Bitcoin (BTC) and most major altcoins have fallen from overhead resistance levels, sentiment remains negative, indicating that traders are selling at every available opportunity. ..
Decentrader analyst Philip Swift said the spent profit output ratio (SOPR) metric on the chain, which is the sum of the purchase price and the selling price over a specific period, allows traders to sell their Bitcoin holdings at a loss. Said that it shows that it is.
Another indicator that traders are worried about is funding rates. This has slipped further into the negative territory, following comments from the Federal Reserve Board. Cryptocurrency research firm Delph Digital predicts that Bitcoin will “lower the low after recently testing the $34,000 level.”
Among some bearish forecasts, there was a super bullish long-term forecast by Cathy Wood’s Ark Invest. The report predicts that Bitcoin prices will exceed $1 million by 2030 and Ethereum (ETH) will reach $170,000 to $180,000 over the same period.
Can Bitcoin and most major altcoins bottom out near current levels? Check out the top 10 cryptocurrency charts.
BTC / USDT
Bitcoin faces severe resistance in the overhead zone between $37,332.70 and $39,600. This suggests that bears do not want to let go of their benefits and are selling at rallies.
Withdrawals over the past few days have resolved the oversold level of the Relative Strength Index (RSI). The bear attempts to resume the downtrend by pulling the BTC/USDT pair below $32,917.17. If they succeed, the next stop could be $30,000.
Alternatively, a price increase from the current level above $37,332.70 suggests a lower level of accumulation.
The buyer then tries to push the price above the 20-day exponential moving average (EMA) ($39,714) and challenge the 50-day simple moving average (SMA) ($44,428). Breaking and closing beyond this resistance indicates that the downtrend may have ended.
ETH / USDT
Ether surpassed overhead resistance at $2,652 on January 26, but bears aggressively sold at higher levels and lowered prices below the channel.
Since then, buyers have struggled to push prices back within the channel. The bear seeks to resume the downtrend by lowering prices below the January 24 daytime low of $2,159. If they succeed, the ETH/USDT pair can drop to $2,000 and then to $1,700.
The RSI has been stuck in the oversold zone for the past few days, suggesting that the sale may have been oversold in the short term. Therefore, the Bulls may try the relief rally again, which could reach the 20-day EMA ($2,856).
This is an important hurdle for bulls to cross, as the previous three relief rallies were rejected by the 20-day EMA.
BNB / USDT
Binance Coin (BNB) rebounded from $330 support on January 25 and re-entered the down channel, but the Bulls struggled to push prices up towards the 20-day EMA ($424). increase. This suggests a lack of demand at a higher level.
The bear sees a chance and tries to pull the price back towards the strong support zone of $330 to $320. This is an important zone for bulls to defend. This is because the BNB/USDT pair can plummet to $250 if cracked.
Contrary to this assumption, if prices rise from current levels, bulls will try to push the pair above the 20-day EMA. If they are successful, the pair can gather on the resistance wire of the channel. Breaking and closing on the channel indicates that the downtrend may have ended.
ADA / USDT
Cardano (ADA) has been trading for $1 near psychological support for the past few days. This suggests that bulls defended the support but couldn’t push prices up.
The moving average of the downward slope and the RSI in the negative region suggest that the path with the least resistance is downward. If the bear sinks and keeps the price below $1, the ADA/USDT pair can fall to $0.80.
If the price bounces off current levels and exceeds the moving average, this negative view will be invalid in the short term. The pair can then test the resistance wire of the channel. The Bulls need to clear this barrier to signal the possibility of a changing trend.
SOL / USDT
Solana (SOL) has been trading near the down channel support line for the past few days. This suggests that the bull is defending the support line but has not achieved a strong rebound from it.
The RSI has been trading in the oversold territory for the past few days, indicating that it may have been over-corrected in the short term. This represents the possibility of integration or minor pullbacks in the coming days.
In that case, the SOL / USDT pair could rise to a 20-day EMA ($118). Breaking and closing beyond this level can clear a possible rally path to the channel’s resistance line.
If prices fall and fall below the channel, this short-term positive view will be invalidated. After that, the pair could drop to $66.
XRP / USDT
The bulls tried to push Ripple (XRP) over the overhead resistance at $0.65, but the long candlestick core of the day suggests the bear is unwilling to forgive.
Both moving averages are declining, indicating that the RSI is in the oversold territory and bears are in command. The seller sinks the XRP/USDT pair to less than $0.54 and tries to challenge psychological support for $0.50.
This negative view is invalidated if the bulls push and maintain prices above the 20-day EMA ($0.68). Such a move would be the first sign that selling pressure may be declining. The pair can then recover to an overhead resistance of $0.75.
LUNA / USDT
Terra’s LUNA token slipped back into the support line of the descending channel. This suggests that traders continue to sell in rallies.
The downtrend 20-day EMA ($68.8) and the RSI near the oversold territory show that bears dominate. If the bear drops below the channel’s support line, selling can intensify and the LUNA / USDT pair can plummet to $37.82.
Contrary to this assumption, if the price rebounds from the current level, the Bulls will try again to push the pair to the 20-day EMA. This level can also act as a tight resistance, but if the bull overcomes it, the pair may recover to the downtrend line.
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DOGE / USDT
Dogecoin (DOGE) has fallen from the 20-day EMA ($0.15) on January 26th. This indicates that bears are being sold near this overhead resistance. Prices are back in the narrow range of $0.15 to $0.13.
The downtrend 20-day EMA shows a favorable advantage for bears, but the bullish difference in the RSI suggests that selling pressure may be declining. This uncertainty is unlikely to last long.
If the bulls push and maintain prices above the 20-day EMA, the DOGE / USDT pair could rise towards $0.19 overhead resistance. Conversely, if the price falls below $0.13, the pair could fall to psychological support at $0.10.
DOT / USDT
Polkadot (DOT) has been trading near strong support at $16.81 for the past few days, but the minor downside is that the Bulls haven’t achieved a strong rebound. This indicates a lack of demand at a higher level.
Bears try to pull and maintain prices below $16.81. If they can manage it, selling could intensify and the DOT / USDT pair could fall to the next major support at $10.37. The downhill moving average and the RSI of the oversold zone suggest that the path with the least resistance is down.
Conversely, if bulls push prices above $20.16, it suggests a recovery in demand. After that, the pair can rise to SMA ($25.44) for 50 days. This is an important level to watch out for, as above this indicates the possibility of a trend change.
AVAX / USDT
The January 26 candlestick long core of the avalanche (AVAX) shows that the bear is keeping the breakdown level of $75.50. Bears are now trying to raise the price to strong support for $51.04.
If the price bounces off $51.04, it suggests that the bull is buying down to this level. This could keep the AVAX/USDT pair range between $75.50 and $51.04 for several days.
Breaks and closes above $75.50 are the first signs that the fix may have finished. After that, the pair may rise to the downtrend line.
Alternatively, if the price falls below $47.66, the next phase of the downtrend could begin. Until then, the pair can remain volatile within range.
The views and opinions expressed here are those of the author and do not necessarily reflect the views of Cointelegraph. All investment and transaction movements carry risks. When making a decision, you need to do your own research.
Market data is provided by HitBTC currency exchange.