Over the weekend, the crypto markets remained stable. This is also true on July 4, which is Independence Day in the United States. Arthur Hayes, the former CEO of BitMEX derivatives platform, expected a “mega-crypto dump” on July 4. However, it hasn’t happened.
The Bollinger Band’s width has been squeezed due to a drop in Bitcoin’s (BTC), volatility over the past few days. Popular analyst Matthew Hyland believes this indicates an increase in volatility over the coming days.
Everyday cryptocurrency market performance. Source: Coin360
Crypto investors are still waiting for clues from U.S. equities and the U.S. Dollar.
In the week ended July 3, Bitcoin’s correlation coefficient to the dollar fell to 0.77 below zero. This is the lowest level in 17 months. JP Morgan surveyed a majority of analysts and they expect the dollar will end at or below its current price level of 105. Bitcoin could benefit from any weakness in the dollar.
Could the bulls be able to start a short-term recovery? Let’s look at the charts for the top 10 cryptocurrencies to see if we can find out.
The bears’ inability to prolong Bitcoin’s fall below $19,637 indicates that there are not enough sellers at lower levels. The bulls will now try to push the price above $19,637 resistance.
Daily chart of BTC/USDT Source: TradingView
The BTC/USDT pair could reach the 20-day exponential moving mean (EMA) ($21.255). Although this level can act as resistance, bulls may overcome it to move the pair into the overhead zone of $22,000-23,362.
Breaking above this zone could allow for a rally to the SMA (50-day simple moving average) ($25,710). To signal a possible trend change, the bulls will need to overcome this barrier.
Contrarily, if the price drops below the 20-day EMA it will indicate that traders are selling rallies and the sentiment is still bearish. This could raise the chance of a retest at $17.622. This support could crack, and the decline could reach $15,000.
The psychological level of $1,000 for Ether (ETH), fell below the bears’ threshold on June 30, but they were unable to capitalize on this weakness. This indicates that bulls are buying dips.
Daily chart of ETH/USDT Source: TradingView
Bulls will try to increase the price above $1,192 ($20-day EMA) in order to gain an upper hand. The ETH/USDT pair may rise to $1,280, then to the 50 day SMA ($1,535) if they succeed. This level could act as strong resistance. To signal a new up-move, the bulls must push the price higher than $1,700.
If the price falls below the 20-day EMA it will indicate that sentiment is still negative and bears have been selling rallies. The bears will attempt to lower the price below $998, challenging the $881 critical support.
Since June 29, the buyers have successfully maintained support at $211, indicating strong demand for lower levels. The bulls are currently trying to push BNB over the $20-day EMA ($231).
Daily chart BNB/USDT TradingView
They will be able to show that the BNB/USDT pair has bottomed at $183 if they succeed. The buyers will attempt to drive the pair towards the 50-day SMA ($266). The potential for a change in trend could be signaled by a break or close above this resistance.
Contrary to the assumption, if prices fall below the 20-day EMA it will indicate that bears are selling on any minor rally. The bears will attempt to lower the price below $211, gaining the upper hand.
XRP was trading within a symmetrical triangular pattern. This indicates indecision between the bulls as well as the bears. The symmetrical triangle is usually a continuation pattern, but it can also be a reversal or reversal pattern on occasion.
Daily chart of XRP/USDT Source: TradingView
The price has retreated from the support line of triangle. Bulls will try to push the XRP/USDT currency pair above the 20 day EMA ($0.33). The pair could reach the resistance line if they succeed.
An up-move could be signalled by a break or close above this level. The pair could rally to $0.48.
Another possibility is for the price to fall sharply below the 20-day EMA, and then break below the support line. This could bring the pair to $0.28, the critical support. The next stop for the pair could be $0.23 if this level fails to hold.
Cardano (ADA), has traded near $0.44 since June 30, but the bears have not been able pull the price below that support. This indicates that bulls are buying dips towards $0.44.
