Bitcoin (BTC) and most major cryptocurrencies are still stuck under their respective overhead resistance, indicating that bears are selling in a rally.
According to Ki Yong Joo, CEO of cross-chain analytics firm CryptoQuant, “Whales put bitcoins on stock exchanges.” Ironically, the outflow from stock exchanges has continued, and as a result, reserves are still at their lowest level since mid-2018.
In a somewhat controversial report, Glassnode stated that long-term owners can “cut their costs and are therefore more likely to increase rather than step out of positions.”
Daily market indicators for cryptocurrency. Source: Coin360
Although Bitcoin is in a correction phase for the dollar, it has proven to be a savior for the purchasing power of Turkish investors. While the lira continues to lose value in 2021, bitcoin in the lira regularly reached record highs and passed 700,000 lira on 23 November.
Let’s take a look at the lists of the 10 best cryptocurrencies to see if it’s time for a rebound or if the correction can go deeper?
BTC / USDT
The bulls are trying to stop the correction near $ 55,000, but the bears are not ready to retire. Bitcoin’s comfortable rally on November 23 from $ 58,000 is down, indicating that the bears are trying to turn this level into resistance.
BTC / USDT daily chart. Source: TradingView
The moving averages completed the bearish cross, while the relative strength index (RSI) continued to fall into negative territory, indicating the bears’ advantage.
If the price falls below $ 55,317, sales may intensify and the BTC / USDT pair may fall to the support range of $ 52,500 to $ 50,000. Bulls are likely to defend this range aggressively, but the subsequent recoil may face sales in the 20-day period. Exponential Moving Average (EMA) ($ 60,084).
This negative perception will become invalid if the price rises from the current level and breaks the downtrend line. The couple can then try to resume the trend.
ETH / USDT
Ether (ETH) popped off the neck of the Head and Shoulders (H&S) pattern on November 22nd. Rebound from the neck reached the 20-day EMA ($ 4,337) on November 23, and served as resistance.
ETH / USDT daily chart. Source: TradingView
If the price falls below today’s level and falls below the 50-day simple moving average (SMA) ($ 4,169), the bears will try to pull the ETH / USDT pair under their necks again. If they succeed, the bearish pattern will end and reach $ 3,047.
Conversely, if the bulls push the price above the 20-day EMA and $ 4,451 resistance, it will mean that the sales pressure can ease. The pair will then try to rise to the upper resistance zone from $ 4,772.01 to $ 4,868. A break and closure over this area will signal a resumption of the uptrend.
BNB / USDT
Binance Coin (BNB) fell from $ 605.20 on November 21 and fell below the 20-day moving average ($ 584). However, the Bears failed to capitalize on this weakness and push the price down to the 50-day simple moving average ($ 532).
BNB / USDT daily chart. Source: TradingView
This indicates that bulls are accumulating at lower levels. Buyers tried to break the upper barrier on November 23, but the bears again aggressively defended this level. The price is currently hovering around the 20-day moving average.
If the price breaks above the current level and exceeds $ 605.20, the BNB / USDT pair may try to challenge the resistance at $ 669.20. If this level is exceeded, the pair can test the record again at $ 691.80.
Conversely, if the price falls below the 20-day moving average, the bears will again try to pull the pair back to the 50-day simple moving average. A pause and closing during this support can signal the start of a deeper retracement.
SOL / USDT
On November 22, Solana (SOL) broke the 20-day moving average ($ 219). The bulls pushed the price back above this level on November 23, but failed to keep the higher levels. This indicates that the bears protect the 20-day moving average.
SOL / USDT daily chart. Source: TradingView
The bears will now try to pull the price up to the guide line of the symmetrical triangle. This is an important level to protect the bulls because a break below it can move the advantage in favor of the bears. Then the SOL / USDT pair can start their downward movement to $ 153 and then to $ 140.