Week's Bloodbath: BTC Struggles Below $88K, ETH Cracks Key Support, XRP Tests the $1.86 Floor

The crypto market is nursing deep wounds heading into the weekend, with Bitcoin, Ethereum, and XRP all surrendering critical technical levels in what marks a dramatic shift from earlier bullish sentiment. The losses are real—BTC down roughly 8%, ETH shedding 9%, and XRP plunging 10%—and the conversation has shifted from “when will we pump again” to “where does this actually stop?”

Bitcoin Below the $90K Barrier: A Structural Test Underway

Bitcoin’s technical armory has been dismantled piece by piece this week. The asset punched through the 61.8% Fibonacci retracement at $94,253 (derived from the April low of $74,508 to October’s peak of $126,299) with little fanfare, and the psychological $90,000 handle—long viewed as an immovable foundation—cracked decisively on Thursday. The 5% cascade that followed pushed BTC to $86,637 at close, with Friday’s price action settling near current levels of $87.87K according to latest data.

For holders who accumulated on the belief that $90,000 represented an impenetrable floor, the reality is sobering. The $85,000 zone is now the line in the sand. A convincing break below this level would likely trigger algorithmic stop-losses, potentially opening a path toward the $80,000 round number—a threshold that separates a corrective pullback from a more ominous structural breakdown.

The daily RSI has collapsed to readings around 23, signaling extreme oversold territory. While historically such levels can precede sharp counter-movements, they’re equally likely to be a symptom of panic selling rather than a definitive bottom signal. Bulls need to reclaim $90,000 just to rebuild credibility and trap late-shorting positions.

Ethereum’s $3,017 Breakdown: The Consolidation Zone Collapses

Ethereum failed spectacularly when attempting to defend the $3,592 trendline last week, and Thursday’s close below $3,017—a former support level that anchored the consolidation range—confirmed the severity of the move. With ETH now trading near $2.95K (per latest data), the psychology has flipped entirely. What was once a safe haven for range traders is now overhead resistance; those who bought the lows of that range are now forced sellers.

The 61.8% Fibonacci defense at $2,749 represents the next meaningful line. If this fails to hold, it signals that the market has transitioned from a healthy correction into a deeper revaluation. Until ETH can reclaim $3,017, every bounce looks like an exit opportunity rather than a reversal signal.

The downside momentum mirrors Bitcoin’s severity, and the technical damage runs deep. Recovery is possible, but the odds favor further testing of support levels before any meaningful relief rally materializes.

XRP: Capitulation Under $2—Oversold But Still Falling

XRP has borne the brunt of this week’s carnage, with the token collapsing 10% and piercing the $2.00 psychological level that many traders viewed as a natural floor. The rejection from the 50-day exponential moving average at $2.47 was the initial trigger, but the momentum carried further than expected.

At $1.86 (latest reading), XRP trades with a -0.53% 24-hour change, and the chart is pointing toward $1.77 as the next stabilization zone where longer-term accumulators might dry up the selling pressure. The daily RSI at 32 suggests the market is stretched into oversold conditions—not a guarantee of reversal, but a signal that the reward-to-risk ratio for new shorts is becoming unfavorable.

The 50-day EMA at $2.47 remains the hurdle for any sustained bounce, and until that level is reclaimed, rallies are more likely to be capitulation shakeouts than trend reversals.

The Bigger Picture: Where’s the Bottom?

This isn’t just a week-long blip; it’s a structural test of the market’s commitment to higher prices. All three assets have breached key technical anchors, and the emotional selling is in full throttle. While oversold RSI readings can precede reversals, they can also simply mark the beginning of a deeper correction.

For traders, the risk management question is unavoidable: do the oversold conditions offer a compelling entry, or is capitulation still ongoing? The data suggests caution—until Bitcoin reclaims $90,000, Ethereum retakes $3,017, and XRP mounts a challenge at $2.47, the path of least resistance remains lower.

The weekend could bring volatility relief or further liquidation cascades. Either way, the technical damage is real, and the burden of proof now lies with the bulls.