Bitcoin, ATOM, APE, CHZ and QNT are facing resistance at higher levels, but the charts show that the current recovery could last a few more days.

US stock markets rose sharply last week, breaking a three-week losing streak. Last week, the S&P 500 was up 3.65% and the Nasdaq Composite was up 4.14%. Continuing its close correlation with US stock markets, Bitcoin (BTC) has also rallied strongly, attempting to end the week up more than 7%.

A sharp rally in stock and cryptocurrency markets is showing signs of bottoming out, but it might be too early to predict the start of a new bull run. Equity markets could be higher ahead of the September 13 US inflation data release and the September 20-21 Federal Reserve meeting. September stay tense.

Daily cryptocurrency market data view. Source: Coin360
Besides the stock market, the cryptocurrency space has its own major developments to look forward to. Both the Ethereum merger and the Cardano Vasil hard fork planned for the next few days could increase the volatility of several cryptocurrencies.

While choppy markets increase risk, they can present short-term trading opportunities for nimble traders. Let’s examine the charts of five cryptocurrencies that look interesting in the short-term.

Bitcoin/US Dollar
Bitcoin surged above the 20-day exponential moving average (EMA) of $20,662 on Sept. 9, the first sign that selling pressures might be easing. The bears are attempting to halt the rally at the 50-day simple moving average (SMA) of $21,946, but the positive sign is that the bulls have not lost much ground.

BTC/USDT daily chart. Source: Trade View
The 20-day EMA is gradually starting to rise and the Relative Strength Index (RSI) is floating in positive territory, suggesting that the path of least resistance is up. If the bulls propel the price above the 50-day SMA, the BTC/Tether (USDT) pair could surge towards the tough upper resistance at $25,211. The bears are expected to vigorously defend this level.

Another possibility is that the price is declining from the 50-day SMA. In this case, the pair could drop to the 20-day EMA. This is an important level to watch as a break and close below could open the doors for a drop to $18,626. Alternatively, if the price bounces off the 20-day EMA, it would increase the likelihood of a breakout of the 50-day SMA.

BTC/USDT on the 4 hour chart. Source: Trade View
The pair gained momentum after rising above the $19,520 breakout level. The strong rally pushed the RSI into overbought territory, indicating a minor consolidation or correction. Buyers face a tough challenge around $22,000 but they haven’t given in to the bears. This suggests that every small dip will be bought.

If the bulls push the price above $22,000, the pair could quickly rally to $23,500 where the bears could attempt to halt the rise again.

Contrary to this assumption, if the price reverses and breaks below the 20-EMA, the pair could drop to $20,576. A break below this level would mean that the pair could consolidate in a large range of $22,000 to $18,626 for a while.

ATOM/USDT
Cosmos (ATOM) broke the upper resistance at $13.45 on Sep 8th, indicating higher demand. The next strong resistance is $20.30 and it leaves room for upside.

ATOM/USDT daily chart. Source: Trade View
Before that, however, the bears will attempt to sink the price below the $13.45 breakout level. This is an important level to watch as a break and close below suggests the recent break may have been a bull trap.

On the other hand, if the price rallies from the current levels or bounces off $13.45, it would mean that the bulls are in control and are buying on any dips. If the bulls push the price above $17.20, the upside could gather momentum and reach $20.30.

ATOM/USDT 4 hour chart. Source: Trade View
On the 4-hour chart, you can see that the ATOM/USDT pair is rising after breaking the upper resistance level at $13.45. This pushed the RSI deep into overbought territory and initiated a correction, but the positive sign is that the bulls have not lost much ground.

If the price bounces off the current level, a break above $17.20 is more likely. In this case, the upward movement could continue un

Source: CoinTelegraph

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