Bitcoin price support at $30,000 opens the door for gains from UNI, ARB, AAVE, and MKR

Bitcoin (BTC) attempted to break out of its boring sideways trade on July 13 following Ripple’s legal victory over the US Securities and Exchange Commission, but the excitement was short-lived. Sellers pulled the price back into the range on July 14th, suggesting they remain active at higher levels. However, a positive sign is that the bulls have sustained bitcoin price above $30,000.

Market watchers are expected to closely monitor the review process for the various exchange-traded fund (ETF) proposals for a spot bitcoin ETF. One of the most prominent is BlackRock’s proposal. Interestingly, according to Bloomberg Intelligence’s Eric Balchunas and James Seyffart, only one in 550 ETF applications was rejected by BlackRock.

Daily view of crypto market data. Source: Coin360

Even as Bitcoin consolidates and awaits the next catalyst, several altcoins are seeing solid buying. As a result, Bitcoin’s market dominance has fallen below 50%, suggesting that the focus may shift to altcoins in the near future.

Could bitcoin start a trend move in the short-term or is it stuck within this range? Which altcoins are looking strong on the charts? Let’s look at the charts of the top 5 cryptocurrencies that could be on traders’ radars for the next few days.

Bitcoin price analysis

Bitcoin closed above $31,000 on July 13, but that proved to be a bull trap as bears pulled the price back below the level on July 14. This shows that the bears are fiercely defending the zone between $31,000 and $32,400.

BTC/USDT daily chart. Source: TradingView

The price action of the past few days has formed a bearish divergence on the Relative Strength Index (RSI). This points to a slacking upward momentum. The bears will attempt to extend their advantage by dragging the price below the 20-day exponential moving average ($30,187). If they succeed, the BTC/USDT pair could drop to the 50-day simple moving average ($28,631).

If bulls are to prevent the decline, they need to push and sustain the price above $31,000 quickly. The pair could then climb to $32,400. A break and close above this level will open the way for a possible move to $40,000 as there are no major resistances in between.

BTC/USDT four hour chart. Source: TradingView

The pair has fallen below the four-hour chart’s moving averages, indicating that demand is easing at higher levels. The bears need to sink the price and sustain below $29,500 to initiate a deeper correction. The pair could then plummet to $27,500.

Alternatively, the bulls need to push and sustain the price above $31,000 to start an uptrend towards $32,400. If the price declines from $32,400 but recovers from $31,000, it will indicate that the bulls have turned the level into support. The pair could then start a rally to $40,000.

Uniswap price analysis

Uniswap (UNI) has found support at the 20-day EMA ($5.41) during the dips, suggesting that sentiment has turned positive and traders are buying on the dips.

UNI/USDT daily chart. Source: TradingView

The bulls will attempt to buy the current decline and push the price above the immediate resistance at $6.16. If they succeed, the UNI/USDT currency pair could surge to $6.50. This level could act as a strong resistance again, but if the bulls don’t give way much, the pair could reach $6.70.

The key support to watch on the downside is the 20-day EMA. A break and close below this level will indicate that the bears are back in the game. The pair could then drop to the 50-day SMA ($5) and later to the key support at $4.72.

UNI/USDT four hour chart. Source: TradingView

The correction on the four-hour chart has reached the 20-day EMA. This is the first important support to look out for. If the price recovers from this level, the pair could retest the overhead resistance at $6.17. Above this level, the pair might climb to the resistance line of the ascending channel.

On the other hand, if the price falls below the 20-day EMA, it suggests that short-term traders may book profits. This could push the price down to the channel support line. If this level breaks, the pair could slip to $5.08.

Decision Price Analysis

Arbitrum (ARB) broke out on July 15 and closed above the symmetrical triangle pattern, suggesting that the bulls have overpowered the bears.

ARB/USDT daily chart. Source: TradingView

The 20-day EMA ($1.16) has risen and the RSI has reached near the overbought zone, suggesting that the path of least resistance is up. There is a minor resistance at $1.36, but if that level is breached the ARB/USDT pair could rally to $1.50. This level could pose a major challenge again, but if the bulls scale it, the rally could extend to $1.70.

This positive view will be invalidated in the near term if the price declines and breaks below the triangle support line. That could trap several aggressive bulls, which could lead to a sharp drop to $0.90.

ARB/USDT four hour chart. Source: TradingView

The bulls have successfully retested the breakout level from the symmetrical triangle, suggesting that lower levels are attracting buyers. The bulls will attempt to build on this strength by pushing the price above $1.36. If they succeed, the couple could gain momentum.

On the contrary, if the price breaks down from the current levels or $1.36, the bulls will try again to pull the pair back into the triangle. If they do, it suggests the recent breakout may have been a bull trap. The pair could then drop to the 50-day SMA and then the triangle support line.

Related: Buy the Dip? The record 3.8% of bitcoin supply was last seen at $30.2k

Aave price analysis

Aave (AAVE) broke and closed above the descending channel pattern on July 3rd. The bulls successfully held the retest of the breakout level on July 6th and again on July 10th. This shows that the bulls have turned the resistance line into support.

AAVE/USDT daily chart. Source: TradingView

The rising 20-day EMA ($72) and the RSI in the positive territory suggest that the bulls are in charge. If the price increases from the current levels or bounces off the 20-day EMA, the prospects of a rally above $84.50 will increase. The AAVE/USDT pair could then rally to $95.

Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, it will indicate that the bulls may lose control. The bears will then try again to pull the price back into the down channel.

AAVE/USDT four hour chart. Source: TradingView

The 4-hour chart shows that the bulls pushed the price above the overhead resistance of $84.50 but failed to sustain the breakout. The bears sold from higher levels and pulled the price back below the 20-day EMA.

Both the moving averages have flattened out and the RSI is near the midpoint, suggesting a balance between supply and demand.

If the price falls below the 50-day SMA, the advantage could shift in favor of the bears. The pair could then slide to $68. The advantage will shift in favor of the bulls if they sustain the price above $84.50.

Manufacturer price analysis

Maker (MKR) broke the downtrend line on July 2 and successfully retested the level on July 14. The bounce off this support suggests strong demand at lower levels.

MKR/USDT daily chart. Source: TradingView

The rising 20-day EMA ($878) and the RSI in the positive territory are signaling that the bulls are in control. Buyers are attempting to continue the uptrend but it might face stiff resistance near $1,100. If the bulls clear this hurdle, the MKR/USDT pair could rally to $1,200.

On the contrary, if the price declines from $1,080, it will indicate that the bears will continue to sell on rallies. The pair could then drop to the 20-day EMA. A break below this level will indicate that the bears are attempting a comeback.

MKR/USDT four hour chart. Source: TradingView

The four-hour chart shows that the bulls have pushed the price above the resistance line, suggesting that the short-term correction may be over. The price could drop to the resistance line, which is an important level to watch.

A strong recovery from this level suggests that the bulls have turned the resistance line into support. This increases the possibility of a break above $1,080.

This bullish view could be invalidated in the short-term if the price breaks below the moving averages. That could sink the pair to $831.

This article does not contain any investment advice or recommendations. Every investment and trading activity involves risk and readers should do their own research in making their decision.

This article is provided for general informational purposes and is not intended and should not be construed as legal or investment advice. The views, thoughts, and opinions expressed herein are solely those of the author and do not necessarily reflect the views and opinions of Cointelegraph.

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