A closely followed crypto trader says that top blockchain oracle provider Chainlink (LINK) could be due for a sizeable correction. Pseudonymous trader and analyst Rekt Capital tells his 371,000 followers on the social media platform X that in order to move higher, LINK needs to close above the $14.70 level. “Chainlink needs a similar weekly […]
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A widely followed crypto analyst is diving into the altcoin markets and interoperability blockchain Polkadot (DOT) in particular. Pseudonymous crypto trader Rekt Capital tells their 371,000 followers on the social media platform X that the overall market for altcoins is approaching a market cap last touched around August of 2022. “Historic retest for the Altcoin Market […]
The post Crypto Trader Says Altcoin Markets Approaching a ‘Historic’ Retest, Deep Dives Into Polkadot (DOT) appeared first on The Daily Hodl.
A closely followed crypto analyst says that one decentralized finance (DeFi) altcoin is setting the stage to revisit its all-time highs. Pseudonymous crypto strategist Rekt Capital tells his 369,500 subscribers on the social media platform X that the decentralized exchange (DEX) platform Injective Protocol (INJ) is positioning itself to skyrocket to its previous all-time high […]
The post Analyst Says DeFi Altcoin Gearing Up To Revisit All-Time Highs, Updates Outlook on Solana, Cardano and Polkadot appeared first on The Daily Hodl.
The ninth-largest cryptocurrency by market cap is leading in terms of blockchain development activity, according to analytics platform Santiment. Santiment says that over a 30-day period, Cardano (ADA) is the top blockchain in terms of development activity with 502.57 GitHub commits over a 30-day period. Smart contract blockchain Polkadot (DOT) and its canary test network […]
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Bitcoin price briefly pushed above the $30,000 level. Are altcoins poised to follow?
Bitcoin (BTC) rose above $30,000 on Oct. 20, indicating that the path of least resistance is to the upside. Grayscale Investments filing a new application with the United States Securities and Exchanges Commission for a new spot Bitcoin ETF may have acted as a bullish trigger.
In another positive news for the cryptocurrency space, the SEC sought to dismiss all claims against Ripple CEO Brad Garlinghouse and executive chair Chris Larsen. This will increase expectations that the regulator may slow down its attack on the cryptocurrency entities due to a string of recent setbacks.
As the market sentiment improves, Bitcoin’s long-term holders (LTHs) have been increasing their Bitcoin stockpile. Glassnode data shows that 76.2% of the available Bitcoin is locked up in long-term storage. This is likely to cause a supply crunch in the market, which is bullish for Bitcoin’s price.
Could Bitcoin maintain its momentum and rise higher? Will the altcoins also follow? Let’s analyze the charts of the top 10 cryptocurrencies to find out.
Bitcoin broke and closed above the $28,143 resistance on Oct. 16 and the bulls held the level successfully during the retest on Oct. 17 and 18. This indicates that the buyers flipped the level into support.
The 20-day exponential moving average ($27,769) has turned up and the relative strength index (RSI) is in the overbought zone, indicating that the bulls have the upper hand. The buyers will try to sustain the price above $30,000 and challenge the stiff overhead resistance zone between $31,000 and $31,805. Sellers are expected to protect this zone with vigor.
Time is running out for the bears. If they want to prevent the upside, they will have to quickly yank the price back below $28,143. If they do that, the BTC/USDT pair could plummet to the 50-day simple moving average ($26,882).
Ether (ETH) once again bounced off the strong support near $1,531 as seen from the long tail on the Oct. 19 candlestick. This shows that the bulls are fiercely defending the $1,531 support.
The repeated failure of the bears to break the $1,531 level is likely to attract buyers. The 50-day SMA ($1,613) may act as a hurdle but if crossed, the ETH/USDT pair could pick up momentum and attempt a rally to $1,746.
Although the downsloping moving averages indicate advantage to bears, the positive divergence on the RSI suggests that the negative momentum is reducing. The bears will be back in the driver’s seat if they sink the price below $1,531.
BNB (BNB) turned down from the downtrend line on Oct. 16 but a positive sign is that the bulls did not allow the price to dip below the 20-day EMA ($210). This indicates a change in sentiment from selling on rallies to buying on dips.
Buyers will once again try to drive and maintain the price above the downtrend line. If they succeed, the BNB/USDT pair could accelerate to $235 and thereafter extend the rally to $250. The bears are likely to mount a strong defense at this level.
The important support to watch on the downside is the 20-day EMA and the next is $203. A break and close below this level will open the doors for a possible decline to the next major support at $183.
XRP (XRP) turned down from the moving averages on Oct. 16 but the bears could not sink the price below the immediate support at $0.46. This suggests a lack of selling at lower levels.
