The US dollar index reached its highest level in almost a year. Even in this situation, Bitcoin and even some altcoins remain stable. Could certain altcoins including Bitcoin and DOGE start a short-term bullish move? Crypto analyst Rakesh Upadhyay examines the charts of the top 10 cryptocurrencies to find out.
An overview of the cryptocurrency market
The US dollar index (DXY) rose to its highest level in the last year. Even in this situation, Bitcoin managed to stay above the $26,000 level. This is a slightly positive sign as it indicates a lack of aggressive selling at lower levels. As you follow from Kriptokoin.com, Bitcoin is stuck in a range. BTC’s directionless price action is keeping traders on the sidelines. Daily spot exchange transactions of Bitcoin surpassed 600,000 in March, according to new research from on-chain analysis platform CryptoQuant. However, last week transactions dropped to 8,000-15,000. Low liquidity can lead to volatile movements in both directions. Therefore, traders need to be careful. Additionally, it is necessary to wait for confirmations instead of taking a position on every intraday break.
Daily cryptocurrency market performance. Source: Coin360Short-term price movements remain uncertain. However, this did not deter long-term bulls from adding Bitcoin to their portfolios. MicroStrategy co-founder and chief executive officer Michael Saylor announced that the firm purchased 5,445 Bitcoins at an average price of $27,053.
BTC, ETH, BNB, XRP and ADA analysis
Bitcoin (BTC) price analysis
Bitcoin is witnessing a tough battle between bulls and bears near the 20-day exponential moving average ($26,436). The bulls pushed the price above the 20-day EMA on September 27. However, it failed to surpass the 50-day simple moving average ($26,757).
This shows that the bears are not giving up and are selling rallies up to the 50-day SMA. The bears will need to sink the price below $25,990 to pave the way for a potential decline to $24,800. This level is likely to attract solid buying by the bulls. On the upside, the first sign of strength would be a breakout and close above the 50-day SMA. It is possible that BTC then rises to $27,500 and then to the overhead resistance at $28,143. The bears are expected to defend this level with all their might.
Ethereum (ETH) price analysis
Ether is trying to start a recovery. The price broke above the 20-day EMA ($1,614) on September 27. However, the bulls could not hold on to the intraday rally. This shows that higher levels continue to attract sellers.
The bullish divergence in the relative strength index (RSI) is in favor of buyers. If they hold the price above the 20-day EMA, it is possible for ETH to first rise to the 50-day SMA ($1,668) and then attempt a rally towards the overhead resistance at $1,746. Contrary to this assumption, if the price remains below the 20-day EMA, it will indicate that the bears are in command. Sellers will then attempt to push the price below the important support at $1,531. If this happens, ETH is likely to drop as low as $1,368.
Binance Coin (BNB) price analysis
BNB remains below the $220 breakdown level. But a positive sign is that the bulls did not allow the price to decline below $203.
The 20-day EMA ($213) is flattening and the RSI is just below the midpoint. This shows that there is a balance between supply and demand. This balance will favor the bulls if they push the price above $220. It is possible for BNB to rise as high as $235 later. Conversely, if the price continues to decline and breaks below $203, it would indicate that the bears have asserted their superiority. BNB is then likely to start the next leg of the downtrend towards the strong support at $183.
Ripple (XRP) price analysis
Buyers attempted to push XRP above the 20-day EMA ($0.50) on September 25. But the bears held their ground.
The price action of the last few days has formed a symmetrical triangle formation, indicating indecision between bulls and bears. Sellers will try to gain the upper hand by pushing the price below the uptrend line. If they are successful, it is possible for XRP to drop to $0.46 and then to $0.41. On the contrary, if the price rises and breaks above the resistance line, it will indicate that the bulls are trying to take control. XRP is likely to rise to the overhead resistance of $0.56 later.
Cardano (ADA) price analysis
Cardano bounced from the vital support at $0.24 on September 25. However, the bulls are struggling to push the price above the 20-day EMA. It is possible that this will result in more sales.
The $0.24 level is likely to witness a tough battle between bulls and bears. If the $0.24 support breaks out, ADA will complete the descending triangle formation. ADA is then likely to initiate a downside move towards $0.22 and then the $0.19 pattern target. Contrary to this assumption, if the price rises and breaks above the downtrend line, the bearish pattern will be invalidated. It is possible that ADA could later initiate an upward move towards $0.29.
DOGE, SOL, TON, DOT and MATIC analysis
Dogecoin (DOGE) price analysis
The bears pulled the DOGE price below the $0.06 support on September 26. However, the long tail on the candlestick indicates buying at lower levels. However, the gradually falling 20-day EMA ($0.06) and the RSI in the negative zone suggest that the bears remain in command.
Sellers will make another attempt to drop and sustain the DOGE price below $0.06. If they manage to do this, it is possible that DOGE price could drop to the next important support at $0.055. Alternatively, if the price rises from the current level and breaks above the 20-day EMA, it will signal that the bulls are in a comeback. It is possible that DOGE price will first rise to $0.07 and then spike towards $0.08.
Solana (SOL) price analysis
The failure of the bulls to push Solana above the 20-day EMA ($19.42) in the last few days indicates that the bears are aggressively holding the level.
The price turned down from the 20-day EMA. Moreover, the bears will try to extend their advantage by pushing SOL below the nearest support at $18.50. If it breaks this level, it is possible that sales will increase. Also, the next stop will probably be $17.33. Conversely, if the price bounces from $18.50, it will recommend buying on dips. The bulls will then try to push the price back above the moving averages. If they do this, it is possible for SOL to jump to $22.30.
Toncoin (TON) price analysis
Toncoin (TON) broke below the 20-day EMA ($2.11), which is an important level to keep an eye on. In an uptrend, buyers typically buy dips up to the 20-day EMA.
Here too, the bulls bought the dip to the 20-day EMA on September 27. However, the long wick on the candlestick indicates that the bears are selling at higher levels. If buyers hold the price above the 20-day EMA, TON will attempt to rise to $2.40, the 61.8% Fibonacci retracement level. Meanwhile, sellers are likely to have other plans. They will attempt to sink the price below $2.07 and extend the correction to the next major support at the 50-day SMA ($1.76).
Polkadot (DOT) price analysis
Polkadot has remained below the 20-day EMA ($4.10) for the past few days. This shows that the bears are fiercely defending the level.
The RSI is showing signs of a bullish trend. However, buyers will need to clear the overhead barrier at $4.22 to relieve selling pressure. If this does not occur, the risk of further declines remains. If DOT continues to decline and slides below the immediate support at $3.91, it will indicate the start of the next leg of the downtrend. The next support on the downside is at $3.58.
Polygon (MATIC) price analysis
Polygon bounced off the critical support at $0.51 on September 25. However, the bulls failed to push the price above the 20-day EMA ($0.53). This suggests that sentiment remains negative and traders are selling on rallies.
The bears will try to sink the price below the intraday low of $0.49 on September 11. The collapse of this support will indicate the resumption of the downtrend. A small silver lining for the bulls is that the RSI is trending upward. Buyers will need to push and sustain the price above the 20-day EMA to signal the beginning of a sustained recovery. It is possible for MATIC to rise to the 50-day SMA ($0.56) later.
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