The cryptocurrency market saw a rollercoaster ride in January, with some coins reaching record highs only to face sharp downturns. Despite the ups and downs, a few assets have managed to bounce back and are now on the verge of breaking key resistance levels, hinting at the potential for new highs in the upcoming month.
BeInCrypto has pinpointed three cryptocurrencies that appear poised for significant price surges and delved into their future price movements.
Bitcoin (BTC)
Bitcoin is leading the pack in the race towards a new all-time high, with just a 6.89% gap remaining to reach $109,568. The positive momentum in the crypto market has put BTC in a strong position for a breakout, sparking optimism among traders about its next move towards unprecedented territory.
Although Bitcoin has yet to breach the $106,193 barrier and confirm a double-bottom pattern pointing to a potential climb to $113,428, it is eyeing the immediate target of $110,000. This level holds crucial psychological significance and could confirm the ongoing bullish trend.
At the time of writing, BTC is hovering around $102,535, aiming to establish $102,235 as a support level. Holding above $100,000 is vital, as a drop below could trigger a wave of selling pressure, potentially driving Bitcoin towards $95,668.
XRP
XRP is closely mirroring Bitcoin's trajectory, standing just 9.39% away from setting a new all-time high above $3.40. The altcoin has maintained an upward trend since the start of the year, consistently staying above the trend line. This positive momentum has instilled hope among traders, anticipating a breakout.
Despite bearish signals in the market, XRP has managed to defend the $2.95 support level. Maintaining this threshold is crucial for sustaining its upward momentum. With stability in price, XRP could gather the momentum needed to challenge its previous all-time high and push past $3.40.
However, a breach of the $2.95 support level could shift market sentiment, leading to a potential decline towards $2.73 or lower. Such a scenario would negate the bullish outlook, heightening selling pressure and delaying any recovery for the altcoin.
BNB
Binance Coin (BNB) has slipped below its critical support level of $686, distinguishing itself as one of the few major cryptocurrencies to dip under such a key threshold. Currently trading at $674, BNB is striving to reclaim $686 as support, paving the way for a rebound towards the $741 resistance level.
With BNB standing merely 17.7% away from its all-time high of $793, it remains within striking distance of a breakout. A successful flip of $741 into support could trigger a rally towards $793 and potentially beyond, setting the stage for a new all-time high in the near future.
Nevertheless, if the current downward trend persists, BNB might break through its next critical support at $647. A breach of this level would invalidate the optimistic outlook, prolonging the consolidation phase for the altcoin and delaying the possibility of setting a new all-time high.