- Capital has been flowing out of Bitcoin, suggesting the price could fall below $69,000.
- Despite the increased profits for holders, the price of ETH may soon reach $4,500.
Major cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) had a good start to March despite early predictions that the month could have a negative impact on the markets.
For example, Bitcoin rebounded to a new all-time high (ATH) on March 11, surpassing $72,000.
Ethereum, which was once behind, has caught up. According to AMBCrypto’s altcoin rating, the price of ETH has risen 8.59% over the past seven days.
This performance raised its value to over $4,000. Next, there is XRP, which has been the subject of controversy following Ripple’s long-running lawsuit with the US SEC.
However, in the last 24 hours, XRP seemed unbothered by this situation, with its price rising 18% and reaching almost $0.74. But can the cryptocurrency maintain this momentum next week?
Bitcoin price prediction
Bitcoin’s impressive performance since the beginning of the year has been linked to a surge in institutional interest through ETFs.
However, interest in retail has surged over the past few days, indicating that the bull market is already here.
However, a look at Hodler Net Position Change showed that cooling medication may be needed due to the high price. Using data from Glassnode, we saw that the metrics had dropped into negative territory.
If the Hodler net position change was positive, it would have meant that investors were accumulating BTC. However, a metric of -31.531 BTC means that holders have cashed out.
Bitcoin prices could fall if investors continue to book profits.
Source: Glassnode
A significant price reach next week could be below $69,000, a major resistance area. However, traders may need to be wary of institutional inflows.
Bitcoin price could rise to another ATH if ETF inflows hit new highs.
Ethereum price prediction
For Ethereum, AMBCrypto took into account the Market Value to Realized Value (MVRV) ratio.
At press time, the 30-day MVRV rate was 19.30%. This means that every ETH holder can earn an average profit of 19.30% if they sell their tokens.
In a bull market, this number is quite low and can mean that the altcoin is undervalued. For example, during the 2016-2017 bull market, the MVRV ratio rose to 81.6%.
The indicators are also higher in 2021. In this state, ETH price could rise higher next week, and a 10.22% rise to $4,500 could make sense.
Source: Santiment
Another reason for this could be the decline in Bitcoin dominance. In this case, ETH will receive a large share of the redistribution, which may cause its price to rise.
XRP price prediction
XRP seems to be enjoying a capital rotation from Bitcoin to altcoins. Previously, AMBCrypto reported how the token was struggling to break above $0.62 resistance.
As of this writing, the price first reached $0.71 before falling to $0.69. When considering the 90 Day Average Dollar Investment Age (MDIA), we observed the indicator slipping.
Realistic or not, the XRP market cap in terms of BTC is:
A drop like this indicates a sudden movement of previously idle tokens. When it comes to prices, we can indicate a distribution. If this continues, the price of XRP could fall to $0.65.
Source: Santiment
However, the metrics showed signs that an upward slope may be at work. If this tilt is confirmed, the bearish bias will be nullified and XRP could rise to $0.75.
Disclaimer: The information presented does not constitute financial, investment, trading or any other type of advice and is solely the opinion of the author.