Bitcoin (BTC), which is still in a correction phase, has seen strong buying. Ether (ETH), however, has seen strong buying and pushed it to a new record high on Oct. 29, at its highest. The success of the Altair Beacon chain upgrade appears to have increased sentiment. It also opens the way for the merger with the Ethereum mainnet, and the transition to proof-of stake.
MicroStrategy continues to grow its already impressive Bitcoin stack. According to the company’s Q3 Report, it has added 8,957 Bitcoin to its total of 114,042 Bitcoins as of September 30, at an average cost of $27,713.
The appetite of the software company is not satisfied. CEO Michael Saylor stated that the company will continue to look at opportunities to raise capital to implement its Bitcoin strategy.
Everyday cryptocurrency market performance. Source: Coin360
The demand for people with crypto- or blockchain experience seems to be increasing due to the bullish trend in crypto. Devin Banerjee, LinkedIn editor, recently reported that job postings that contained terms like “blockchain” and “crypto” increased by 615% in August compared to a previous year.
Could Ether’s sharp rally be the beginning of an altseason? Let’s look at the charts for the top 10 cryptocurrency coins to see.
Bitcoin fell below the 20-day exponentially moving average (EMA), ($59,389) Oct. 27, but bears couldn’t sustain lower levels. The price quickly recovered and climbed above the 20-day EMA Oct. 28, indicating strong buying during dips.
Daily chart of BTC/USDT Source: TradingView
The bullish flag pattern formed by the price action over the last few days will be completed on a break above the resistance line. This will signal the resumption or the continuation of the uptrend. The $67,000 all-time high is the first resistance to the upside.
Bulls must clear this hurdle before the BTC/USDT pair can begin its northward march towards the pattern target of $89,476.12.
Bulls are favored by rising relative strength indexes (RSIs) and moving averages that are in the positive zone. To invalidate the bullish setup, the bears must pull back and maintain the price below $52,920. The pair could then slide to $52,920.
Ether rebounded sharply from the 20-day EMA ($3,953) Oct. 28, indicating dip buyers using the recent pullbacks to accumulate. On Oct. 29, the largest altcoin reached a new record high, signaling the return of the uptrend.
Daily chart of ETH/USDT Source: TradingView
Bulls are on top, as evidenced by the RSI in positive territory and the upsloping 20 day EMA. The ETH/USDT pairing could begin its climb towards the $4,657 pattern target and rally to $5,000 if buyers can sustain the price at $4,375.
Contrary to the assumption, if the price does not sustain above $4375, it will indicate that demand has dried up at higher levels. For a few days, the pair could consolidate between $4.375 and $3.888. If the pair breaks below this level, it will signal a deeper correction.
On Oct. 27, bulls successfully protected the neckline for the inverse head-and shoulders pattern. This is a positive sign. This could have encouraged traders to buy Binance Coin (BNB), which pushed it above the overhead resistance of $518.90.
Daily chart BNB/USDT TradingView
The 20-day EMA ($470), is sloping upward and the RSI in the positive zone indicates that buyers are in charge. The BNB/USDT pair may resume its upward trend toward the $554 pattern target if bulls can maintain the price above $518.90.
Contrarily, traders may be making higher profits if the price does not hold above $518.90. The price could drop to the neckline which would be a crucial support for bulls.
Although the bulls maintained the $1.87 support on Oct. 27, the rebound was weak. This indicates that traders are hesitant about buying Cardano (ADA), at higher levels.
Daily chart ADA/USDT Source: TradingView
Both moving averages are sloping downward and the RSI lies in the negative zone. This indicates that the path of least resistance leads to the downside.
If the price falls below the current level, or the 20-day EMA ($2.12) then the bears will attempt to break the ADA/USDT pairing below $1.87 support. This could signal a deeper correction towards $1.58.
If bulls push the price higher than the moving averages, this negative view will be invalidated. This could lead to a rally of the pair to $2.47
Solana (SOL), bounced off of the 20-day EMA ($180), on Oct. 27, indicating positive sentiment and traders buying on dips. Bulls will attempt to push the price higher than the overhead resistance zone of $216 to $218.93.
Daily chart of SOL/USDT Source: TradingView
Bulls are favored by the rising 20-day EMA, and the RSI in positive zone. Breaking above $218.93 would signal the resumption in the uptrend, and the SOL/USDT pairing could rally to $239.83.
