Bitcoin and several altcoins are taking a breather after the sharp rally of the past two days, but the gener
Bitcoin and several altcoins are taking a breather after the sharp rally of the past two days, but the general trend remains bullish.
Ripple Labs’ victory in the case against the United States Securities and Exchange Commission gives a significant boost to the crypto industry. In addition to benefitting Ripple and XRP (XRP), analysts believe that the ruling will weaken the regulator’s case against Binance and Coinbase.
In another positive event for the crypto space, the U.S. dollar index (DXY) completed a bearish head and shoulders pattern on July 12 and followed that up with a drop below the psychological level of 100 on July 13. The DXY typically moves in inverse correlation with Bitcoin (BTC), hence its weakness is a positive sign for the crypto bulls.
LookIntoBitcoin creator Philip Swift said that increased on-chain spending volume shows that Bitcoin is in the first stage of a bull market.
The sharp rally in XRP and several other altcoins following Ripple’s victory is a sign that the crypto bulls are making a comeback.
What are the important resistance levels that need to be crossed for Bitcoin and the altcoins to start the next leg of the up-move? Let’s study the charts of the top-10 cryptocurrencies to find out.
Bitcoin price analysis
Bitcoin broke and closed above the $31,000 resistance on July 13 but the bulls are struggling to build upon this strength. This suggests that the bears have not yet given up and they continue to sell at higher levels.
Although the upsloping moving averages indicate advantage to buyers, the relative strength index (RSI) is forming a bearish divergence, signaling that the bullish momentum may be weakening.
The bears will try to pull the price back below the breakout level of $31,000. If they do that, the BTC/USDT pair could drop to the 20-day exponential moving average ($30,244). This remains the key level to keep an eye on. A bounce off it will suggest that the sentiment remains bullish and traders are buying on dips. A rally above $32,400 could clear the path for a potential rise to $40,000.
On the other hand, a break and close below the 20-day EMA could yank the price to $29,500. The bears will have to break this support to gain the upper hand in the near term.
Ether price analysis
The failure of the bears to sink Ether (ETH) below the 50-day SMA in the past few days may have attracted strong buying by the bulls. That pushed the price to the overhead resistance of $2,000 on July 13.
The bulls and the bears may witness a tough battle near $2,000 but the rising 20-day EMA ($1,895) and the RSI in the positive zone indicate that bulls have a slight edge. If buyers clear the hurdle at $2,000, the ETH/USDT pair may retest the overhead resistance zone between $2,142 and $2,200.
Another possibility is that the price turns down and drops to the 20-day EMA. If the price rebounds off this level, the bulls will again try to overcome the overhead obstacle.
The bears will have to tug the price below the 50-day SMA ($1,850) to weaken the bullish momentum.
BNB price analysis
BNB (BNB) turned up from the 20-day EMA ($245) on July 13 and broke above the resistance line of the symmetrical triangle pattern.
The bulls continued the up-move on July 14 and pushed the price above the 50-day SMA ($257) but the bears are posing a formidable challenge near the overhead resistance at $265. If the price turns down and re-enters the triangle, it will suggest that the recent breakout may have been a bull trap. The pair may then plummet to the 20-day EMA.
On the contrary, if the price rebounds off the resistance line, it will suggest that the bulls have flipped the level into support. That will enhance the prospects of a rally above $265. The pair may then start its northward march to $280 and later to $300.
XRP price analysis
XRP (XRP) skyrocketed above the overhead resistance of $0.56 on July 13. This meant the $0.30 to $0.56 range resolved in favor of the bulls. The pattern target of this breakout is $0.82 but the price overshot this level.
The XRP/USDT pair is facing profit booking near $0.94. Generally, a sharp rally is followed by a violent correction and a few days of consolidation. The bulls will try to arrest any pullback in the zone between the 38.2% Fibonacci retracement level of $0.75 and the 50% retracement level of $0.70.
If the price stays above this level, the pair may retest the overhead resistance at $0.94. Contrarily, a break below $0.70 could sink the pair to the 61.8% retracement level of $0.64. Such a deep fall may delay the start of the next leg of the uptrend.
Cardano price analysis
Cardano (ADA) witnessed aggressive buying by the bulls on July 13, which drove the price above the immediate resistance of $0.30…
cointelegraph.com