The moving averages have flattened out and the RSI is just above the midpoint. This suggests that the XRP/USDT pair may oscillate between $0.46 and $0.56 for some time. If the price stays above the moving averages, the pair may rally to the overhead resistance at $0.56.
On the contrary, if the price falls below the moving averages, it will increase the possibility of a drop to $0.46. The next trending move is likely to begin above $0.56 or below $0.41.
Solana (SOL) soared and closed above the neckline of the inverse head and shoulders pattern on Oct. 19, completing the bullish setup.
The buying continued on Oct. 20 and the bulls are trying to thrust the price above the immediate resistance at $27.12. If they can pull it off, the SOL/USDT pair could rise toward the pattern target of $32.81.
Usually, after breaking out of a major resistance, the price turns down and retests the breakout level. In this case, the price may return to test the neckline. If the price turns up from this level, the pair may start a new up-move. A break and close below $23 could shift the advantage back in favor of the bears.
Cardano (ADA) once again slipped to the strong support at $0.24 on Oct. 19 but the bulls held the level successfully. The positive divergence on the RSI indicates that the bearish momentum is reducing.
The price has reached the moving averages which are likely to act as a strong hurdle. If bulls overcome this resistance, the ADA/USDT pair could first rise to $0.27 and subsequently to $0.28. The bears are expected to fiercely guard this zone.
If the price turns down from $0.28, it will signal that the pair may form a range for a few days. On the downside, the bears will have to tug the price below $0.24 to indicate the resumption of the downtrend. The next support is at $0.22 and then at $0.20.
The long tail on Dogecoin’s (DOGE) Oct. 19 candlestick shows that the bulls are aggressively buying in the zone between $0.055 and $0.06.
The bulls will have to shove the price above the 50-day SMA ($0.06) to indicate a comeback. That could clear the path for a potential rise to the overhead resistance at $0.07. This level may witness a tough battle between the bulls and the bears but if the buyers prevail, the DOGE/USDT pair could surge to $0.08.
If the price turns down from the moving averages, it will indicate that the bears remain active at higher levels. A tumble below $0.055 will signal the start of the next leg of the downtrend.
Related: Why is XRP price up today?
Toncoin (TON) broke below the 61.8% Fibonacci retracement level of $1.98 on Oct. 12 but the bears could not capitalize on this weakness. The bulls purchased the dip and pushed the price back above $1.98 on Oct. 17.
The bears are trying to halt the recovery at $2.20 but a positive sign is that the bulls have not allowed the price to slip back below the moving averages. This suggests that the sentiment has turned positive and traders are buying the dips.
If buyers kick the price above $2.20, the TON/USDT pair will complete a small inverted H&S pattern. The target objective of this setup is $2.47. This positive view will invalidate if the price turns down and slumps below $1.89.
Polkadot (DOT) has been in a strong downtrend. The bears tried to extend the decline on Oct. 19 but the long tail on the candlestick shows solid buying at lower levels.
The relief rally is likely to reach the breakdown level of $3.91 where the bears are expected to mount a strong defense. If the price turns down from this level, it will indicate that the sentiment remains negative and traders are selling on rallies. The bears will again try to pull the price below $3.56 and start the next leg of the downtrend.
On the contrary, if the price breaks above $3.91, it will suggest the start of a stronger recovery. The DOT/USDT pair could then climb to the downtrend line. A break above $4.33 will signal a potential trend change.
Polygon (MATIC) has been trading below the moving averages for the past few days, but the bears have failed to break the support at $0.49. This suggests that selling dries up at lower levels.
The positive divergence on the RSI also shows that the selling pressure could be reducing. If buyers catapult and sustain the price above the moving averages, the MATIC/USDT pair could surge to the overhead resistance at $0.60. This level may again attract selling by the bears. The pair is likely to swing between $0.49 and $0.60 for a while longer.
On the downside, $0.49 remains the key level to keep an eye on. If this level gives way, the pair may plummet to $0.45.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
A widely followed crypto analyst is breaking down Bitcoin (BTC) by looking at its historical patterns. Pseudonymous crypto trader Rekt Capital tells his 359,500 followers on the social media platform X that if BTC repeats the pattern it displayed in 2019, it’s going to fall further before rebounding. “BTC… If history repeats…Green circle first. Then blue […]
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Bitcoin trades in a predictable range, but will the sideways price action tempt altcoin traders to open new positions?
A trending move in an asset class attracts traders, while a dull price action drives investors to the sidelines. Bitcoin (BTC) has largely been stuck in a range for the past several months, which could be one of the reasons for the drop in spot volumes. Bloomberg reported on Oct. 11 that Coinbase’s spot trading volume plunged 52% in Q3 2023 compared to Q3 2022.
