Bitcoin and most major altcoins have fallen to their immediate support levels, suggesting the bears remain active at higher levels.
Bitcoin (BTC) and most major altcoins will see profit-taking on July 25 as bulls trim positions ahead of the July 26-27 Federal Open Market Committee meeting. This suggests that sentiment remains fragile and bulls are uncertain. about transferring long positions to the event.
Several analysts maintained their bearish outlook after Bitcoin failed to sustain above the 200-week moving average of $22,780. CryptoQuant member Venturefounder expects selling to resume and bitcoin to fall to $14,000 before confirming a macro bottom.
Cryptocurrency market daily indicators. Source: Coin360
Institutional investors appear to be absent from the markets and the recovery is being driven by retail investors. Data from network analytics firm Glassnode has shown that investors holding one bitcoin or less are aggressively hoarding “now more than ever.”
Can retail investors continue their buying spree and lower levels below bitcoin and altcoins? Let’s examine the charts of the top 10 cryptocurrencies to find out.
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Bitcoin bounced off the 20-day exponential moving average (EMA) of $21,857 on July 23, but the bulls failed to scale $23,363 on July 24. This suggests that the bears are aggressively defending the upper resistance.
BTC/USDT daily chart. Source: Trade View
The price has returned to the 20-day EMA, which is an important level to watch. If this level breaks, BTC/USDT could drop to $20,750. Such a move will invalidate the breakout of the symmetrical triangle.
The 20-day EMA is flattening out and the Relative Strength Index (RSI) has fallen to its midpoint, indicating a balance between supply and demand.
This advantage could turn in buyers’ favor if the price surges above $23,363. In that case, the pair could rally to $28,171 and then $30,000. The bears need to push the price below the support line to gain the upper hand.
The bears have been successfully defending the upper resistance at $1,700 for the past few days. On a small upside, however, bulls prevented Ether (ETH) from falling below $1,464, indicating buying at lower levels.
Daily ETH/USDT chart. Source: Trade View
If the price bounces off $1,464, ETH/USDT could remain range bound for a few more days. The rising 20-day EMA ($1397) and the RSI in the positive territory are indicating that the path of least resistance is up.
A break and close above $1,700 could signal renewed upward movement. The pair could then rally to $2,000.
This bullish view may be invalidated if the price falls below the 20-day EMA. In that case, the pair could drop to $1,280. A strong bounce from this level could sustain the pair in the $1,280-$1,700 range for several days.
BNB reversed off the downtrend line on July 23, suggesting the bears remain vigorously defending the level. Now the bears will try to sink the price below the moving averages.
BNB/USDT daily chart. Source: Trade View
If successful, the BNB/USDT pair can test the uplink support line. If the price bounces off this level, the bulls will try again to push the pair above the downtrend line and challenge the channel resistance line.
Another possibility is that the bears are pushing the price below the channel support line. In that case, the advantage will shift in favor of the bears and the pair could drop to strong support at $211.
Ripple (XRP) has been consolidating between $0.30 and $0.39 for the past few days. Although the price bounced off the moving averages on July 23, the rally failed to reach the upper resistance level at $0.39. This suggests that demand is drying up at higher levels.
Daily XRP/USDT chart. Source: Trade View
The bears are attempting to sink the price below the moving averages. If they succeed, the XRP/USDT pair could gradually drop to $0.30. Buyers are likely to defend this level with all their might as if support breaks, the pair could resume the downtrend.