Bitcoin’s technical setup is leaning towards an additional downside that is prompting some traders to exit altcoins struggling with upper resistance levels.

The price of Bitcoin (BTC) has attempted to reverse course while the S&P 500 is still losing daily gains. Despite the fact that the US stock markets have been falling since August 26, Bitcoin managed to hold the $20,000 mark.

However, investor interest in Bitcoin seems to be declining. This led to a decline in assets under management (AUM) for bitcoin investment products, which fell 7.16% to $17.4 billion in August, according to a new CryptoCompare report.

In comparison, the AUM for Ethereum products over the same period rose 2.36% to $6.81 billion, suggesting that investors are positioning themselves in pre-merger Ethereum products.

Daily dynamics of the cryptocurrency market. Source: Coin360
Even though prices in the ecosystem have fallen, bear markets present attractive opportunities, at least for long-term investors. To capitalize on this opportunity, Reddit co-founder Alexis Ohanian’s venture capital firm Seven Seven Six is ​​looking to raise $177.6 million for a crypto mutual fund. Similarly, former Galaxy Digital and Genesis executives want to raise a $500 million fund.

While the immediate future seems uncertain, long-term investors may be looking for bottom fishing opportunities. Can Bitcoin and major altcoins stay above their immediate support levels? Let’s examine the charts of the top 10 cryptocurrencies to find out.

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Bitcoin/US dollar
Bitcoin deviated from the downtrend line on August 30, but with a slight plus, the bulls bought the dip around $19,500. The bulls will again try to push the price above the downtrend line on August 31st.

BTC/USDT daily chart. Source: Trading View
If successful, the BTC/USDT pair could rise to the 20-day exponential moving average (EMA) of $21,325, which is an important level to keep an eye on. If the price deviates downwards from this level, the bears will try to drag the pair into the strong $18,910-$18,626 support zone. A break and close below this zone could open the doors to a retest of critical support at $17,622.

On the other hand, if the bulls push the price above the 20-day EMA, the pair could rise to the 50-day Simple Moving Average (SMA) ($22,333). If the bulls break through this hurdle, the pair could gain momentum and push higher towards upper resistance at $25,211. Bulls need to overcome this barrier to show that the bottom can be in place.

Ether (ETH) rose from $1,422 on August 29 and climbed back above the neck line of the head and shoulders pattern. This suggests that the crash on August 26 may have been a bear trap.

Daily ETH/USDT chart. Source: Trading View
The bulls are trying to push the price above the moving averages. If they succeed, ETH/USDT could rise to an upper resistance level at $1,700. This is an important level to keep an eye on as a break and close above it could open the doors to a potential upside to $2,000.

This optimistic view will be invalidated if the price deviates from the upper resistance and falls below $1422. Such a move suggests that the recovery may end. The pair could then drop to $1,280 and then to $1,050.

BNB bounced off strong support at $275 on August 29th, which suggests that the bulls are aggressively defending this level.

BNB/USDT daily chart. Source: Trading View
The bulls tried to push the price above the 20-day EMA ($292) on August 30-31, but the bears held their positions. If the price breaks below the $275 support and closes, the BNB/USDT pair will complete the bearish head and shoulders pattern. This could lead to a drop to $240 and then a pattern target at $212.

Conversely, if the price recovers from $275 and breaks the 20-day EMA, the pair could rise to $308. A break and close above this resistance could open the way for a rally to $338.

Buyers have defended the $0.32 level for the past three days but failed to build a strong recovery. This points to

Source: CoinTelegraph