While the short-term remains uncertain, traders need to be watchful because long consolidations are generally followed by an explosive price action. The only problem is that it is difficult to predict the direction of breakout with certainty. Considering that the bulls have not allowed Bitcoin to dip back below $25,000 in the past few months, it increases the likelihood of an upside breakout.
Investing legend Paul Tudor Jones said in a recent interview on CNBC that he is not bullish on the equities markets as he believes that an escalation in the Israel–Hamas conflict may bring about a risk-off sentiment. If that happens, it will be bullish for gold and Bitcoin, Jones added.
Wil bears sink Bitcoin below the immediate support and could that cause a further? Let’s analyze the charts of the top 10 cryptocurrencies to find out.
Bitcoin sliced through the 20-day exponential moving average ($27,148) on Oct. 11 but the bears could not tug the price below the 50-day simple moving average ($26,634).
The bulls successfully defended the 50-day SMA on Oct. 11 and Oct. 12 but they are struggling to start a rebound. This suggests a lack of demand at higher levels.
The bears will next attempt to sink the price below the 50-day SMA and come out on top. If this level gives way, the BTC/USDT pair could retest the strong support at $26,000. This level is likely to witness aggressive buying by the bulls.
A rally above the 20-day EMA will be the first indication of strength. The pair could then climb to the stiff overhead resistance at $28,143. This is an important level to watch out for because a close above it could signal the start of a short-term up-move.
Ether (ETH) dipped to the critical support at $1,531 on Oct. 12 but a minor positive is that the bulls successfully held this level.
The RSI is showing signs of a positive divergence, indicating that the bearish momentum may be weakening. The bulls will try to push the price to the moving averages where the bears are again likely to mount a strong defense.
If the price turns down sharply from the 20-day EMA ($1,606), it will suggest that bears remain in command. The ETH/USDT pair could then crumble below $1,531 and start its descent word $1,368.
If bulls want to prevent the fall, they will have to kick the price above the moving averages. The pair may then climb to $1,746 where the bulls may again face strong selling by the bears.
BNB (BNB) fell to the strong support at $203 but the long tail on the candlestick shows that the bulls are protecting the level with force.
The bulls will have to quickly thrust the price above the moving averages and the downtrend line to indicate that the bears may be losing their grip. The BNB/USDT pair could then start an up-move to $235 and later to $250.
On the contrary, if the price turns down from the moving averages, it will indicate that every minor rise is being sold into. A break below the $203 support will complete a descending triangle pattern, which could start a downward move to $183.
XRP (XRP) fell below the uptrend line on Oct. 11, indicating that the bullish pressure is reducing. The drop suggests that the price will continue to oscillate between $0.41 and $0.56 for a while longer.
There is support at $0.46 but if it cracks, the XRP/USDT pair may tumble to the important level at $0.41. The bulls are expected to buy this dip aggressively, which could keep the range-bound action intact.
On the upside, a break and close above the moving averages will be the first sign of strength. The buyers will then make one more attempt to drive the price to the overhead resistance at $0.56. A break and close above this level will indicate the start of a new potential uptrend.
Solana (SOL) slipped below the 20-day EMA ($21.72) on Oct. 12, indicating that the bears are maintaining their pressure.
Both moving averages have flattened out and the RSI is near the midpoint, indicating a balance between supply and demand. The bears will try to strengthen their position by dragging the price below the 50-day SMA ($20.44). If they do that, the SOL/USDT pair could slump to $17.33.
On the other hand, if the price turns up and rises above $22.50, it will tilt the short-term advantage in favor of the buyers. The pair could then rise to the neckline of the inverse head and shoulders pattern.
Cardano (ADA) has formed long tails on successive candlesticks since Oct. 9 but the bulls failed to start a recovery. This suggests a lack of demand at higher levels.
The ADA/USDT pair is near the $0.24 support and the RSI is showing signs of a positive divergence. This suggests that the selling pressure is reducing and a relief rally is possible. The first stop on the upside is likely to be the moving averages. If this resistance is crossed, the pair may reach $0.27 and then $0.28.
Contrary to this assumption, if the price continues lower and skids below $0.24, it will indicate that the bears are in no mood to relent. That could clear the path for a fall to $0.22 and eventually to $0.20.
Dogecoin (DOGE) has been trading below the $0.06 support since Oct. 9, suggesting that the markets have accepted the lower levels.
The bears will try to sink the price to the vital support at $0.055. This level is likely to witness strong buying by the bulls. If the price rebounds off this level, the DOGE/USDT pair may consolidate between $0.055 and $0.06 for some time.
