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Several Bitcoin price indicators suggest that BTC’s narrow trading range could end soon, resulting in a volatile price move in BTC and altcoins.

Bitcoin continues to test investors’ patience, as it remains stuck inside a tight range. Although the near term is boring, traders need to be on their toes because narrow ranges are generally followed by a sharp increase in volatility. The only problem is that it is difficult to predict the direction of the breakout with certainty.

Glassnode’s latest weekly newsletter highlighted that Bitcoin’s (BTC) consolidation has shrunk the Bollinger Bands, which are separated by just 4.2%. Citing various on-chain indicators, the authors concluded that investors are unwilling to sell, and in several aspects, it looks similar to “periods like 2016 and 2019-20, characterized by choppy market conditions.”

Although Bitcoin’s near term may look uncertain, the long term remains bullish. Capriole Investments founder Charles Edwards said in an interview with Cointelegraph that access to BlackRock’s exchange-traded fund application could make it “easier for institutions to put Bitcoin on their balance sheet.”

Will Bitcoin plunge below the support of the range and start a new downward move, dragging several altcoins lower? Let’s study the charts of the top 10 cryptocurrencies to find out.

Bitcoin price analysis

Bitcoin has been sustaining below the 20-day exponential moving average (EMA) of $30,067 since July 17, which is a negative sign. It shows a lack of aggressive buying at current levels.

The bulls pushed the price above the 20-day EMA on July 20, but the long wick on the candlestick shows selling at higher levels. The bears will try to strengthen their position by pulling the price below the crucial support at $29,500.

If they succeed, it will indicate that the consolidation has resolved in favor of the bears. The BTC/USDT pair may then skid to the 50-day simple moving average (SMA) of $28,869 and thereafter to $27,500.

Conversely, if the price turns up sharply and breaks above the 20-day EMA, it will suggest that the pair may rise to $31,000. A new uptrend could be expected on a break and close above $32,400.

Ether price analysis

Ether (ETH) has been trading near the 20-day EMA ($1,896) for the past few days. This suggests a state of equilibrium between the bulls and the bears.

The important support to watch on the downside is the 50-day SMA ($1,854). If this support breaks down, the ETH/USDT pair may tumble to $1,800 and then to $1,700. Such a move will suggest that the pair may continue to oscillate inside the large range between $1,626 and $2,000.

Contrarily, if the price turns up from the current level or the 50-day SMA and rises above $2,000, it will signal that bulls are in the driver’s seat. The pair may then soar to $2,141 and eventually to $2,200.

XRP price analysis

The bulls propelled XRP (XRP) above the overhead resistance of $0.83 on July 19 and 20, but they could not build upon this strength.

That may have tempted short-term bulls to book profits and the aggressive bears to initiate short positions. The bears will try to pull the price toward the support at the 20-day EMA ($0.65).

If the price rebounds off this level, the XRP/USDT pair may continue its range-bound action between $0.65 and $0.85 for some time.

A break and close above $0.85 could open the doors for a possible retest of $0.94, while a drop below $0.65 could sink the pair to $0.56.

BNB price analysis

BNB (BNB) continues to trade inside the symmetrical triangle pattern, suggesting indecision between the bulls and the bears.

The symmetrical triangle typically acts as a continuation pattern, but in some instances, it could also behave as a reversal pattern. The flattish 20-day EMA ($243) and the relative strength index (RSI) near the midpoint do not give a clear advantage either to the bulls or the bears.

If buyers thrust the price above the triangle, the BNB/USDT pair may rise to the overhead resistance at $265. This is an important resistance to keep an eye on because a break above it will clear the path for a potential rally to $280 and then to $300.

The bears will have to sink and sustain the price below the triangle to seize control. The selling could intensify further if the $220 support gives way.

Cardano price analysis

Cardano’s (ADA) bounce off the 20-day EMA ($0.31) on July 19 fizzled out at $0.33 on July 20. This suggests that bears are selling on relief rallies.

The price has again returned to the 20-day EMA, which remains the key level to watch out for in the near term. If the price turns up sharply and breaks above $0.34, the ADA/USDT pair may advance to $0.38.

On the contrary, if the price continues lower and breaks below the moving averages, it will signal that bears are back in the game. The pair could then descend to the uptrend line. This level may attract solid buying by the bulls.

Solana price analysis

The bulls tried to propel Solana (SOL) above the overhead resistance at $27.12 on July 19 and 20, but the bears did not budge. This shows that bears are selling on rallies.

The failure to rise above $27.12 may tug the price to the 20-day EMA ($23.55). This level is likely to witness a tough battle between the bulls and the bears. If the price sinks below the 20-day EMA, it will suggest that the short-term momentum has weakened. That could open the doors for a deeper correction to the 50-day SMA ($19.63).