Daily chart ADA/USDT Source: TradingView
The buyers are trying to push the price higher than the 20-day EMA ($0.48). The ADA/USDT pair may rise to the 50 day SMA ($0.51) if they succeed in this feat. This level is important to watch because a break or close above it could indicate that bears are losing their grip.
If the price falls below the moving averages it could indicate that bears have been active at higher levels. The sellers will attempt to lower the price below $0.44, challenging the $0.40 threshold.
Solana (SOL), has traded just below the 20 day EMA ($35) over the past few days, but the bears are not able to capitalize on this weakness. This indicates that sellers are not available at lower levels.
Daily chart of SOL/USDT Source: TradingView
Buyers will now try to push the price higher than the 20-day EMA. The SOL/USDT pair may rise to the $50 SMA ($40) if they are successful. Breaking and closing above this resistance could allow for a rally to the psychological level of $50.
However, if the price falls below the moving averages it will indicate that traders are selling at minor rallies and the sentiment is still negative. The bears will attempt to lower the pair below $30. The bears could then try to lower the pair to $30 and then to $27, and then to $25.
Dogecoin (DOGE), has been holding onto the 20-day EMA ($0.07) over the past few days. This indicates that bulls are buying intraday dips in anticipation of a higher move.
Daily chart of DOGE/USDT Source: TradingView
The 20-day EMA is flattened and the relative strength indicator (RSI), is close to the midpoint. This indicates that selling pressure may be decreasing. Bulls will try to push the price higher than the 50-day SMA ($0.07) in order to challenge the immediate resistance of $0.08. The DOGE/USDT currency pair could reach $0.10 if this level is not crossed.
Contrarily, if the price drops below the 50-day SMA or current level, it will indicate that the bears are vigorously defending the moving averages. To gain the upper hand, the sellers will attempt to lower the price pair below $0.06
Related: Whales and hodlers: Who will own the most Bitcoins in 2022?
Since June 30, Polkadot has traded between $7.30 to $6.36. This indicates that the bulls are buying at lower levels, but the bears have not allowed prices to rise beyond this range.
Daily chart of DOT/USDT Source: TradingView
The downsloping 20 day EMA ($7.52) is a benefit to sellers. However, the positive divergence of the RSI suggests that bearish momentum may be weakening. The DOT/USDT pair could rally if buyers push the price higher than the 20-day EMA ($7.52), and the 50-day SMA ($8.63) might be reached.
If the price falls below $6.36, this bullish view may be invalidated. The pair could resume its downward trend towards the $5 support if that happens.
Near the resistance line of descending channel, the bulls and bears are fighting for supremacy. UNUS SED LEO, LEO (LEO), dropped to the $20-day EMA ($5.65) July 2, but the bulls held the level.
Daily chart LEO/USD TradingView
Buyers are trying to break the resistance line in the channel. The upside is indicated by the rising 20-day EMA, and positive RSI. The LEO/USD pair could gain momentum if the price remains above $6. The pair could rally to $6.50 if it holds. The rally could reach the $6.90 pattern target if it reaches this level.
Contrary to the assumption, if prices drop below $6 again, it will indicate that bears are actively defending this level. The bears will attempt to bring the pair below 20-day EMA. The bears will attempt to sink the pair below the 20-day EMA. If that fails, they could slide to the SMA at 50 days ($5.30).
Shiba Inu, (SHIB), has traded close to $0.000010 psychological level. This indicates that bulls may be attempting to make a lower low at this support.
Daily chart of SHIB/USDT TradingView
The 20-day EMA ($0.000010) remains flat, while the RSI is close to the midpoint. This indicates that there is a balance between supply/demand. The SHIB/USDT price could rise to $0.000012 if it breaks the 50-day SMA ($0.000010) This barrier could act as a stronghold, but if removed the pair could reach $0.000014.
If the price falls below the moving averages, bears will attempt to bring the pair below $0.000009. The pair may retest $0.000007 if they succeed.
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Eileen Wilson –Technology and Energy
My Name is Eileen Wilson with more than 5 years of experience in the Stock market industry, I am energetic about Technology news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of topmagazinewire.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Technology and Energy category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.