The downsloping moving averages and the RSI near the oversold zone indicate that bears have the upper hand. If bulls want to make a comeback, they will have to quickly propel the price above the moving averages. That could start a recovery to $0.07.
Related: Why is Bitcoin price stuck?
Toncoin (TON) has been in a corrective phase for the past few days. Profit booking by the traders pulled the price below the 50-day SMA ($1.98) on Oct. 12.
The bulls are trying to reclaim the level and push the price back above the moving averages over the next few days. If they manage to do that, it will indicate that the break below the 50-day SMA may have been a bear trap. That could open the doors for a possible rise to $2.31.
Instead, if the TON/USDT pair turns down from the moving averages, it will suggest that the sentiment has turned negative and every relief rally is being sold into. That will increase the risk of a fall to $1.60.
Polkadot (DOT) continued its decline in the past few days and reached near the target objective at $3.50 on Oct. 12. This level is likely to act as a solid support.
On the way up, the 20-day EMA ($3.95) is the key level to keep an eye on. If the price turns down from the 20-day EMA, it will signal that traders are selling on relief rallies. That could enhance the prospects of a drop below $3.50.
Contrarily, if bulls drive and sustain the price above the 20-day EMA, it will indicate that the markets have rejected the lower levels. That may trap the aggressive bears, resulting in a short squeeze toward the downtrend line.
Polygon (MATIC) continues to weaken toward the critical support at $0.49, indicating that the bulls are not risking a buy at higher levels.
In a range, traders generally buy near the support and sell close to the resistance. In this case, the bulls are likely to buy the dips to $0.49 with vigor. If the price turns up from this level with strength, the MATIC/USDT pair may reach the moving averages.
If the price turns down sharply from the moving averages, it will increase the likelihood of a break below $0.49. If that happens, the pair could plunge to $0.45.
On the contrary, a rally above the moving averages will signal that the range-bound action may extend for a few more days.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Bitcoin and select major altcoins are under pressure as the September Producer Price Index report shows wholesale inflation surged to 0.5%, exceeding the markets' expectation.
Buyers are finding it difficult to maintain Bitcoin (BTC) price above $27,000. The selling increased after the September producer price index rose 0.5% for the month versus expectations for a 0.3% increase. This shows that the inflation pressures are unlikely to ease in a hurry for the United States economy.
The uncertain near-term environment has shifted analysts’ focus to November and the upcoming halving event expected in April 2024. Crypto analyst Miles Deutscher cited a chart from CryptoCon and said that if history repeats itself, then Bitcoin may turn up by November 21 and start its journey higher to the next halving.
Going further ahead to 2026, BitMEX founder Arthur Hayes is even more bullish. While speaking as a guest on Impact Theory with Tom Bilyeu, Hayes said that Bitcoin’s price could reach $750,000 to $1 million by 2026. Hayes argues that incessant money printing by the U.S. government to avoid a financial crisis will trigger a massive bull market in several asset classes.
Several analysts are bullish about the long-term but the near-term remains uncertain due to various headwinds. Could Bitcoin and altcoins stage a recovery or will they continue moving lower? Let’s analyze the charts of the top 10 cryptocurrencies to find out.
After finding support at the 20-day exponential moving average ($27,227) for the past two days, Bitcoin broke below the level on Oct. 11. This shows that the bears are trying to seize control.
The next support to watch on the downside is the 50-day simple moving average ($26,615). If this level cracks, it will suggest that the traders are rushing to exit. The BTC/USDT pair could then slump to $26,000 and eventually retest the support at $24,800.
If the price rebounds off the 50-day SMA, the bulls will attempt to propel the price above the 20-day EMA. That could open the doors for a potential rally to $28,143.
The flattish 20-day EMA and the relative strength index (RSI) just below the midpoint suggest a possible range-bound action in the near term.
Ether (ETH) has been finding buyers near the $1,531 support for the past two days, which is a positive sign. This suggests that the price will continue to swing between $1,531 and $1,746 for some more time.
The positive divergence on the ETH/USDT pair suggests that the selling pressure may be reducing near $1,531. This may start a relief rally, which could reach the 20-day EMA ($1,619). If the price turns down from this level, the bears will make another attempt to yank the pair below $1,531 and start a downward move to $1,368.
Contrarily, a rise above the moving averages will suggest strong accumulation at lower levels. The pair may then attempt a rally to $1,746. The bulls may find it difficult to break above this level but if they do that, the pair could climb to $1,961.
BNB (BNB) fell below the uptrend line on Oct. 9 but bounced off the strong support at $203. This indicates that the price is range-bound between $203 and $220.