The bears will not give up easily, however. The pair could consolidate between $171.47 to $218.93 for a few more days if the price falls below the overhead resistance or current level. A break below $171.47 could indicate a deeper correction.
On Oct. 27, Ripple (XRP), fell below $1 support, but bears couldn’t sustain lower levels. This indicates that bulls are building near the critical support. Buyers will now push the price higher than the downtrend line to maintain it.
Daily chart of XRP/USDT Source: TradingView
If they succeed, the USDT/XRP pair could rally to $1.24. The bears will likely mount a strong resistance. The pair could be range bound for a few more days if the price drops below this level.
The RSI is just below the midpoint and the moving averages are flat, indicating a balance between demand and supply. If the pair rises above $1.24, this equilibrium will shift in favor the bulls. A break below $1 could send the pair back to the support zone of $0.88 to $0.85.
Polkadot, (DOT), bounced off the breakout at $38.77 Oct. 27, suggesting that sentiment is bullish and traders continue to buy on dips.
Daily chart of DOT/USDT Source: TradingView
Bulls will attempt to push the price higher than the overhead hurdle of $46.39, and then retest the all time high at $49.78. The DOT/USDT pairing could move toward $53.90 if this resistance is broken.
Contrary to the assumption, if the price falls below the overhead resistance or current level, the bears will attempt to lower the price below the 20 day EMA ($40.90). If the price breaks below this level, it could test the critical support of $38.77. The 50-day simple moving Average (SMA) could become the next stop ($35.68).
Related: Decentraland, Axie Infinity and Metaverse rally in cryptos after Facebook rebrands as Meta
Dogecoin (DOGE), which broke below the 50 day SMA ($0.23) Oct. 27, but the long tail of the day’s candlestick suggests that aggressive buying is possible at lower levels. Bulls continued to buy on Oct. 28, which may have caught some aggressive bears off-guard.
Daily chart of DOGE/USDT Source: TradingView
The price climbed above $0.27 resistance on October 28th due to a combination of bottom fishing by bulls and short-covering bears. The candlestick’s long wick suggests traders could have made higher profits.
At $0.27, the bulls and bears will likely face off. The DOGE/USDT pair may attempt to rally towards $0.35 if bulls turn this level into support. Breaking and closing above this level could open the way for a move towards $0.45.
A break and close below $0.27 could bring the price down to $0.25, the 20-day EMA ($0.25).
Shiba Inu’s (SHIB), skyrocketed past the 200% Fibonacci extension level of $0.00007586 Oct. 27, and reached a new all time high of $0.00008854 Oct. 28.
Daily chart of SHIB/USDT TradingView
The sharp rally over the past few days pushed RSI to 91.66 Oct. 27, resulting a pullback Oct. 28. On Oct. 29, the SHIB/USDT pair formed an inside-day candlestick structure, indicating indecision between the bulls and bears.
The uptrend is still intact but the pair may enter consolidation or correction for a few days to digest the gains from the past few days.
It is important to monitor the 50% Fibonacci Retracement Level at $0.00005778 as a key level. A break below this level could increase selling and bring the pair down to $0.00005052, which is the 61.8% level.
Alternativly, if the price rises above $0.00008854 and breaks above $0.00008854 the pair could rally to $0.00010349, which is the Fibonacci extension level of 300%.
Terra protocol’s LUNA token bounced from the 50-day SMA ($38.69), on Oct. 27, indicating strong buys at lower levels. The formation of a symmetrical triangular structure has been triggered by the price action over the last few days.
Daily chart of LUNA/USDT Source: TradingView
The bulls will attempt to lift the price above the triangle. The LUNA/USDT pairing could resume its upward trend if they succeed. Although the bears will pose a challenge at the $49.54 all-time high, if they can overcome this level, the pair could reach the pattern target of $62.59.
Contrary to popular belief, if the price falls below the overhead resistance it will indicate that bears are continuing to sell on rallies. The price may extend its stay within the triangle for a few days.
Risk is inherent in every investment or trading move. Before making any investment or trading move, you should do your research.
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I am a technology and gaming writer by profession. I love NFT’s and play to earn gaming such as Axie Infinity. I love writing about anything on the blockchain, especially gaming and entertainment. I often sing, write or draw to portray my feelings. When it comes to my free time or you can say ‘ME-TIME’, I love to play with my cat, sleep an extra hour, or play my favorite video games.