Bitcoin Price Rally Stalls As Ether, XRP Shine

View Alternative cryptocurrencies are flying high while bitcoin is having a breather above $8,000.

Notably, ether has hit a seven-month high of $235 and looks set to extend gains further toward $256 in the near-term.

With hourly chart indicators diverging in favor of the bears and the daily relative strength index reporting overbought conditions, bitcoin is looking increasingly vulnerable to a price pullback to the key rising trendline, currently placed above $7,200.

Bitcoin could challenge Tuesday's high of $8,335 and possibly break toward $8,500 if the lower highs pattern seen on the RSI is invalidated.

With bitcoin price rally showing signs of exhaustion above $8,000, investors have begun diverting money into relatively cheap alternative cryptocurrencies.

While bitcoin is showing signs of bullish exhaustion, the altcoin market is a sea of green with prominent coins like ether - the second largest cryptocurrency by market value - rising to $235 on Bitstamp, its highest level since Oct. 1, 2018.

XRP has appreciated by 14.7 percent in 24 hours, with prices hitting 4.5-month highs near $0.45 across major cryptocurrency exchanges.

Bitcoin cash is flashing red, having hit a six-month high of $410 on Tuesday.

The cryptocurrency could see a price pullback, possibly to the ascending trendline support, currently at $7,300.

The case for a rally to $8,500 and higher would strengthen if the hourly chart RSI violates the falling trendline, representing bearish divergence.