Bitcoin, Ethereum and XRP are showing potential rebound setups after recent declines, according to crypto analyst Ali Charts. In a series of posts published on October 8, the analyst said the TD Sequential indicator had flashed four-hour buy signals for all three major cryptocurrencies.
The signals come after notable short-term declines across the market. Bitcoin fell from $86,976 on October 5 to $82,150, representing a 5.55% decline, while Ethereum dropped from $2,738 to $2,537. XRP also weakened from $1.53 to $1.39 before its four-hour chart produced a TD Sequential buy signal.
The TD Sequential is a technical indicator used by traders to identify potential exhaustion in price trends. A buy signal can indicate that selling pressure may be approaching exhaustion, but it does not guarantee that an asset will reverse higher.
For Bitcoin, Ali Charts said the four-hour TD Sequential was flashing a buy signal following the recent decline. The analyst suggested the pullback could be approaching its later stages and that traders should watch for evidence of a rebound.
BTC and ETH Setups Point Toward Key Recovery Levels
Bitcoin’s move from $86,976 to $82,150 represents a significant short-term retracement, placing the asset at a level where traders may be watching closely for signs that sellers are losing momentum. The reported TD Sequential signal provides one technical reason for monitoring a potential recovery.
However, confirmation remains important. A technical buy signal can fail if selling pressure continues, meaning Bitcoin would need to establish stronger demand before the indicator could translate into a sustained move higher.
Ethereum is showing a similar setup. Ali Charts said ETH declined 7.36%, moving from $2,738 to $2,537 before the four-hour TD Sequential produced a buy signal.
The analyst identified $2,620 as the first recovery level to watch if buyers confirm the signal. A stronger rebound could then put $2,650 in focus, although both levels represent technical targets rather than assured price outcomes.
The Ethereum setup is particularly notable because the asset experienced a larger percentage decline than Bitcoin over the cited period. The ability of ETH to recover from $2,537 could therefore provide traders with an indication of whether the latest sell-off is losing momentum.
XRP has also joined the potential rebound setup. According to Ali Charts, XRP’s four-hour TD Sequential flashed a buy signal after the token fell from $1.53 to $1.39.
XRP Faces Test at Recent Local Low
The analyst also pointed to an earlier TD Sequential sell signal on XRP that closely aligned with the cryptocurrency’s local high. That historical alignment is being used as a reference point for assessing whether the latest buy signal could similarly identify a local low.
The key question for XRP is therefore whether buyers respond to the latest signal with enough strength to establish a short-term bottom. A failure to attract buyers would weaken the interpretation and could leave XRP vulnerable to further downside.
Across all three assets, the technical picture has a common feature: the buy signals appeared after meaningful declines. This makes the coming price action important because traders will be looking for confirmation that selling pressure has eased rather than relying on the indicator alone.
Bitcoin’s $82,150 level, Ethereum’s $2,537 area and XRP’s $1.39 zone could consequently become important reference points for traders monitoring the setups. Holding these areas while recovering toward higher resistance levels would provide a different technical picture from another sharp leg lower.
The signals also highlight the difference between identifying a potential reversal and confirming one. TD Sequential signals can point toward exhaustion, but price action, volume and support levels remain important when determining whether a rebound is actually developing.
For now, Ali Charts’ analysis places BTC, ETH and XRP on watch for potential short-term recoveries after their recent declines. Bitcoin has the broadest market significance, while Ethereum and XRP are presenting similar four-hour technical signals.
Whether these buy signals develop into meaningful rebounds will depend on how buyers respond around current levels. The immediate focus is therefore on confirmation, with Bitcoin attempting to stabilize near $82,150, Ethereum looking toward $2,620 and $2,650, and XRP attempting to establish whether $1.39 represents a local bottom.
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