The long wick on the Oct. 10 candlestick indicates that the bears are selling the rallies to the moving averages. The bears again redoubled their efforts to strengthen their position by dragging the price below $203.
The next trending move is likely to begin on a break below $203 or on a rally above $220. If the $203 support gives way, the BNB/USDT pair may crash to $183. On the contrary, a rise above $220 could open the doors for a potential rally to $235 and thereafter to $250.
Buyers could not build upon the breakout above the symmetrical triangle and overcome the barrier at $0.56. This shows that XRP’s (XRP) demand dries up at higher levels.
The price turned down and broke below the moving averages on Oct. 9. This was the first indication that the bulls have given up. The selling picked up further on Oct. 11 and the bears pulled the XRP/USDT pair below the uptrend line. This suggests that the pair may extend its stay between $0.41 and $0.56 for some more time.
On the downside, the first support is at $0.46 and after that at $0.41. Contrarily, attempts to start a recovery are likely to face selling at the moving averages and then at $0.56.
Solana (SOL) is one of the stronger major cryptocurrencies as it is trading above the immediate support at the 20-day EMA ($21.79).
If the price turns up from the current level, the SOL/USDT pair will attempt to form a bullish inverted head and shoulders pattern. This reversal setup will complete on a break and close above the neckline. The target objective of this setup is $32.81 but its efficacy reduces slightly as it has formed inside a consolidation.
If bulls fail to start a strong rebound off the 20-day EMA soon, the bears will be strengthened. They will then try to tug the price to the 50-day SMA ($20.44). If this level gives way, the next stop may be $18.50 and later $17.33.
The bears dragged Cardano (ADA) back below the moving averages on Oct. 9, indicating a lack of demand at higher levels.
The ADA/USDT pair could retest $0.24, which is an important support to keep an eye on. The positive divergence on the RSI suggests that the bulls are likely to protect the $0.24 level with vigor. They will then have to drive the price above the moving averages to signal further strength.
Contrarily, a break and close below $0.24 will indicate the start of the next leg of the downtrend. The pair may first skid to $0.22 and eventually to $0.20.
Dogecoin (DOGE) plunged and closed below the $0.06 support on Oct. 9, indicating that the bears are in charge.
The long tail on the Oct. 9 candlestick shows that the bulls are aggressively defending the support at $0.055. If buyers want to make a comeback, they will have to quickly push the price back above the breakdown level of $0.06 and then extend the recovery over the moving averages.
If they fail to do that, the bears will continue to put pressure on the $0.055 support. If this level cracks, the DOGE/USDT pair could retest the pivotal support near $0.05. This level is again expected to attract solid buying by the bulls.
Related: JPMorgan debuts tokenization platform, BlackRock among key clients: Report
The bulls failed to sustain Toncoin (TON) above the 20-day EMA ($2.06) on Oct. 7, indicating that the bears are selling on relief rallies.
A minor positive in favor of the bulls is that they have managed to keep the TON/USDT pair above the 50-day SMA ($1.96). The buyers will next try to clear the overhead hurdle at the 20-day EMA. If they manage to do that, the TON/USDT pair could rise to $2.18 and subsequently to $2.32.
Meanwhile, the bears are likely to have other plans. They will try to sink and sustain the price below the 50-day SMA. If they succeed, the pair could start a downward move toward $1.60.
The bears made their move on Oct. 9 and yanked Polkadot (DOT) below the vital support at $3.91. The bulls tried to push the price back above the breakdown level on Oct. 10 but the bears held their ground.
Selling resumed on Oct. 11 and the bears are trying to sink the price toward the next target objective at $3.50. Although the downsloping moving averages indicate that bears remain in command, the positive divergence on the RSI offers a small ray of hope for the bulls that a reversal is possible.
The first sign of strength will be a break and close above $3.91. That may trap the aggressive bears, resulting in a short squeeze. The DOT/USDT pair will then attempt a rally to the 50-day SMA ($4.16).
Polygon (MATIC) turned down and broke below the moving averages on Oct. 9, indicating that the $0.49 to $0.60 range remains intact.
Losing the 20-day EMA ($0.53) support is a negative sign and it puts the onus on the bulls to defend the crucial support at $0.49. If the price rebounds off this level, it will indicate that the bulls remain buyers on dips. That could keep the MATIC/USDT pair stuck inside the range for a while longer.
This neutral view will invalidate in the near term if the price continues lower and plummets below $0.49. The pair will then indicate the start of the next leg of the downtrend toward $0.45.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Bitcoin is consolidating at the top of its range and this is inspiring traders' confidence in a variety of altcoins.
