Top 5 cryptocurrencies to watch this week: BTC, SOL, LTC, LINK, BSV

Bitcoin (BTC), fell to $17.622 on June 18. This was the first time that Bitcoin (BTC) has fallen below its cycle high in history. Trader panic is being caused by the aggressive monetary tightening of the United States Federal Reserve.

Holger Zschaepitz, a market commentator, stated that Bitcoin crashed more than 80 percent four times. This puts the current drop of 74% within historical norms. According to Rekt Capital, bear markets have reached their lowest point just below the 200-week moving mean in previous years. Bitcoin’s current low levels are unlikely to continue if history repeats itself.

Daily view of crypto market data. Source:Coin360

According to Coinglass data, Bitcoin’s June loss of 39% is the largest since 2013. Although many investors believe Bitcoin will bottom soon, Peter Schiff, a crypto critic, warned that selling could continue and that the largest cryptocurrency could drop to $3,000.

Could the rise in Bitcoin be stopped by bulls in the near term? Let’s look at the charts of top 5 cryptocurrencies that could outperform other coins if that happens.

BTC/USDT

Bitcoin fell below the $20,111 support on June 18, which indicated the resumption in the downtrend. The bulls bought the dip, as seen by the long tail of the day’s candlestick. This is a minor positive.

Daily chart of BTC/USDT Source: TradingView

Buyers are trying to get the price above $20,111. If they succeed, it could indicate that the June 18 price drop to $17.622 may have been a bear trap. The BTC/USDT exchange could rally to $23,362, where bears might again mount strong resistance.

The relative strength indicator (RSI), has been trading in an oversold zone the past few days, which suggests a relief rally within the near term.

If the price falls below $20,111, this positive view may be invalidated. This will indicate that the bears have turned the resistance level into support and increase the likelihood of a break below $17622. The $16,000 level is the next support.

BTC/USDT 4-hour chart. TradingView

Positive divergence in the RSI may indicate that bears are losing their grip. The 4-hour chart shows that price has recovered to the 20 Exponential Moving Average.

Bears should be aware of this level as a potential resistance zone. It could be broken and the pair could fall to $23,362.

If the price does not sustain above the 20-EMA it will indicate that bears have become more active. The sellers will attempt to pull the pair down to $17.622.

SOL/USDT

Solana (SOL), has been in a strong downtrend, but the positive divergence of the RSI suggests that bearish momentum may be weakening.

Daily chart of SOL/USDT Source: TradingView

Bulls will attempt to push the price higher than the 20-day EMA (36). If they succeed, it will signal that bulls are making a comeback. The SOL/USDT exchange rate could then rise to the 50 day SMA ($50), where the bears might again mount a strong defense.

Contrarily, a price drop below the 20-day EMA will indicate that the bears have no intention of losing their advantage. The sellers will attempt to lower the price to $25 in order for the next leg of this downtrend.

SOL/USDT 4-hour chart. TradingView

Bulls have lifted the price above the 4-hour moving averages and will try to overcome the overhead hurdle at downtrend line. This will indicate that the downtrend could have ended in the near term, if they succeed. The buyers will attempt to push the price up to $42.50, and then to $45.

If the price falls below the moving averages or the current level, it will indicate that bears are continuing to aggressively defend overhead resistance. This could push the price up to $27.50, and then to $25.

LTC/USDT

The bears tried to sink Litecoin(LTC) below $40 on June 18, but the candlestick’s long tail suggests that the bulls are aggressively defending the level.

Daily chart of LTC/USDT Source: TradingView

The 20-day EMA ($55), which has been reached by the relief rally, is an important level to monitor as a break or close above it could indicate a possible change in trend. The LTC/USDT exchange rate could then rise to the 50 day SMA ($68).

Contrary to popular belief, if the price falls below the 20-day EMA it will indicate that the trend is still negative and traders are buying rallies. The bears will attempt to bring the pair down below $40 and resume their downtrend.

LTC/USDT 4-hour chart. TradingView

On the 4-hour chart, the price broke out of a symmetrical triangular pattern. This setup is usually a continuation pattern but it can also indicate a potential reversal. Buyers may have an advantage because the moving averages completed a bullish crossover. The pair could reach $62 if buyers can maintain the price above the triangle.

If the price falls and re-enters triangle, this positive outlook could be invalidated in the short-term. This could indicate that the breakout above the triangle was a bull trap.

Related: Elon Musk’s support grows for Dogecoin after a $258B lawsuit

LINK/USDT

Chainlink (LINK), although it is currently in a downtrend, is trying to find a bottom at $5.50. Although the bears managed to pull the price down below this level on June 13th, June 14th and June 18, they were unable to sustain it at lower levels. This indicates that bulls are buying dips.

Daily chart for USDT LINK. Source: TradingView

Positive divergence in the RSI may indicate that bearish momentum is weakening. Buyers will push the price towards the downtrend line. This is likely to be a strong resistance.

If the price moves below the downtrend line, bears will attempt to sink the LINK/USDT currency pair and keep it below $5.50. It will signal the resumption or the continuation of the downtrend if that happens.

If buyers push the price higher than the downtrend line, it could indicate a trend change. This could lead to a rise in the pair to $10, and then to $12.

LINK/USDT 4-hour chart. Source: TradingView

The 50-SMA has been reached by the rebound, which could act as minor resistance. The 20-EMA is becoming flatter and the RSI is close to the midpoint suggesting that bears could be losing their grip.

The pair could reach $7.51 if buyers push it above the 50 SMA. In the short-term, a break and close above resistance will complete a double top pattern. This pattern target is $9.50.

To discredit this bullish view, bears will need to pull the price below $5.50 and maintain it there.

BSV/USD

Bitcoin SV (BSV), has formed a widening pattern, and buyers are trying to push the price higher than the resistance. The RSI has a positive divergence which indicates that bearish momentum is waning.

Daily chart of BSV/USD Source: TradingView

The BSV/USD pair may rally to the resistance level where bears could try to halt the recovery. It will indicate that bears will continue to sell rallies if that happens. This could mean that the pair will remain in the broadening structure for a while longer.

If bulls push the price higher than the resistance line, it could indicate that the pair has bottomed. This could lead to a new up-move that could take the pair to $80 or $87.

BSV/USD 4-hour chart. Source: TradingView

The 4-hour chart shows the pair trading within a wide range of $45 to $66. The bears failed attempt to lower the pair below this range was unsuccessful. Now the bulls will try to push the price higher above resistance.

They could be able to start a new up-move if they succeed. This setup has a pattern target of $87. The price could drop from $66. It is possible that the price drops below $66. If this happens, it could mean that the pair will remain range bound for some time.

You should research all aspects of trading and investment before making any decision.

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Eileen Wilson

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.

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