Bitcoin (BTC) is up more than 8% this week, suggesting that lower levels continue to attract buyers. Generally, in a range, traders buy near support and sell near resistance. This suggests that the price could reach the top of the range at $73,777, but clearing this hurdle could be difficult.
Analysts are divided on the next directional move for Bitcoin. Some believe the correction is over and Bitcoin will hit a new all-time high, while others expect Bitcoin to decline to retest the $60,000 support and decline. It is difficult to predict with certainty the direction of a breakout from a certain range. It may therefore be wise to wait until the price begins a new trend before creating large trading positions.
As Bitcoin consolidates, traders may look to altcoins for short-term trading opportunities. Although a full altcoin season has not yet arrived, the selected altcoins will likely provide trading opportunities.
Could Bitcoin’s Potential Breaking Near-Term Resistance Bolster Sentiment in the Cryptocurrency Sector? Let’s take a look at the top 5 cryptocurrencies that look promising in the charts.
Bitcoin Price Analysis
Bitcoin faces resistance near $68,000, but a positive sign is that the bulls are not ceding ground to the bears. This indicates that the bulls are holding their positions as they expect a rise.
The 20-day EMA ($64,109) has started to rise and the relative strength index (RSI) is in positive territory, indicating that the path of least resistance is to the upside. If the $68,000 level is breached, BTC/USDT could retest the massive overhead resistance at $73,777.
If the bears want to prevent an uptrend, they will need to quickly bring the price back below the moving averages. If they do, the pair could fall to $59,600 and later to the May 1 intraday low of $56,552.
Both moving averages are rising on the 4-hour chart and the RSI is in positive territory, indicating that the bulls are in control. The important support to watch on the downside is the 20 EMA. If the price rebounds from this level, it will improve the chances of a rally above $68,000.
Conversely, if the price breaks below 20 EMA, it will indicate that the bullish momentum is weakening. The pair could slide towards the 50 simple moving average and then towards the support level near $59,600.
Solana Price Analysis
Solana (SOL) price broke above the moving averages on May 15 and the bulls are trying to build on their strength.
There is slight resistance at $176 where the bears will attempt to initiate a correction. The key level to watch on the downside is the breakout level at $162. If the price rebounds strongly from this level, it will indicate that the bulls are trying to turn $162 into a support level. This will increase the potential for a rally above $176. The SOL/USDT pair could then rise to the $185 level.
This positive outlook will be invalidated in the short term if the price declines and falls below the moving averages. This could trigger a long-term sell-off, bringing the pair back to $140.
The pair fell from the upper resistance level near $176 and fell below the exponential moving average (20-EMA). It is likely to retest the breakout level at $162, where buyers should step in and stop the decline. Buyers will need to push the price above $176 to resume the upward movement.
If the pair falls below $162, it will indicate that the bulls may be losing their grip. There is slight support at the 50 simple moving average, but if this gives way, the pair could fall to $140.
Arowif Price Analysis
Arweave (AR) has been trending upward in recent days. The bulls pushed the price above the upper resistance level of $47.51 on May 17, but were unable to sustain the higher levels.
The bears are trying to push the price down to the 20-day EMA ($40), which is an important level to watch. If the price rebounds sharply from this level, it will indicate that the bulls are buying on the dip. This would increase the chances of a breakout above the psychological resistance level at $50. If this happens, AR/USDT could reach $68.
Contrary to this assumption, if the price declines sharply and falls below the 20-day EMA, it will signal that the bulls are rushing for the exit. This could lead to a retracement of the 50-day simple moving average ($35).
The 4-hour chart shows the formation of a rising wedge pattern. The 20 EMA is the immediate support to pay attention to on the downside. If this level breaks down, the pair could slide towards the corner support line. A breakout and close below the wedge could initiate a decline to $38 and then to $36.
Alternatively, if the price rises from 20 EMA or the support line and breaks above the wedge resistance line, it will indicate that the bulls are still in control. This will invalidate the negative pattern and start moving towards the $68 level.
about: Bitcoin price of $66.9K remains strong, casting doubt on a “deep correction.”
Price analysis table
The GRT chart began a comfortable rally after the bulls pushed the price above the moving averages on May 15.
The 20-day EMA ($0.29) has started to rise and the RSI has moved into positive territory, indicating that the bulls are attempting to make a comeback. Buyers will attempt to push the price up to the general resistance level at $0.35, where the bears could once again mount a strong defense.
The 20-day EMA remains the main downside support. If the price falls and goes below this level, it will indicate that the bears will continue to sell with each slight increase. This could lead the GRT/USDT pair to fall to $0.26 and then to $0.23.
The 4-hour chart shows that the pair is stuck between $0.22 and $0.31 for some time. The bulls pushed the price above the range but could not sustain the higher levels. If the price declines and holds below the 50 SMA, it indicates that the breakout has been rejected. The pair could then fall to $0.26.
Alternatively, if the price rises sharply from the moving averages, the bulls will make another attempt at $0.31. If this level is breached, the pair could jump to $0.35 and later up to the $0.40 setup target.
Shadow Price Analysis
Fantom (FTM) broke above the moving averages and horizontal resistance at $0.79 on May 16, signaling the start of a recovery.
The moving averages are poised to rise and the RSI has moved into positive territory, indicating that the bulls are back in the game. However, the Bears are unlikely to give up easily. They will try to bring the price back towards $0.79. If the bulls reverse this level towards support, the FTM/USDT pair could reach $1.04.
Conversely, if the price declines and crosses below the moving averages, it will indicate that the bears remain active at higher levels. This could push the pair down to $0.60.
The bears are trying to initiate a correction on the 4-hour chart, but the bulls are likely to buy dips up to the 20 EMA. If this happens, the pair is expected to gain momentum and move higher towards the upper resistance level at $1.04.
Alternatively, if the price continues to decline and crosses below 20 EMA, it will indicate that the bulls are losing their grip. The pair could fall to the breakout level at $0.79. This is a key level that bulls must defend as a break below would indicate a shaky recovery.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research before making a decision.