United States 10-year Treasury yields soared above 4.8% on Oct. 3, their highest level since 2007. DoubleLine Capital CEO Jeffrey Gundlach said in a post on X (formerly Twitter) that the spread between the 2-year and 10-year Treasury yields has narrowed from 109 basis points a few months ago to 35 basis points. He cautioned that this “should put everyone on recession warning.”
Arthur Hayes, former CEO of crypto exchange BitMEX, warned in a recent X thread that the government will have to print money to save the bond market as a faster bear steepener — a condition where long-term interest rates rise more quickly than short-term rates — will cause firms to collapse. Some investors believe that this could trigger a cryptocurrency bull market.
It also looks like the institutional investors have started to warm up to cryptocurrencies. CoinShares’ latest Digital Asset Fund Flows Weekly Report shows inflows of $21 million into digital asset investment products for the first time in six weeks.
In this uncertain macro environment, let’s take a look at the charts to determine the next potential move.
Bitcoin (BTC) rose above $28,143 on Oct. 2 but the long wick on the candlestick shows the bears are aggressively selling at higher levels. The bears tried to build upon their advantage on Oct. 3 but the bulls held their ground at $27,160.
The upsloping 20-day exponential moving average ($26,903) and the relative strength index (RSI) in the positive territory indicate that bulls have the upper hand. Buyers will once again try to clear the overhead resistance at $28,143.
A close above this level will complete a short-term double bottom pattern, which has a target objective of $31,486.
This positive view will be invalidated if the price once again turns down from the overhead resistance and plummets below the 20-day EMA. That could yank the price to $26,000. The BTC/USDT pair could then continue to consolidate between $24,800 and $28,143 for a while longer.
Ether (ETH) turned down sharply from the overhead resistance of $1,746 on Oct. 2, indicating that the bears are fiercely guarding this level.
The 20-day EMA ($1,640) is flattening out and the RSI is near the midpoint, indicating a balance between supply and demand. If the price turns up from the current level, the bulls will again try to overcome the obstacle at $1,746. If they can pull it off, the ETH/USDT pair will complete a double bottom pattern, having a target objective of $1,961.
On the other hand, if the price continues lower and tumbles below the moving averages, it will suggest that the pair may extend its stay inside the $1,531 to $1,746 range for some more time.
BNB (BNB) jumped above the $220 resistance on Oct. 2 but the bulls could not sustain the breakout as seen from the long wick on the day’s candlestick.
The failure of the bulls to maintain the price above the 20-day EMA ($214) is a negative sign. It shows that traders are rushing to the exit. The BNB/USDT pair could next fall to the uptrend line.
If the price rebounds off this level, the bulls will again try to push the pair above $220. A close above this resistance could signal the start of an up-move to $235 and thereafter to $250. Instead, if the price breaks below the uptrend line, the pair may decline to the formidable support at $203.
Buyers pushed XRP (XRP) above the symmetrical triangle pattern on Sep. 29 and then foiled several attempts by the bears to pull the price back into the triangle.
The bulls will next try to surmount the overhead resistance at $0.56. If they are successful, it will signal the start of a new uptrend. The XRP/USDT pair could then start its journey toward the pattern at $0.66.
Conversely, if the price turns down from $0.56 and dives below the uptrend line, it will suggest that the bulls are booking profits. That could keep the pair range-bound between $0.56 and $0.41 for a few more days.
Solana (SOL) has been oscillating inside a large range between $14 and $27.12. The price action of the past few days has resulted in the formation of a potential inverse head and shoulders pattern.
Although setups formed inside a range tend to be less reliable, still they should not be neglected. If the price turns up and breaks above the neckline, the SOL/USDT pair could attempt a rally to $27.12 and eventually to the pattern target of $32.81.
The critical support to watch on the downside is the 20-day EMA ($20.95). If the price slides below this level, it will suggest that the bulls have given up. That could open the gates for a possible drop to $17.33.
Cardano (ADA) turned down from $0.27 on Oct. 2 and reached the 20-day EMA ($0.25) on Oct. 4. This is an important level to keep an eye on in the near term.
If the price rebounds off the 20-day EMA, it will indicate a change in sentiment from selling on rallies to buying on dips. The bulls will then try to shove the price above $0.27 and start an up-move to $0.29 and later to $0.32.
If bears want to prevent the rally, they will have to drag the price below the 20-day EMA. The ADA/USDT pair may then once again descend to the vital support at $0.24. The bulls are likely to protect this level with vigor.
The bulls pushed Dogecoin (DOGE) above the 50-day SMA ($0.06) on Oct. 2 but could not sustain the higher levels. This suggests that bears are selling on every minor relief rally.