If bulls want to prevent the decline, they will have to quickly push and sustain the price above $27.12. If they do that, the SOL/USDT pair could rally to $29.12 and subsequently to $32.13.

Dogecoin price analysis

The bulls successfully defended the 20-day EMA ($0.07) in the past few days, indicating that Dogecoin (DOGE) is attracting buyers at lower levels.

The rising 20-day EMA and the RSI above 63 suggest that the path of least resistance is to the upside. If buyers sustain the price above $0.07, it will signal the start of a new up move. The DOGE/USDT pair may jump to $0.08 and later to $0.10.

If bears want to invalidate this positive view, they will have to quickly yank the price below the moving averages. Such a move will suggest that the rally above $0.07 may have been a bull trap. The pair may then slump to $0.06.

Related: XRP price searches for a fresh bullish catalyst to trigger a move above $1

Polygon price analysis

Polygon (MATIC) turned up from the 20-day EMA ($0.74) on July 20, indicating that the bulls are trying to flip the level into support.

The 20-day EMA is moving up and the RSI is in the positive zone, indicating that bulls have the upper hand. If buyers clear the overhead hurdle at $0.80, the MATIC/USDT pair could climb to $0.90. This level may again act as a minor obstacle, but if bulls overcome it, the pair may rise to $1.04.

Contrary to this assumption, if the price turns down and plummets below the 50-day SMA ($0.71), it will signal that bears are back in the game. The pair could then slide to $0.60.

Litecoin price analysis

Litecoin (LTC) has been stuck between the moving averages for the past few days, indicating indecision between the bulls and the bears.

The bulls tried to push the price above the 20-day EMA ($94) on July 19 and 20, but the bears held their ground. This shows that the bears are trying to flip the 20-day EMA into resistance. The 20-day EMA has started to turn down and the RSI has slipped into negative territory, giving a slight edge to the bears.

If the price breaks and closes below the 50-day SMA ($90), the selling could pick up and the LTC/USDT pair may slump to $80. Alternatively, a break and close above the 20-day EMA could open the doors for a relief rally to $106.

Polkadot price analysis

Polkadot (DOT) bounced off the strong support at $5.15 on July 19 and reached the overhead resistance at $5.64 on July 21, indicating that lower levels continue to attract buyers.

The long wick on the July 21 candlestick shows that the bears are aggressively selling the rallies to $5.64. This suggests that the DOT/USDT pair could remain stuck between $5.15 and $5.64 for a while longer.

A minor advantage in favor of the bulls is that the RSI has stayed in positive territory and the 20-day EMA ($5.25) is moving up gradually. Buyers need to overcome the barrier at $5.64 to start the next leg of the uptrend toward $7.

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's failure to rebound off strong support levels increases the risk of a deeper correction that could also negatively impact altcoins.

After failing to sustain above the resistance of its narrow range, Bitcoin (BTC) fell near a key support on July 18. The consolidation of the past few days seems to be an accumulation phase, according to Glassnode’s Bitcoin Accumulation Trend Score. A similar score was seen during the accumulation phases between November to December and again from March to April.

According to CoinShares data, institutional investors continue to plow funds into digital asset investment products, which rose to $742 million in the past four weeks. Bitcoin continues to attract the lion’s share of the funds, with last week alone accounting for $140 million in inflows.

Morgan Creek Capital chief investment officer and founder Mark Yusko said in an interview with Cointelegraph that Bitcoin’s fair value is $55,000 and the markets are likely to “drift upwards toward that level.” Once this level is crossed, Yusko expects speculators to step in, resulting in a blow-off top sometime in 2024.

What are the important support levels that need to hold in Bitcoin and altcoins to prevent a deeper decline? Let’s study the charts of the top-10 cryptocurrencies to find out.

Bitcoin price analysis

Bitcoin slid below the 20-day exponential moving average ($30,124) on July 17 and tested the crucial support of $29,500 on July 18. The long tail on the day’s candlestick shows that lower levels continue to attract buyers.

The 20-day EMA is flat and the relative strength index (RSI) is near the midpoint, indicating a balance between supply and demand. If buyers force the price above the 20-day EMA, the BTC/USDT pair could rally to $31,000 and then to $31,805. Sellers are expected to protect this zone with vigor.

The next trending move could begin on a break above $32,400 or a drop below $29,500. If the range breaks below $29,500, the pair may plunge to $27,500 and later to $26,000. On the contrary, if bulls push the price above $32,400, the pair may start a rally toward $40,000.

Ether price analysis

The long tail on Ether’s (ETH) July 17 and 18 candlestick shows that the bulls are buying the dips to the 50-day SMA ($1,853).

This suggests that the ETH/USDT pair could remain stuck between the 50-day SMA and $2,000 for a while longer. A minor positive in favor of the bulls is that the 20-day EMA ($1,898) is sloping up gradually and the RSI is in the positive territory. If buyers catapult the price above $2,000, the pair may start the next leg of the up-move to $2,141.

