Key points:
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Bitcoin is facing profit booking near $123,000, pointing to a minor consolidation or correction in the near term.
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Several major altcoins have broken above their overhead resistance levels, indicating the start of a new uptrend.
Bitcoin (BTC) started the new week on a strong note, rising above $123,000, but higher levels are witnessing some profit booking. A positive sign is that the bulls are trying to maintain the price above $120,000.
Bitcoin exchange-traded funds saw their first-ever back-to-back inflows of more than $1 billion on Thursday and Friday, according to Farside Investors data. That suggests investors expect the rally to continue.
Michael Saylor’s Strategy was not to be left behind, and it resumed its BTC purchase after a one-week gap. The company said in a Monday US Securities and Exchange Commission filing that it had bought 4,225 BTC at an average price of $111,827. The latest acquisition boosted Strategy’s holdings to 601,550 BTC.
BTC’s dominance of the total crypto market capitalization rose above 66% at the end of June but has since retreated below 65%. The small pullback has caused several altcoins to surge in the short term.
Historically, an altseason starts after BTC’s dominance reverses after hitting 70%. Trader and analyst Rekt Capital said in a post on X that one can imagine the extent of the altcoin rally after BTC’s dominance drops by double digits.
Will BTC continue to frustrate the bears or correct in the short term? Could altcoins build upon their rally? Let’s analyze the charts of the top 10 cryptocurrencies to find out.
S&P 500 Index price prediction
The S&P 500 Index (SPX) has been maintaining above the breakout level of 6,147, indicating that the bulls are holding on to their positions as they anticipate further upside.
The 6,147 level is the critical support to watch out for on the downside. A break and close below 6,147 may trap the aggressive bulls, pulling the price to the 50-day simple moving average (5,977).
Contrarily, if the price turns up from the current level of 6,147, it indicates that the uptrend remains intact. The index could surge toward 6,500, where the bears are expected to mount a strong defense.
US Dollar Index price prediction
The US Dollar Index (DXY) rose above the 20-day exponential moving average (97.77) on Friday, indicating that the selling pressure is reducing.
The index could extend the relief rally to the 50-day SMA (98.83), which is likely to act as a stiff obstacle. If the price turns down from the 50-day SMA but rebounds off 97.92, it suggests the index has formed a higher low. That enhances the prospects of a rally above the 50-day SMA. If that happens, the up move could reach 100.54 and then 102.
This optimistic view will be negated in the near term if the price turns down sharply from the current level or the 50-day SMA and plunges below 96.37. That could start the next leg of the downtrend to 95.
Bitcoin price prediction
Bitcoin rallied to a new all-time high of $123,218 on Monday, but the bulls could not sustain the higher levels as seen from the long wick on the candlestick.
The overbought level on the relative strength index (RSI) suggests the BTC/USDT pair may enter a minor correction or consolidation in the near term.
The pullback is expected to find support at the 20-day EMA ($111,843). If that happens, it signals that the bullish momentum remains intact. Buyers will then try to push the pair above $123,218, starting the next leg of the uptrend toward the target objective of $150,000.
The advantage will tilt in favor of the bears if the price plunges below the 50-day SMA ($107,631).
Ether price prediction
The long wick on Ether’s (ETH) candlestick on Monday shows that the bears are active at higher levels.
The first support on the downside is $2,879. If the price rebounds off $2,879, it signals that the bulls are trying to flip the level into support. The ETH/USDT pair may ascend to $3,153 and then to $3,400.
Instead, if the price breaks below $2,879, it suggests profit-booking by short-term buyers. The pair may then descend to the 20-day EMA ($2,707). The bulls will have to successfully defend the 20-day EMA if they want to maintain the bullish momentum.
XRP price prediction
XRP (XRP) skyrocketed above the $2.65 overhead resistance on Friday, indicating that the buyers have overpowered the sellers.
The bears tried to pull the price back below $2.65 on Saturday, but the bulls held their ground. That suggests the bulls are trying to flip the $2.65 level into support. There is minor resistance at $3, but if the level is crossed, the XRP/USDT pair could soar to $3.20 and then to $3.40.
A note of caution is that the rally…
cointelegraph.com