The DOGE/USDT pair has reached the formidable support at $0.06. The repeated retest of a support level within a short interval tends to weaken it. If the $0.06 level cracks, the pair may slump to the next major support at $0.055.
A minor advantage in favor of the buyers is that the RSI has formed a bullish divergence. This suggests the bears may be losing their grip. The indicators are not providing clarity about the next move. Hence, it is best to wait for the price to close above the 50-day SMA or plunge below $0.06 to place directional bets.
Related: Bitcoin traders hope $27K holds as BTC price ignores volatile US dollar
Toncoin (TON) fell below the 20-day EMA ($2.09) on Sep. 30 and the bears thwarted attempts by the bulls to reclaim the level on Oct. 1.
The bears are trying to solidify their position by sinking the price to the 50-day SMA ($1.86). This level may result in a rebound that is likely to face selling at the 20-day EMA.
If the price turns down from this resistance, it will suggest that the sentiment has turned bearish and traders are selling on rallies. That will increase the likelihood of a drop below the 50-day SMA.
On the contrary, if the price turns up and surges above the 20-day EMA, it will suggest that the markets have rejected the lower levels. The TON/USDT pair could then rise to $2.32 where the bears will again try to halt the up-move.
Polkadot (DOT) turned down sharply from the 50-day SMA ($4.24) on Oct. 2 and broke below the 20-day EMA ($4.10) on Oct. 3.
The bears challenged the important support at $3.91 on Oct. 4 but the long tail on the candlestick shows strong buying at lower levels. The RSI has formed a bullish divergence, indicating that the sellers may be losing their grip.
If the bulls push the price above the 20-day EMA, it will suggest that the DOT/USDT pair may extend its stay inside the $4.33 to $3.91 range for some more time. The bears will have to sink the price below $3.91 to start the next leg of the downtrend to $3.50.
After witnessing a tough battle between the bulls and the bears near the moving averages, Polygon (MATIC) bounced on Oct. 4, indicating that buyers are trying to take charge.
The bulls are trying to build upon the strength and propel the price above the overhead resistance at $0.60. If they manage to do that, it will signal the start of a sustained recovery. The MATIC/USDT pair could then rise to $0.70.
Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, it will indicate that the bears are active at higher levels. The pair may then retest the crucial support at $0.49. This level is likely to attract solid buying by the bulls.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Crypto bulls are attempting a comeback. Here are the altcoins that traders are keeping an eye on.
Bitcoin (BTC) is attempting to trade above $27,000 which is a positive sign. In the past few days, Bitcoin’s price held up above $26,000 in adverse conditions when the United States dollar index (DXY) was rising sharply and the S&P 500 index (SPX) was plunging. This suggests that selling dries up at lower levels.
The decision by the United States Securities and Exchange Commission to delay the spot Bitcoin exchange-traded fund (ETFs) ahead of schedule also did not dent prices. This indicates that the market participants are taking a longer-term view on Bitcoin. Bloomberg ETF analyst James Seyffart believes that an early decision was taken by the regulator as there is a risk of a U.S. government shutdown on Oct. 1.
Bitcoin’s resilience over the past few days seems to have boosted trader’s sentiment. That helped start a recovery in most major altcoins, which are trying to climb above their respective resistance levels.
Could Bitcoin extend its up-move in the near term and will that start a revival in the crypto space? Let’s study the charts of the top 10 cryptocurrencies to find out.
After struggling for several days, the bulls finally propelled Bitcoin above the moving averages on Sep. 28. The bulls are currently trying to thwart attempts by the bears to yank the price back below the 20-day exponential moving average ($26,534).
The moving averages are on the verge of a bullish crossover and the relative strength index (RSI) is in the positive territory, indicating that the path of least resistance is to the upside. There is a minor resistance at $27,500 but it is likely to be crossed.
The BTC/USDT pair could then rally to the overhead resistance at $28,143. This level is again likely to witness a tough battle between the bulls and the bears.
On the downside, the $26,000 level is an important level to watch out for. If this level gives way, the advantage will tilt in favor of the bears. The pair may then nosedive to the formidable support at $24,800.
Ether (ETH) climbed and closed above the 20-day EMA ($1,622) on Sep. 28, indicating that the selling pressure is reducing. The buyers continued their purchase and cleared the hurdle at the 50-day simple moving average ($1,660) on Sep. 29.
The bulls will try to drive the price to the overhead resistance of $1,746. This is an important level to keep an eye on because if buyers overcome this barrier, the ETH/USDT pair will complete a double bottom pattern. This reversal setup has a target objective of $1,961.
