New Investor Capitulation Fuel Bitcoin Drop To $110K, Top Analyst Says XRP Won’t Stop at $4

The crypto market recently experienced a significant shakeup as a wave of new Bitcoin investor capitulation triggered a sharp decline in BTC’s price to $110,000. Despite the shakeup, analysts are optimistic that the bull market is still in play, and the Bitcoin price will rise even higher.

Meanwhile, XRP has been drawing waves of bullish sentiment from top analysts. According to EGRAG Crypto, the XRP price won’t stop at the $4 mark, predicting that its high in this cycle is much higher, despite the recent struggles at the $3 mark.

Bitcoin To Rebound Despite New Investor Capitulation

Since August 13, when Bitcoin hit its all-time high of $124,290, the world’s biggest crypto has been on a downward trend. As a result of the decline, the Bitcoin price has now plunged to a new monthly low under the $110,000 support level.

While there are macroeconomic factors at play, including Santiment’s warning of an overheated market, analysts have linked the price drop to capitulation. According to a post from CryptoQuant, new Bitcoin investors have been capitulating, fueling a healthy market shakeout. 

According to a CryptoQuant analyst, Crazzyblockk, those who own BTC for less than a month are currently on average at an unrealized loss of -3.5%. He adds that these new holders are selling, which is confirmed by a significant decrease in the supply held by these types of investors.

Crazzyblock explains that when this overhead supply from fearful sellers is removed from the market, the Bitcoin price structure becomes far more robust. 

This suggests that a Bitcoin price rebound could happen soon. BitBull certainly shares this sentiment, saying on X that the downside liquidity has been hunted and the Bitcoin price will return to $114K-$115K this week.

XRP Won’t Stop At $4, EGRAG Crypto Predicts Rally To $27

Like Bitcoin, the XRP price rally has stalled since it failed to crack the $3.7 resistance earlier in the month. As a result, the price of XRP has been consolidating, struggling under the $3 resistance, per data from TradingView.

Before this decline, the XRP price was projected by a few analysts to peak at $4 in this bull market. However, EGRAG Crypto has dismissed those claims, predicting that the XRP price could rise higher in this bull cycle.

The analyst explained that in the next 6 days, the XRP price will close a full-body candle on the 2-month timeframe above the $2 mark for the very first time in its history. He further notes that this would become the biggest 2M candlestick closing that would ever be recorded by the XRP coin.

According to EGRAG, this bullish chart could potentially set up XRP for a rally soon. As the XRP price continues to stagnate around the $2.9 price level, the analyst shared four upside targets that the altcoin could reach. The first one is at Fib 1.272 ($8), aligning with the $3.31 level.

While $8 will already mark a new all-time high for XRP, the analyst suggests that the altcoin could rise even higher. The second target is at $13, and his ultimate target for XRP in this bull market is $27, which will represent an increase of more than 930% from the altcoin’s current range.