Bitcoin (BTC) led to a surge in cryptocurrency markets on Aug. 29 following Grayscale’s victory in the lawsuit against the US Securities and Exchange Commission. However, the rally could not be sustained as analysts warned that the win does not guarantee approval for a spot Bitcoin exchange-traded fund.
Still, the win could prove positive for Grayscale. Glassnode analysts said in an X (formerly Twitter) post on Aug. 30 that Grayscale Bitcoin Trust (GBTC) could return to premium next year. It is important to note that GBTC has traded at a discount to the current Bitcoin price for the past two and a half years.
Daily cryptocurrency market performance. Source: Coin360
Although the S&P 500 Index is on the way to recovery and the US Dollar Index (DXY) is trending lower in the short term, the crypto markets are unable to sustain the higher levels in the short term. This shows that traders continue to focus on crypto-specific news.
Could the Bulls Defend Support Levels in Bitcoin and Altcoins? Will this lead to a stronger recovery soon? Let’s look at the charts of the top 10 cryptocurrencies to find out.
Bitcoin price analysis
Bitcoin’s range disappeared on Aug. 29 with a sharp breakout to the upside. This move suggests that the price is likely to fluctuate within the major range of $24,800 to $31,000 for a few days.
BTC/USDT daily chart. Source: TradingView
The 20-day exponential moving average ($27,168) is flattening out and the Relative Strength Index (RSI) is just below the midpoint, suggesting that selling pressures are easing.
Buyers will attempt to defend the breakout level of $26,833. If they succeed, it would be a sign that the bulls have flipped the level towards support. The BTC/USDT pair might first scale the 50-day simple moving average ($28,689) and then attempt a move to $31,000.
If the bears want to catch the aggressive bulls, they need to sink the price below $26,833. If they do, it would be a sign that the bears are selling on any attempt to recover. The pair could then retest the strong support at $24,800.
Ether Price Analysis
Ether (ETH) rallied again off the key support at $1,626 on Aug. 28, suggesting the bulls are buying the dips.
ETH/USDT daily chart. Source: TradingView
On August 29, momentum picked up and the bulls pushed the price above the 20-day EMA ($1,716). This suggests that the ETH/USDT pair could oscillate between $1,816 and $1,626 for some more time.
The price fell back below the 20-day EMA on August 30, which is a sign that the bears are not yet giving up. If the price stays below the 20-day EMA, the pair could drop to $1,626. On the other hand, if the price rises and scales back above the 20-day EMA, the pair could reach the overhead resistance at $1,816.
BNB price analysis
After trading in a tight range near $220 for a few days, BNB (BNB) surged higher on Aug. 29. The recovery rally is facing resistance at the 50-day SMA ($235) as indicated by the long wick on the candle of the day.
BNB/USDT daily chart. Source: TradingView
The 20-day EMA ($224) is flattening out and the RSI is slightly below the midpoint, suggesting that the downside selling pressure is easing. If the price rises from the current levels, the BNB/USDT pair could rally to the resistance line. This level could prompt renewed aggressive selling by the bears.
On the other hand, if the price falls below $220, it will indicate that the bears remain in control. The pair could then drop to the intraday low of Aug. 22 of $203.
XRP price analysis
XRP (XRP) has been trading between $0.50 and $0.56 for the past few days. This suggests that the bulls are buying near the support and the bears are selling near the resistance.
XRP/USDT daily chart. Source: TradingView
The falling 20-day EMA ($0.55) and the RSI in the negative territory are suggesting that the bears have the upper hand. Sellers will try to sink the price below the strong support at $0.50. If they succeed, the XRP/USDT pair could drop to $0.41.
Alternatively, if the price recovers from $0.50, the currency pair could remain range bound for longer. Buyers need to push and hold the price above $0.56 to signal the start of a sustained recovery. The pair could then rally to the 50-day SMA ($0.64).
Cardano price analysis
The bulls pushed Cardano (ADA) above $0.28 on Aug 29 but failed to sustain the higher levels. This kept the price below the $0.28 resistance.
ADA/USDT daily chart. Source: TradingView
This shows that the price remains in the range between $0.28 and $0.24. The next support is at the uptrend line. If the price bounces back strongly from this level, it will indicate that any minor dip will be bought. That will increase the chances of a rally above $0.28. Above this level, the ADA/USDT pair could rally to $0.32.
If the price breaks below the uptrend line instead, it will signal that the bears are attempting a comeback. The pair could then slide to the key support at $0.24.
Dogecoin price analysis
Dogecoin (DOGE) hit the 20-day EMA ($0.07) on Aug. 29, but the bulls are struggling to sustain the price above it.
DOGE/USDT daily chart. Source: TradingView
If the price declines sharply from the current level, it indicates that the bears are selling on rallies. The DOGE/USDT pair could then consolidate between the 20-day EMA and the support at $0.06.
On the other hand, if the pair does not lose much ground from the current levels, it will indicate that the bulls are maintaining their buying pressure. That could open the door for a possible rally to $0.08.
Solana price analysis
Solana’s (SOL) rally met an obstacle on Aug. 29 at the 20-day EMA ($21.77), suggesting that sentiment remains bearish and traders are selling on rallies.
SOL/USDT daily chart. Source: TradingView
The bears will make another attempt to sink the price to $19.35. If this level breaks, the SOL/USDT pair could start a move down to $18 and then $16.
The bulls may have other plans. They will attempt to build on the recovery by pushing the price above the upper resistance at $22.30. If successful, the pair could rally to the 50-day SMA ($23.59). If the price declines from this level, the pair could stay in the range between the 50-day SMA and $19.35 for some more time.
Related: Why is the Dogecoin price up today?
Toncoin price analysis
Toncoin (TON) surged above the neckline of the inverse head and shoulders pattern at $1.53 on Aug. 29. This indicates a possible trend reversal.
TON/USDT daily chart. Source: TradingView
Usually, after the breakout, the price declines and retests the breakout level. If the price bounces off $1.53, it will indicate that the bulls have turned the level into support. This could start an upward movement towards the pattern target of $1.91. If this resistance is broken, the TON/USDT pair could reach $2.07.
If the bears are to stop the rally, they must quickly sink the price back below $1.53. Such a move could trap the aggressive bulls and lead to a long liquidation. The pair could then drop to $1.25.
Polkadot Price Analysis
Polkadot (DOT) broke out on Aug. 29 and closed above the 20-day EMA ($4.64), but the long wick on the candle shows selling at higher levels.
DOT/USDT daily chart. Source: TradingView
The bears pulled the price back below the 20-day EMA on August 30th. This suggests that the bears have not given up and are viewing the rallies as a selling opportunity. The flattening 20-day EMA and the RSI in negative territory are signaling a possible short-term move within the range.
If the price falls below $4.50, the DOT/USDT pair could oscillate between the 20-day EMA and $4.22 for some time. On the other hand, a break and close above the 20-day EMA could propel the pair towards overhead resistance at $5.
Polygon Price Analysis
Polygon (MATIC) is facing strong resistance in the $0.60-$0.65 range as evidenced by the long wick of the Aug. 29 candle.
MATIC/USDT daily chart. Source: TradingView
The price fell on August 30, suggesting that the MATIC/USDT pair could consolidate in a wide range between $0.51 and $0.65 for a while. Price movement within this range is likely to remain random and volatile.
If the bears want to take control, they need to sink the price below $0.51. That could resume the downtrend with the next support at $0.45. On the downside, a break and close above the 50-day SMA ($0.67) could signal that the bulls are in charge.
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.
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