Bitcoin and select altcoins are showing strength, a possible sign that the bull trend has resumed.
Bitcoin and select altcoins are showing strength, a possible sign that the bull trend has resumed.
Bitcoin (BTC) succumbed to profit-booking on Nov. 13 and 14, which pulled the price below $35,000. Corrections are a normal part of every up-move and are considered healthy as they shake out the weak hands and allow the stronger hands to add to their positions.
A note of caution to the eager dip buyers is that Glassnode data shows the number of whale wallets with more than $1,000 Bitcoin dropped to its lowest level in about a month. This indicates that some whales may have sold into the recent strength.
DecenTrader co-founder Filbfilb said in an interview with Cointelegraph that a drawdown could come before the rally leading into Bitcoin halving in April 2024. Filbfilb believes Bitcoin could pick up pace after that and reach $46,000 to $48,000 by halving.
Could Bitcoin and the select altcoins resume their uptrend, or will higher levels attract solid selling by the bears?
Let’s analyze the charts of the top 10 cryptocurrencies to find out.
Bitcoin price analysis
Bitcoin re-entered the ascending channel pattern on Nov. 13, which may have trapped the aggressive bulls. That started a liquidation, which pulled the price to the channel’s support line on Nov. 14.
The strong bounce off the support line suggests that lower levels continue to attract buyers. The bulls will try to push the BTC/USDT pair above the resistance line, but may encounter strong selling by the bears.
If the price turns down and breaks below the channel, it will suggest that traders are rushing to the exit. That may yank the price to the $32,400 to $31,000 support zone. The bulls are expected to aggressively buy at lower levels. The bulls will be back in control after they shove the price above $38,000.
Ether price analysis
Ether (ETH) turned up on Nov. 13, but the long wick on the day’s candlestick suggests selling at higher levels. The selling continued on Nov. 14, and the price slipped below the psychological level of $2,000.
The failure of the bulls to flip the $2,000 level into support is a negative sign, but a solace is that buyers held the 20-day exponential moving average ($1,921) on the downside. If buyers retain the price above $2,000, it will indicate vigorous buying at lower levels. The ETH/USDT pair may then retest the overhead zone between $2,137 and $2,200.
Conversely, if the price turns down and breaks below the 20-day EMA, it will signal that the bears are back in the game. That could clear the path for a decline to the 50-day SMA ($1,745).
BNB price analysis
BNB (BNB) broke below the 20-day EMA ($239) on Nov. 14 but snapped back from the solid support at $235. This suggests robust buying at lower levels.
The upsloping moving averages and the relative strength index (RSI) in the positive territory suggest that bulls have a slight edge. Buyers will try to push the price to the $258 to $265 overhead resistance zone.
Sellers are expected to protect this zone with vigor. If the price turns down sharply from $265, the BNB/USDT pair may drop to $235 and oscillate between these two levels for some time.
XRP price analysis
XRP (XRP) pierced the $0.74 resistance on Nov. 13 and then turned down quickly, indicating aggressive selling at higher levels.
The selling continued on Nov. 14, pulling the price below the 20-day EMA ($0.62). This level is likely to witness a tough battle between the bulls and the bears. If the price maintains below the 20-day EMA, the next stop could be the 50-day SMA ($0.56). Such a move suggests that the XRP/USDT pair may swing between $0.56 and $0.74 for a while.
The bulls will be back in the driver’s seat after they propel the price above the overhead resistance at $0.74. The pair may then climb to $0.85 and later to $1.
Solana price analysis
The bears tried to start a correction in Solana (SOL) on Nov. 13, but the bulls stepped in and arrested the decline at $51 on Nov. 14.
Buying continued on Nov. 15, and the bulls are trying to overcome the barrier at $64. If they manage to do that, the SOL/USDT pair could start the next leg of the uptrend. The pair may then rally to $77 and subsequently to $95.
The risk to the upside move is that the RSI has been in overbought territory for the past several days. That suggests the rally is overextended in the near term and may witness a correction or consolidation.
Cardano price analysis
Cardano (ADA) remained above $0.38 from Nov. 10 to 12, but the bulls could not build upon the next leg of the uptrend. That may have tempted short-term traders to book profits, pulling the price to the 20-day EMA ($0.34) on Nov. 14.
The ADA/USDT…
cointelegraph.com
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