Key points:
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Sellers pulled the price below $115,000, but are struggling to sustain the lower levels.
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Several altcoins have pulled down toward their respective support levels, which are likely to hold.
Bitcoin (BTC) dipped below the $115,000 support on Friday, but the downside could be limited. Bitcoin Treasury Companies have been on a buying spree, having amassed more than 791,662 BTC worth about $93 billion, according to a Galaxy Research report released Thursday.
BTC rose more than 8% in July, and the analysts expect the up move to continue, despite August recording average monthly gains of just 1.61%. The reason for the bullish sentiment is that BTC’s performance in August, a year after halving, has seen sharp gains of 30%, 65% and 14% in 2013, 2017 and 2021. If history repeats itself, BTC could rally to a new all-time high above $123,218 over the next month.
Additionally, Ether (ETH) has also garnered significant institutional interest. US Spot ETH exchange-traded funds recorded net inflows of $5.43 billion in July, a massive increase over June’s inflows of $1.16 billion, according to ETF tracker SoSoValue.
What are the crucial support levels to watch out for in BTC and the altcoins? Let’s analyze the charts of the top 10 cryptocurrencies to find out.
Bitcoin price prediction
BTC price has pulled back to the neckline of the inverse head-and-shoulders pattern, which is a critical level to watch out for.
If the price rebounds off the neckline with force, it signals that the bulls are trying to flip the level into support. A break above the 20-day simple moving average ($118,106) enhances the prospects of a rally to $123,218. Sellers are expected to aggressively defend the $123,218 level, but if the buyers prevail, the BTC/USDT pair could soar to $135,000.
The zone between the neckline and $110,530 is likely to attract solid buying by the bulls, as a break below it could intensify selling. The pair may then plummet to $105,000 and eventually to $100,000.
Ether price prediction
ETH closed below the $3,745 support on Thursday, reflecting profit-booking by short-term traders.
The price has reached the 20-day SMA ($3,590), which is a crucial support to watch. If the price rebounds off the 20-day SMA with strength, the bulls will attempt to shove the ETH/USDT pair above $3,941. If they can pull it off, the pair may ascend to $4,094. Sellers are expected to mount a strong defense at $4,094.
On the downside, a break and close below the 20-day SMA could sink the pair to the 50% Fibonacci retracement level of $3,422 and later to the 61.8% retracement level of $3,300.
XRP price prediction
Buyers tried to push XRP (XRP) back above the 20-day SMA ($3.19) on Thursday, but the bears held their ground.
Sellers pulled the price below the crucial support of $2.95, but the long tail on the candlestick shows solid buying at lower levels. The bulls will again try to drive the XRP/USDT pair above the 20-day SMA. If they do that, the pair may swing between $2.95 and $3.66 for some time.
Conversely, if the price turns down and closes below the $2.95 level, it suggests that the bulls are rushing to the exit. That increases the risk of a drop to the next significant support at the 50-day SMA ($2.62).
BNB price prediction
BNB (BNB) closed below the breakout level of $794 on Thursday and reached the 20-day SMA ($761) on Friday.
Buyers are expected to defend the 20-day SMA vigorously because a break below it could sink the BNB/USDT pair to $732. A deeper correction could delay the start of the next leg of the uptrend.
Alternatively, a solid bounce off the 20-day SMA signals demand at lower levels. Buyers will then try to push the pair above $794. If they manage to do that, the pair could retest the overhead resistance at $861.
Solana price prediction
Sellers thwarted attempts by the bulls to sustain Solana (SOL) above the 20-day SMA ($179) on Thursday.
The next support on the downside is at the 50-day SMA ($161). If the price rebounds off the 50-day SMA, the bulls will try to drive the SOL/USDT pair above $185. If they succeed, the pair could rally to $209.
Contrarily, a break and close below the 50-day SMA indicates advantage to the bears. The pair may slump toward $126, extending its stay inside the $209 to $110 range for a while longer.
Dogecoin price prediction
Dogecoin (DOGE) bounced off the $0.21 support on Wednesday, but the bulls could not push the price above the 20-day SMA ($0.22).
The bears sold near the 20-day SMA and have pulled the price below the $0.21 support. That suggests the DOGE/USDT pair could oscillate inside the large range between $0.14 and $0.29 for a…
cointelegraph.com