Key points:
-
Bitcoin is trying to take support near $112,000, but higher levels are likely to attract selling by the bears.
-
The deep pullback in several altcoins suggests the next leg of the up move may not happen in a hurry.
Bitcoin (BTC) bulls are trying to maintain the price above $115,000, but are facing stiff resistance from the bears. Maelstrom Fund chief investment officer Arthur Hayes said in a comment to a post on X that sluggish credit market and slowed job creation could sink BTC to $100,000 and Ether (ETH) to $3,000.
US spot BTC exchange-traded funds (ETFs) and ETH ETFs fund flows also showed cautiousness among traders. Bitcoin ETFs recorded net outflows of $812.25 million on Friday, and Ethereum ETFs saw $152.26 million in outflows, ending a 20-day inflow streak per SoSoValue data.
However, the near-term uncertainty has not stopped public companies from buying more BTC and ETH. Japanese investment company Metaplanet said on Monday that it has acquired 463 BTC at an average price of about $115,895, boosting its holdings to 17,595 BTC.
On similar lines, SharpLink purchased 30,755 ETH at an average price of $3,530, taking the firm’s total holdings to 480,031 ETH.
Could BTC break above its overhead resistance? Will that start a recovery in altcoins? 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) rose to a new all-time high on Thursday but witnessed profit booking at higher levels.
Selling continued on Friday, pulling the price below the 20-day simple moving average (6,306). The bulls are trying to get back into the driver’s seat by pushing the price back above the 20-day SMA on Monday. If they succeed, the index could retest the all-time high of 6,427.
Contrarily, if the price turns down from the 20-day SMA, it suggests that the rallies are being sold into. The index could then descend to the 50-day SMA (6,139), which is likely to attract buyers.
US Dollar Index price prediction
The US Dollar Index (DXY) broke above the 50-day SMA (98.29) on July 28 but turned down from the overhead resistance of 100.54 on Friday.
The bulls are trying to arrest the pullback near the moving averages, indicating that the selling pressure is reducing. If the price turns up from the current level and breaks above 100.54, the recovery could reach the 102 level. A break and close above 102 suggests a short-term bottom is in place.
Sellers will have to pull the price below the moving averages to retain the advantage. If they do that, the index could drop to 97.10.
Bitcoin price prediction
BTC fell below the neckline of the inverse head-and-shoulders pattern on Friday but found support at the 50-day SMA ($112,262).
The 20-day SMA ($117,237) has started to turn down, and the RSI is just below the midpoint, indicating that the bears are trying to make a comeback. The relief rally is expected to face selling in the zone between the neckline and the 20-day SMA.
Related: Bought the $112K dip? 5 signs Bitcoin’s bull run is about to return
The risk of a drop below the critical support at $110,530 increases if the price turns down from the resistance zone. In this case, the BTC/USDT pair may collapse to $105,000 and then to $100,000.
Buyers will have to push and maintain the price above the 20-day SMA to seize control. If they do that, the pair could retest the $120,000 to $123,218 resistance zone.
Ether price prediction
ETH is taking support in the zone between the 50% Fibonacci retracement level of $3,422 and the 61.8% retracement level of $3,300.
The relief rally is expected to face selling at the 20-day SMA ($3,652), but if the bulls prevail, the ETH/USDT pair could ascend to $3,941 and eventually to $4,094. Sellers are expected to mount a strong defense at $4,094.
Conversely, if the price turns down from the 20-day SMA and breaks below $3,354, it indicates that the bulls are losing their grip. That increases the risk of a drop to the 50-day SMA ($3,013).
XRP price prediction
XRP (XRP) fell below $2.95 on Saturday but rebounded off the 50-day SMA ($2.66) on Sunday, indicating buying at lower levels.
The XRP/USDT pair could rise to the 20-day SMA ($3.19), where the bears are expected to step in. If the price turns down from the 20-day SMA, the pair may remain stuck between the moving averages for a few more days.
A break and close above the 20-day SMA could clear the path for a rally to $3.33 and later to $3.66. On the contrary, a slide below the 50-day SMA signals the start of a deeper correction to $2.40.
BNB price prediction
BNB (BNB) plunged below the 20-day SMA ($769) on Friday and reached the solid support of $732 on Saturday.
cointelegraph.com