Crypto: Bitcoin, Ethereum Target New Buy Signals

What to Know:

• Key takeaway #1 — Bitcoin is struggling to break through resistance levels, indicating continued bearish pressure and indecision in the market.
• Key takeaway #2 — Major altcoins like Ether, BNB, and XRP are also facing downward pressure, threatening to retest recent lows.
• Key takeaway #3 — Traders should watch critical support and resistance levels for potential breakouts or breakdowns to inform their trading strategies.

Bitcoin’s recent struggle to maintain levels above $94,050 has led to renewed selling pressure, suggesting a potential fall to $87,700 or even $84,000. The overall sentiment reflects a lack of strong bullish momentum, with prediction markets giving only a 30% chance of Bitcoin reaching $100,000 before the year’s end. This uncertainty underscores the importance of monitoring key support and resistance levels for potential trading opportunities.

Bitcoin Price Prediction

Bitcoin’s recovery faces stiff resistance at the $94,050 level, a 50% Fibonacci retracement, signaling that bears are actively selling at higher prices. Failure to break above this resistance could lead to further declines, with support levels at $87,700 and $84,000. A break below $84,000 would likely result in a retest of the November 21 low of $80,600.

For a bullish reversal, buyers need to push the Bitcoin price above $94,050, potentially leading to a climb toward the 50-day simple moving average (SMA) at $97,411. However, significant selling pressure is expected between the 50-day SMA and the psychological $100,000 level. A sustained close above $100,000 would indicate a resurgence of bullish momentum, attracting institutional sentiment and renewed liquidity into Bitcoin.

How Are Altcoins Reacting to Bitcoin’s Price Movement?

Ether (ETH) has seen a downturn from $3,350, with bears attempting to keep the price below the 20-day exponential moving average (EMA) at $3,125. A successful sustain below this level indicates continued selling pressure, potentially driving the Ether price down to $2,907 and then $2,716. A close below $2,623 could signal a resumption of the downtrend, impacting derivatives data and volatility.

Conversely, a rebound from the current level, breaking above the $3,350 resistance, would suggest a new upward move, targeting $3,918 and then $4,250. BNB (BNB) is currently trading near its 20-day EMA ($892), reflecting equilibrium between buyers and sellers. A range-bound action between $791 and $1,020 is anticipated, while a break below $791 could lead to a collapse to $730. A close above $1,020 would indicate the end of the correction, potentially rallying to $1,182, influencing funding rates and ETF flows.

XRP and Solana: Key Levels to Watch

XRP (XRP) remains confined within a descending channel, suggesting continued bearish control. Bulls need to push the XRP price above the 50-day SMA ($2.25) to signal strength, potentially rallying to the downtrend line. A close above the downtrend line would indicate a shift in momentum, while a drop below $1.98 could lead to a decline toward $1.61 on the XRP Ledger.

Solana (SOL) shows aggressive defense at the $126 level, as indicated by the long tail on its recent candlestick. Bulls must propel the Solana price above the 50-day SMA ($152) to signal a potential trend change, targeting $172 and $190. Conversely, a break below $126 could lead to a plunge to $100 and then to $95, affecting liquidity and institutional sentiment. These movements highlight the importance of monitoring these levels for potential trading opportunities.

What Factors Are Influencing Dogecoin and Cardano?

Dogecoin (DOGE) has turned down from the 20-day EMA ($0.14), indicating that bears are selling on minor rallies. A continued decline below $0.13 could trigger a plunge to the October 10 low of $0.10. A break above the 20-day EMA would signal strength, potentially climbing to the 50-day SMA ($0.16) and later to $0.19, affecting derivatives data and volatility.

Cardano (ADA) has retreated from the breakdown level of $0.50, with bears attempting to establish this level as resistance. A flat 20-day EMA ($0.44) and a negative RSI suggest a slight bearish edge. Support levels at $0.40 and $0.37 are critical, and a drop below $0.37 could lead to a tumble to $0.31 or even $0.27. Buyers need to push and maintain the price above $0.50 to signal a comeback, potentially rallying to $0.60 and then $0.70, impacting funding rates and ETF flows.

Bitcoin Cash, Hyperliquid, and Chainlink Analysis

Bitcoin Cash (BCH) has rebounded from the 20-day EMA ($560), indicating positive sentiment. Bulls aim to drive the Bitcoin Cash price above $607 and challenge the resistance at $651. A break above $651 could lead to a rally to $720, while a drop below the moving averages could result in a range-bound action between $607 and $443, affecting liquidity and institutional sentiment.

Hyperliquid (HYPE) shows buying interest at lower levels, as indicated by the long tail on its candlestick. The HYPE/USDT pair could reach the 20-day EMA ($31.91), a critical level to watch. A sharp decline from the 20-day EMA could lead to a resumption of the downtrend, while a break above it could signal reduced selling pressure, potentially rising to the 50-day SMA ($37.23). Chainlink (LINK) is trading between moving averages, indicating balanced supply and demand. A break above the 50-day SMA ($14.71) could lead to a climb to $19.06, while a drop below the 20-day EMA ($13.84) could result in a plunge to $10.94, impacting funding rates and ETF flows.

Bitcoin is currently facing bearish pressure as it struggles to break through key resistance levels, indicating a period of uncertainty for traders and investors. Monitoring these levels and key altcoin movements is crucial for making informed decisions in the current market environment.

Related: XRP to Ethereum: New Launch Targets Expansion

Source: Original article