According to crypto analyst Rakesh Upadhyay, Ether has emerged from the triangle. The analyst says it is possible that this will push Bitcoin above $30,000. Will altcoins including DOGE follow Bitcoin’s rise? The analyst is looking for an answer to this question by examining the charts of the top 10 cryptocurrencies.
An overview of the cryptocurrency market
Confidence in the US financial system is rapidly eroding. Also, investors are trying to find the next weakest link, which is about to collapse. Bill Ackman, CEO of hedge fund management firm Pershing Square, warned that time is running out to fix the problem. U.S. stock markets have become vulnerable to negative news about regional banks, as evidenced by sales over the past three days. By comparison, Bitcoin has taken a strong stance. Besides, BTC is hovering near the upper critical resistance at $31,000.
Daily cryptocurrency market performance / Source: Coin360As you follow on Kriptokoin.com, Bitcoin is not the only best performing asset. Gold approached its all-time high during the week. This shows that Bitcoin is currently acting as a safe haven and investors are adding Bitcoin to their portfolios along with gold.
BTC, ETH, BNB, XRP and ADA analysis
Bitcoin (BTC): Price could break to the upside
Bitcoin continues to trade within the symmetrical triangle formation, which indicates indecision between the bulls and bears. Usually, the trend that was in force before the formation of the triangle tends to continue. This means that the price may break upwards.
If the price closes above the triangle, BTC is likely to rally as high as $32,400. It is possible for bears to make a strong defense at this level. Because if the bulls push the price above $32,400, the rally will likely reach $40,000. On the contrary, if the price turns down from the resistance line, it will show that BTC can continue the random price action within the triangle for a few more days. A break and close below the triangle will indicate that the bears have overpowered the bulls. BTC is likely to drop as low as $25,250 later.
Ethereum (ETH): Bulls suck supply
The bulls pushed Ether above the resistance line of the symmetrical triangle formation on May 5. This indicates that the bulls are absorbing the supply and peaking.
If buyers hold the price above the triangle, ETH is likely to try to move up to $2,000 and then $2,200. Bears will aggressively defend this level. Because if they fail to do so, it is possible for ETH to skyrocket towards $3,000. Contrary to this assumption, if the price turns down from the current level and re-enters the triangle, it will indicate that the breakout was a bull trap. ETH is likely to drop to the support line once again later. A break below this level could drop ETH to the $1,619 target.
Binance Coin (BNB): Bulls and bears are in a tough fight
BNB is witnessing a tough fight between the bulls and bears near the support line of the symmetrical triangle formation.
The flat 20-day exponential moving average (EMA) at $326 and the relative strength index (RSI) near the midpoint do not give the bulls or bears a clear advantage. If the price rises above the 20-day EMA, BNB may continue to oscillate within the triangle for a while. A break below the triangle will indicate that the bears are taking control. This will likely start a downside move towards the $300 and then the $280 pattern target. If the bulls want to gain the upper hand, they will have to push the price above the triangle. This will open the way for a possible rally to $350 and then to $400.
Ripple (XRP): Bulls and bears are playing it safe
XRP formed an intraday candlestick pattern on May 4 and a Doji candlestick pattern on May 5. This shows that the bulls and bears are playing it safe and not making big bets.
The moving averages have completed the downtrend. Also, the RSI is in negative territory. This shows that the bears have a slight advantage. The bears will try to push the price towards the strong support level of $0.43. Conversely, if the price rises from the current level and rises above the 20-day EMA ($0.47), it will indicate a solid buying lower. It is possible for XRP to rally to the resistance line later. Buyers will need to overcome this resistance to open the possibility of a rally to $0.54.
DOGE, MATIC, SOL, DOT and LTC analysis
Cardano (ADA): Bulls are aggressively defending this level
ADA broke below the 50-day simple moving average (SMA) at $0.38 on May 3 and 5. However, the long tail on the candlestick shows that the bulls are aggressively defending the support near $0.37.
Buyers tried to push the price above the 20-day EMA ($0.39) on May 4. But the bears did not move. The falling 20-day EMA and the RSI just below the midpoint point to a minor advantage for the bears. If the price drops and dips below $0.37, a condensation of selling is possible. Thus, ADA is likely to drop to $0.33 and then to $0.30. If the bulls want to block this drop, they will need to quickly push the price above the neckline of the inverse head and shoulders pattern. In this case, the chances increase to $0.46 and then to $0.52.
Dogecoin (DOGE): Demand drops at higher levels
The bulls managed to hold the DOGE price above the close support near $0.08. However, they failed to make a meaningful leap. This indicates that demand is drying up at higher levels.
A tight consolidation near a strong support level is usually resolved to the downside. The downward sloping 20-day EMA ($0.08) and the RSI in the negative zone suggest the path of least resistance for the DOGE to the downside. If the support around $0.08 is lost, DOGE could drop as low as the next major support level at $0.07. This negative view will be invalidated in the near term if buyers push the DOGE price above the downtrend line.
Polygon (MATIC): Bears in command
MATIC tried to break above the 20-day EMA ($1.02) on May 3 and 4. But the bears successfully maintained the level.
The downward sloping moving averages and the RSI near 43 show that the bears are in command. If the price drops below $0.94, MATIC will complete the descending triangle pattern. This is also likely to start a bearish move towards $0.69. Instead, if the price rises and breaks above the 20-day EMA, it will indicate that lower levels continue to attract buyers. It is possible that MATIC will later rise to the resistance line where the bears will sell aggressively again.
Solana (SOL): There is indecision between buyers and sellers
SOL has been trading in a narrow range for the past three days. This shows that there is an indecision between buyers and sellers.
The horizontal moving averages and the RSI near the midpoint suggest that the SOL is likely to be stuck in the wide range between $15.28 and $27.12 for a while. A break below and holding the 50-day SMA ($21.90) will indicate that the bears have taken the lead in the near term. It is possible for SOL to drop to $18.70 later. On the other hand, if buyers push the price above the 20-day EMA, the SOL is likely to start its march towards $24 and then $27.12.
Polkadot (DOT): Solid buying at lows
Sellers pushed the DOT below the $5.70 support on May 3. However, the long tail shows solid buying at lower levels. The bulls again thwarted the bears’ attempts to break the support on May 4 and 5.
A repeat of the price staying below $5.70 could attract buyers. The bulls will then try to push the price above the 20-day EMA ($5.96). If they do, it is possible for the DOT to rise to the 50-day SMA ($6.18). Buyers will need to break through this hurdle to gain an edge in the near term. The next target on the upside is $7. Alternatively, if the price turns down from the 20-day EMA, it will show that the bears continue to sell on minor rallies. Sellers will then try to push the price back below $5.70. Thus, it will challenge the key support at $5.15.
Litecoin (LTC): Bulls are struggling to break through the general hurdle
The long tail on the LTC May 3 and May 5 candlestick is a sign that the bulls continue to hold the $85 level strongly. But it does show that they are struggling to break through the general hurdle in the moving averages.
Bulls buy on dips, while bears sell on rallies. At this percentage, LTC is stuck in a tight range. The 20-day EMA ($89) is sloping down and the RSI is just below the midpoint. This gives the bears a small advantage. A break below the $85 level will indicate that the bears have taken control. In this case, it is possible for SOL to decline to $75. Instead, if buyers push the price above the moving averages, the SOL is likely to rise to the overhead resistance of $96. If the price turns down from this level, it will signal possible range-bound action between $85 and $96 for a few days.
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