Bitcoin (BTC), which soared to $40,000 on February 28, despite the soft S&P 500. This indicates that Bitcoin’s correlation with the U.S. equity market may be beginning to show signs of decoupling. Bitcoin could avoid four months of decline if bulls can keep the price above $38,500 until the end of each day.
The resolve of long-term investors who plan to stay with their positions seems to be unaffected by the volatility in the last few days. Glassnode, an on-chain analytics company, revealed that the Bitcoin supply that was last in motion between three and five years ago rose to more than 2.89 million Bitcoin. This is a four year high.
Everyday cryptocurrency market performance. Source: Coin360
A Portuguese software developer Tiago Vascolos tried to create an artificial intelligence trading robot for Bitcoin. The bot concluded that it was best to buy Bitcoin as soon as possible, and never to sell.
Can bulls maintain the momentum and push Bitcoin towards the next overhead resistance level? Are altcoins likely to join the party? Let’s look at the top 10 cryptocurrencies charts to find out.
Bitcoin fell below the SMA (50-day simple moving average) ($40.261) on February 26, but the bears couldn’t pull it below $37,000. The bulls have cleared the hurdle at the 50 day SMA and the price has rebounded strongly on February 28.
Daily chart of BTC/USDT Source: TradingView
The BTC/USDT pair may begin its northward march toward the channel’s resistance line if bulls can keep the price above 50-day SMA. At this level, the bears will likely mount a strong defense. To signal that correction is over, the bulls will need to push the pair higher than the channel.
The 20-day exponential moving mean (EMA) of $39,813 is flattening and the relative strength indicator (RSI) has risen just above the middlepoint. This suggests that bulls are trying to make a strong comeback.
If the price does not sustain above the moving averages, this positive outlook will be invalidated in the short-term. If the channel’s support line is not reached, the pair could drop again.
Ether (ETH), which fell to the support line in the triangle after the 50-day SMA ($2,865), indicated that higher levels continue attract selling by bears.
Daily chart of ETH/USDT Source: TradingView
Although the price is now above the support line, the bulls must push the ETH/USDT currency pair higher than the 50-day SMA in order to signal a change in the trend. The pair could rally to resistance line if that happens.
If the price falls below the moving averages it will indicate that the bears are continuing to sell at higher levels. This will increase the likelihood of a break below this triangle. If the triangle is closed, it could lead to a retest at $2300.
BNB fell from the 20-day EMA (385) on February 26, but has since rebounded strongly from the strong support of $350 on February 28. This means that the price has remained between these two levels.
Daily chart BNB/USDT TradingView
Both moving averages are sloping downward and the RSI is just above the midpoint. This indicates that bears have a slight advantage. The possibility of a drop below $350 is possible if the price falls from the 20-day EMA. The BNB/USDT pair may drop to the $330-$320 support zone if that happens.
If the price moves above the moving averages and rises from its current level, it could indicate that bulls are trying to make a comeback. This could lead to a rally of the pair to $445.
The Ripple (XRP), which was down from the downtrendline on February 26, indicated that bears are vigorously defending this resistance. The bulls are fighting for support at the 50 day SMA ($0.72), which is a minor positive.
Daily chart of XRP/USDT Source: TradingView
The bulls will attempt to push the XRP/USDT price above the downtrend line if the price remains above $0.75. It could open the way for a rally to $0.91 if they succeed.
The bears could also try to lower the pair below $0.68 if the price falls from its current level. The pair may retest the February 24 intraday low of $0.62. The bulls and bears are not clearly in the lead by the flattish moving averages, or the RSI just below the midpoint.
Cardano (ADA), which is Cardano (ADA), has been above $0.82 for the last few days, but the bulls are struggling to push it to $1. This suggests that demand is drying up at higher levels.
Daily chart ADA/USDT Source: TradingView
The greater chance of a retest at $0.74 intraday low, the longer the price remains below the moving averages. The downtrend could reopen if this support breaks and the ADA/USDT exchange rate could plummet to $0.68.
Contrary to popular belief, if the price breaks above $1 it will indicate that the markets have rejected lower levels. The resistance line in the descending channel could be reached and the pair could rise. To indicate that the downtrend has ended, the bulls must push the price higher than the channel.
Solana (SOL), has been trading between the 20-day EMA ($94), and strong support at $81, but this tight range trading will not last long.
Daily chart of SOL/USDT Source: TradingView
The RSI has begun to show signs of forming a positive convergence, which indicates that bearish momentum might be slowing. The resistance line for the descending channel could be reached if bulls push the price higher than the 20-day EMA.
The first sign that the bears are losing their grip is a break or close to the channel. The overhead resistance of $122 could be reached by the pair. This positive view will negate any break below $81.
Avalanche’s (AVAX), oscillations have been close to the moving averages over the past three days. Bulls drove the price higher than the moving averages on February 25, but they were unable to sustain this high level. On February 27, strong selling brought the price down below the moving averages.
Daily chart of AVAX/USDT Source: TradingView
The bulls are trying to keep the price above the moving Averages. The AVAX/USDT pairing could rally to the downtrend channel’s descending channel if they succeed. The resistance level can be a strong one, but bulls must overcome it to signal that the downtrend has ended.
Contrary to the assumption, if the price falls below the overhead resistance or current level, it will indicate that bears are continuing to sell rallies. If the price falls below $64, bears may gain strength.
Related: eBay CEO says that soon there will be crypto-payment options.
Terra’s LUNA token dropped from $80 to $70, but the bulls defended the immediate support of $70. This shows that traders are buying on every minor dip.
Daily chart of LUNA/USDT Source: TradingView
On February 28, the buying momentum picked up and bulls drove the price higher than the overhead resistance of $70. Bulls have control of the market thanks to the upwardly-sloping 20 day EMA ($62), and the RSI within the overbought territory.
The LUNA/USDT pairing could rise to $90, where bears might again mount a strong resistance. The pair could reach $103 if it breaks and closes above this level.
If the price drops from $90, then the pair could drop to $70 again and consolidate between these levels for a few more days.
Dogecoin (DOGE), which has struggled to rebound from the strong support at $0.12 indicates a lackluster urgency among bulls to purchase at higher levels.
Daily chart of DOGE/USDT Source: TradingView
A breakdown is more likely if the price holds on to the $0.12 support without a bounce. The psychological support of $0.10 could be retested if the bears lower the price to $0.12.
The bulls must defend this level as selling could intensify and the pair could fall to $0.06. A break above the 50-day SMA ($0.14) will signal strength. This could lead to a rally up to $0.17
The downtrend line indicated that Polkadot’s recovery from DOT was stalled. This indicates that sentiment is still negative and traders are buying rallies to high resistance levels.
Daily chart of DOT/USDT Source: TradingView
For the next few days, the price could stay between the downtrend line at $14 and $14. If bears push the price below $14, then the DOT/USDT pairing could resume its downtrend. It could decline to $10.
To signal that bears are losing their grip, buyers will need to push the price higher than the downtrend line. The overhead resistance at $23 could be the place where bears can mount a strong defense.
Risk is inherent in every investment or trading move. Before making any investment or trading move, you should do your research.
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.