- Bitcoin halving is around the corner but the Fear & Greed Index signals continued bearish momentum that could dwarf a pre-halving pump.
Bitcoin halving is among the most anticipated events of 2020 in the cryptocurrency space. Besides, the block reward halving is just a few weeks away. Halving will see the reward given to miners for a block mined reduced by half from 12.5 BTC to 6.25 BTC. Following halving there will be a significant drop in Bitcoin supply and inflation rate. Consequently, forces od demand and supply post-halving are expected to culminate in an increase in Bitcoin price in form of a rally. Google Trends data has already show searches of “Bitcoin halving” shooting to all-time highs and even surpassing those of Bitcoin.
Will Bitcoin Halving Impact The Altcoins?
Altcoins have always been correlated with Bitcoin price action. Therefore, a bullish Bitcoin market could be significantly impact the altcoin market starting with Ethereum (the largest altcoin in the market). However, as discussed earlier in Bitcoin price analysis, the Crypto Fear & Greed Index suggests that investors are bearish even though halving is around the corner. A Bitcoin pre-halving rally looks bleak especially after the crypto retreat from highs above $7,500 to test support at $6,575.
Ethereum and Ripple Technical Picture
Ethereum is trading at $159.92 at the time of writing. It has stepped above $160 but failed to sustain gains towards $170. Its upside is limited by the 100 SMA in the 4-hour range. More resistance is expected at $170 and at $176 respectively. On the downside, ETH/USD is supported by the ascending trendline and the 50 SMA. Also in line to offer support $152 and $150 levels.
ETH/USD 4-hour chart
Ripple price is stuck below the immediate resistance at $0.19. It is exchanging hands at $0.187 while embracing channel support and the 50 SMA support in the 4-hour range. In spite of the stalling, the RSI shows that the price is in the hands of the bulls. Therefore, a break above $0.19 is key for the breakout above the critical $0.20.
XRP/USD 4-hour chart