Nonfarm payrolls rose by 209,000 in June, below economists’ expectations of an addition of 240,000 jobs. Although the figures show a cooling labor market, market observers remained concerned as the average hourly earnings growth held steady at 0.4% from May and 4.4% from a year ago.
The report did not alter expectations of a 25 basis point rate hike by the United States Federal Reserve in the next meeting, according to the FedWatch Tool. That kept the U.S. equities markets under pressure, with all three major indices falling for the week. The S&P 500 was down 1.16% and the Nasdaq was lower by 0.92%.
Another minor negative for the crypto markets was a report by JPMorgan managing director Nikolaos Panigirtzoglou, which said that a spot Bitcoin (BTC) exchange-traded fund (ETF) may not prove to be a game changer for the crypto space. Panigirtzoglou cites lackluster interest in the spot Bitcoin ETFs in Canada and Europe as the reason for a possible low impact even in the U.S.
Could bulls regroup and kick Bitcoin above the overhead resistance? If they do, select altcoins could join the march higher. Let’s analyze the charts of top-5 cryptocurrencies that are showing signs of moving up.
Bitcoin price analysis
Bitcoin remains stuck between the 20-day exponential moving average ($29,854) and the overhead resistance at $31,000. This suggests uncertainty among the bulls and the bears about the next directional move.
The BTC/USDT pair bounced off the 20-day EMA on July 7, indicating that the bulls continue to defend the level aggressively. Buyers will again attempt to overcome the resistance at $31,500. If they succeed, the pair may start the next leg of the uptrend. The pair could first advance to $32,400 and thereafter sprint toward $40,000.
The bears are likely to have other plans. They will try to protect the overhead resistance and tug the price below the $29,500 support. If this level gives way, stops of several short-term bulls may be hit. That could sink the pair to the 50-day simple moving average ($28,101).
The 4-hour chart shows that the pair is trading between $29,500 and $31,500. Generally, a tight range trading is followed by a range expansion but it is difficult to predict the direction of the breakout with certainty. Hence, it is better to wait for the price to escape the range before waging large bets.
If the price breaks above the 50-SMA, the bulls will try to drive the pair above $31,500. If they manage to do that, the pair may start a new up-move. Conversely, a tumble below $29,500 could start a correction toward $27,500.
Solana price analysis
Solana (SOL) has been trading in a large range between $15.28 and $27.12 for the past several months. The failure to sustain the price below the support of the range started an up-move that has risen above the downtrend line. This suggests that the bulls are attempting a comeback.
The moving averages have completed a bullish crossover and the RSI is near the overbought territory, indicating that the path of least resistance is to the upside. There is a minor resistance at $22 but if this level is crossed, the SOL/USDT pair may rally to $24 and ultimately to the stiff overhead resistance of $27.12.
On the downside, $18.70 is the important support to keep an eye on. A break and close below this level may open the doors for a possible drop to the strong support zone between $16.18 and $15.28.
Both moving averages are sloping up and the RSI is in the positive territory on the 4-hour chart. This suggests that the bulls are in command. However, the bears have not yet given up and have pulled the price to the 20-EMA.
If the price rebounds off the 20-EMA with strength, the bulls will make one more attempt to overcome the obstacle at $22. If they can pull it off, the pair may jump toward $24.
The first sign of weakness will be a drop below the 20-EMA. That will indicate profit-booking by the short-term bulls. The pair may then slide to the 50-SMA.
Avalanche price analysis
After struggling near the 50-day SMA ($12.99) for several days, Avalanche (AVAX) successfully scaled the level on July 8.
The moving averages are close to completing a bullish crossover and the RSI has jumped into the positive territory. This suggests that bulls have an edge. The AVAX/USDT pair could rise to $16 where the bears may again mount a strong defense.
If subsequent corrections find support at the 20-day EMA ($13), it will suggest the start of an up-move toward $18. The important support to watch on the downside is $12. A break below this level may drag the price to the vital support at $10.52.
The 4-hour chart shows the price has risen above the symmetrical triangle pattern, indicating that bulls are trying…
cointelegraph.com