However, the bears are likely to have other plans. They will try to yank the price below the 50-day SMA. If they do that, the pair may collapse to $1,700 and eventually to $1,626.

XRP price analysis

Generally, a vertical rally is followed by a sharp pullback and a period of consolidation. XRP (XRP) could be entering one such phase.

The bulls will try to drive the price above $0.83 and retest the July 13 intraday high of $0.94 but they are likely to encounter stiff resistance from the bears. If the price turns down from $0.83, the XRP/USDT pair could tumble to $0.66.

This level may again attract strong buying by the bulls. That could keep the price range-bound between $0.66 and $0.83 for a few days. Contrarily, if bulls propel the price above $0.94, the pair could start a rally to $1.40.

BNB price analysis

The bulls failed to push and sustain BNB (BNB) above the 20-day EMA ($244) in the past two days. This suggests that the bears are trying to flip the 20-day EMA into resistance.

The bears will try to strengthen their position further by pulling the price to the support line of the symmetrical triangle. This is an important level for the bulls to defend because a break below it could challenge the vital support at $220.

Alternatively, if bulls shove the price above the 20-day EMA, it will suggest solid buying at lower levels. The bulls will then make one more attempt to thrust the price above the triangle. If they can pull it off, the BNB/USDT pair could rise to $265.

Cardano price analysis

Cardano (ADA) is likely to witness a tough battle between the bulls and the bears near the breakout level of $0.30.

The 20-day EMA ($0.30) is sloping up gradually and the RSI is in the positive zone, indicating that bulls have a slight edge. Buyers will have to kick the price above $0.34 to suggest that the correction may be over. The ADA/USDT pair could then ascend to $0.38 where the bears may again mount a strong defense.

This positive view could be negated if the price turns down and plunges below $0.30. That will clear the path for a possible decline to the uptrend line and then to $0.26.

Solana price analysis

The long wick on the candlesticks between July 14 to 17 shows that bears continue to sell on rallies. The price turned down and slipped below the breakout level of $27.12 on July 17.

The SOL/USDT pair could correct to the 20-day EMA ($23.15), which is an important level to keep an eye on. If the price rebounds off this level, the bulls will again try to propel the pair above $27.12. If they succeed, the pair may advance to $29.12 and subsequently to $32.13.

Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, it will suggest that the bulls are rushing to the exit. The pair could then plummet to the 50-day SMA ($19.44).

Dogecoin price analysis

Buyers pushed Dogecoin (DOGE) above the overhead resistance of $0.07 on July 17 and again on July 19 but the long wick on the candlestick shows strong selling at higher levels.

The bulls have managed to keep the DOGE/USDT pair above the 20-day EMA ($0.07) but they are struggling to overcome the overhead obstacle. If buyers fail to maintain the price above $0.07, the likelihood of a drop below the 50-day SMA ($0.07) increases.

That could keep the pair range-bound between $0.06 and $0.07 for a few more days. If bulls want to start a new up-move, they will have to hold the price above $0.07. The pair may then climb to $0.08 and later to $0.10.

Related: SEC vs. Ripple: Huge win for crypto

Polygon price analysis

Polygon (MATIC) bounced off the 20-day EMA ($0.73) on July 17 but the bulls could not sustain the higher levels. This suggests that every relief rally is being sold into.

The moving averages are an important support to keep an eye on. If bears sink the price below the 50-day SMA ($0.71), the advantage will tilt in favor of the sellers. The MATIC/USDT pair may then slump to $0.60.

The first resistance to watch on the upside is $0.80. If bulls drive the price above this level, the pair could retest the $0.89 level. A break and close above this resistance could signal the start of a new uptrend.

Litecoin price analysis

Litecoin (LTC) turned down from the overhead resistance at $106 on July 13, indicating that the bears are selling on rallies.

The failure of the bulls to arrest the pullback at the 20-day EMA ($94) suggests that the positive momentum has weakened. There is a minor support at the 50-day SMA ($90) but if this level gives way, the LTC/USDT pair could dump to $80.

If bulls want to prevent the decline, they will have to push and maintain the price above the 20-day EMA. If they do that, the pair may again retest the overhead resistance zone between $106 and $115.

Polkadot price analysis

Polkadot (DOT) has been swinging between the overhead resistance of $5.64 and the 50-day SMA ($5.03) for the past few days.

The flattish 20-day EMA ($5.21) and the RSI near the midpoint suggest a balance between supply and demand. If the price sinks below the 50-day SMA, the advantage will tilt in favor of the sellers. The DOT/USDT pair could then slide to $4.74. This is an important level for the bulls to defend because if it cracks, the pair may slump to $4.22.

On the upside, the bulls will have to clear the zone between $5.64 and the downtrend line to gain the upper hand. The pair could then skyrocket to $7.

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.