 bull market peaks. This failed breakout, combined with weakening momentum indicators, paints a rather grim picture for BTC’s short-term prospects. As explored in our recent coverage of Bitcoin slides below $117.5K amid warnings further BTC price drops next, the market sentiment remains cautious.
Omkar Godbole, a Chartered Market Technician at CoinDesk, notes that Bitcoin’s MACD histogram—while positive—has plunged from its December 2024 highs. Concurrently, the 14-week RSI has betrayed its uptrend, presenting lower highs since March 2024, further underscoring the bearish sentiment.
On a daily scale, the three-line break chart—a tool used to sift out minor noise—has flashed three consecutive red bricks. This classic bearish reversal pattern suggests a stronger grip by sellers, who are gradually steering the market. The immediate support level of $11,965 is vulnerable, with a potential dip to $100,000 looming if current trends persist. For the bulls to reclaim dominance, Bitcoin must break through the $122,056 resistance. For a broader perspective on Bitcoin’s potential prolonged correction, see Bitcoin Correction Could Linger for Months: CryptoQuant.
XRP: Wrestling with Resistance
XRP, another major player in the crypto arena, is attempting to shrug off its correction phase. Yet, the prevailing market dynamics are not necessarily in its favor. Despite a modest rally, XRP’s price is stymied by the 38.2% Fibonacci retracement level—a formidable resistance point.
The bearish undertone persists as the 5 and 10-day simple moving averages (SMAs) continue their downward trajectory, confirming the bearish bias. Over longer periods, the 50-, 100-, and 200-hour SMAs are aligned in a downward trend, reinforcing the notion of a continued downtrend. For XRP enthusiasts, a close above $3.00 could shift the focus to the $3.33 level, last seen on July 28.
Ether and Solana: Diverging Paths
Ether is not immune to the bearish winds sweeping the market. The cryptocurrency closed last week with a bearish outside week candle, signaling that sellers might be regaining control. The daily charts echo this sentiment, with a bearish cross between the 5- and 10-day SMAs confirming a short-term trend break. The path of least resistance appears to be lower unless a significant bullish intervention occurs.
Solana, on the other hand, offers a glimmer of hope for bullish traders. The token has recently defended its 61.8% Fibonacci retracement level, a critical support in its ongoing rally. Looking ahead, Solana’s 50- and 200-day SMAs are on the verge of forming a “golden cross,” a bullish signal that might herald a new uptrend. Yet, short-term bearish pressures persist, as evidenced by declining 5- and 10-day SMAs.
A Market in Flux
The cryptocurrency market remains an intricate tapestry of evolving trends and signals. Bitcoin’s potential slide to $100,000 raises questions about its long-term trajectory, while XRP’s struggle challenges its supporters to maintain faith. As Ether and Solana chart their respective courses, investors are left to ponder the dynamic and often unpredictable nature of crypto markets.
As the industry evolves, so too does the landscape of opportunities and risks. Whether these current bearish signals will cement a deeper market correction or pave the way for a robust recovery remains an open question. Traders and analysts alike will be watching closely, with August promising to be a pivotal month for digital assets across the board.
Source
This article is based on: BTC Risks Deeper Slide to $100K, XRP Challenges Corrective Trend
Further Reading
Deepen your understanding with these related articles:
- 7% dip or $141K breakout? Bitcoin speculators dictate BTC price targets
- Bitcoin Price Calms at $118K Ahead of FOMC Meeting, BONK Dumps Hard: Market Watch
- Crypto Markets See Red as Solana, XRP, Dogecoin Extend Losses
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