On the contrary, if the price turns down from $1,746, it will indicate that the bears remain sellers on rallies. The price could then dip to the 20-day EMA. If the price rebounds off this support, it will enhance the prospects of a rally above $1,746. The bears will be back in the game if they drag the price back below the 20-day EMA.
BNB (BNB) has been trading inside the $220 to $203 range for the past few days. The bulls are trying to nudge the price to the overhead resistance at $220.
The 20-day EMA ($213) is flat but the RSI has risen into positive territory, indicating that the momentum is turning in favor of the bulls. If the $220 resistance is surmounted, the BNB/USDT pair could surge to $235.
Contrary to this assumption, if the price turns down sharply from $220, it will indicate that the range-bound action may continue for a while longer. The next leg of the downtrend will begin after bears tug the price below $203.
Buyers pushed XRP (XRP) above the 20-day EMA ($0.50) on Sep. 28 and followed that up with a move above the resistance line of the symmetrical triangle pattern on Sep. 29.
If the price sustains above the triangle, it will signal that the uncertainty has resolved in favor of the buyers. The XRP/USDT pair could then rally to the overhead resistance at $0.56. This is an important resistance to watch out for because a break above it will clear the path for a potential rally to the pattern target of $0.64.
Contrarily, if the price turns down and re-enters the triangle, it will indicate that markets have rejected the higher levels. The bears will then try to gain the edge by pulling the price below the uptrend line of the triangle.
The bulls are trying to sustain Cardano (ADA) above the 20-day EMA ($0.25) on Sep. 29, which shows that the bears are losing their grip.
A break and close above the downtrend line will invalidate the bearish descending triangle pattern. Generally, the failure of a bearish pattern results in a sharp up-move as the sellers rush to exit their shorts and the bulls waiting on the sidelines start buying. That could propel the ADA/USDT pair to $0.29 and subsequently to $0.32.
Time is running out for the bears. If they want to regain control, they will have to defend the downtrend line and pull the price below $0.24. The next support on the downside is at $0.22.
Dogecoin’s (DOGE) range has shrunk in the past few days, increasing the prospect of a range expansion within the next few days.
The 20-day EMA ($0.06) is flattening out and the RSI is just below the midpoint, indicating a balance between supply and demand. If buyers kick the price above the 20-day EMA with force, it will signal the start of a recovery. The DOGE/USDT pair could first rise to $0.07 and thereafter to $0.08.
If bears want to prevent the upside, they will have to quickly drag the price below $0.06. If they do that, the pair may plunge to the next critical support at $0.055.
Solana (SOL) remains stuck inside the large range between $27.12 and $14 for the past several days. Trading inside a range can be random and volatile as bulls typically buy at the support and sell near the resistance.
The bulls are trying to start a relief rally, which has reached the 50-day SMA ($20.44). This is an important level to watch out for because a break above it will suggest that the bulls are back in the game. The SOL/USDT pair could then rise to $22.30.
Instead, if the price turns down from the 50-day SMA, it will indicate that the bears are active at higher levels. Sellers will have to tug the price below $18.50 to open the doors for a retest of $17.33.
Related: Why is Ether (ETH) price up today?
Toncoin (TON) rebounded off the 20-day EMA ($2.13) on Sep. 27, indicating that the sentiment remains positive and traders are buying on dips.
The long wick on the Sep. 27 and 28 candlestick shows that the bears are selling at the 38.2% Fibonacci retracement level of $2.28. However, a positive sign in favor of the bulls is that they have not allowed the price to slip below the 20-day EMA.
Buyers will have to shove the price above the 61.8% Fibonacci retracement level of $2.40 to open the doors for a retest of the stiff overhead resistance at $2.59. This positive view will invalidate if the price turns down and plummets below $2.07.
The failure of the bears to sink Polkadot (DOT) below the $3.91 support indicates that the range-bound action remains intact.
Buyers will try to drive the price above the 20-day EMA ($4.10) and challenge the overhead resistance at the 50-day SMA ($4.32). If this level is cleared, the DOT/USDT pair could surge to the downtrend line. The bulls will have to overcome this barrier to signal a potential trend change.
The important support to watch on the downside is $3.91. A break below this level will suggest the resumption of the downtrend toward $3.58.
Polygon (MATIC) turned up from $0.50 on Sep. 28 indicating solid buying at lower levels. The price has reached the 20-day EMA ($0.52), which is an important level to keep an eye on.
The positive divergence on the RSI indicates that the selling pressure is reducing. That enhances the prospects of a break above the moving averages. The MATIC/USDT pair could then retest the overhead resistance at $0.60. The bears are expected to protect this level with vigor.
If bears want to maintain their control, they will have to yank the price below the strong support at $0.49. If this support gives way, the pair may drop to $0.45.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
