Bitcoin price rise above $70K could strengthen ETH, SOL, DOGE, and SHIB.

Bitcoin (BTC) is up about 9% this week, indicating strong buying momentum. The upward move faces resistance near $69,000, but bulls are in no hurry to exit their positions. This means buyers are expecting the rally to expand further.

Trading firm QCP Capital told subscribers of its Telegram channel that rising U.S. stock markets and a weakening trend in the Japanese yen are likely to increase sentiment about risk leading into the U.S. election. This will “push risk assets higher and support the Uptober narrative,” the company added.

Another positive impact for Bitcoin is that the U.S. Securities and Exchange Commission approved listing Bitcoin exchange-traded fund options on the New York Stock Exchange and Chicago Board Options Exchange. Analysts believe that the introduction of options will increase liquidity in the Bitcoin market.

Thanks to the strength of Bitcoin, the buying trend of major altcoins is gaining prominence, which is showing signs of a breakout. Let’s take a look at the top five cryptocurrencies that are showing strength on the charts.

Bitcoin Price Analysis

Bitcoin is facing resistance as it approaches the psychological resistance of $70,000, but it is a positive sign that the bulls have not given up much.

The rising 20-day exponential moving average ($65,010) and the Relative Strength Index (RSI) near overbought territory suggest that the bulls have the upper hand. If buyers drive the price above $70,000, the next stop could be $72,000. The bears are expected to fiercely defend the $70,000 to $73,777 area.

For the bears to bounce, they would need to get the price below $66,500 quickly and then the 20-day EMA. That could cause the BTC/USDT pair to plummet to the 50-day simple moving average ($61,749).

The RSI on the 4-hour chart shows negative divergence, indicating that the bullish momentum is waning. A stop and close below the 20-EMA signifies profit booking for short-term traders. The pair may then fall towards the 50-SMA.

Conversely, if the price continues to rise and surpass $69,000, this means that sentiment is still positive and bulls are buying on the dip. The pair could reach $70,000 and then $72,000.

Ether Price Analysis

Ethereum (ETH) broke out of a symmetrical triangle pattern on October 20th, indicating that bulls have overwhelmed bears.

The ETH/USDT pair could rise to $2,850, which could again act as solid resistance. If the price declines from $2,850 but bounces back from the triangle breakout level, it would be a sign of a change in sentiment from selling on the bulls to buying on the dips. The bulls will then attempt to push the price above $2,850 again. If successful, the pair could rally towards $3,400.

This optimistic outlook will be invalidated in the near term if the price declines sharply and falls below the 20-day EMA ($2,553). This can keep the pair in a triangle for several days.

The price pressure near the resistance line is resolved by a bullish breakout, indicating that the bulls are in control. Buyers will try to push the price up to $2,850, where the downside is expected to pose a strong challenge.

Moving averages are important supports for observing downtrends. A closing price below the moving average suggests that bullish momentum is waning. The price may fall to $2,550 and then to $2,450.

Solana Price Analysis

Solana (SOL) is nearing the overhead resistance of $164, a critical level for bears to defend.

Failing the effort, the SOL/USDT pair closes above $164, completing a bullish ascending triangle pattern. This could pave the way for a rise to $189 and then $210.

If the price declines from $164 but finds support at the 20-day EMA ($150), it would signal bulls to continue buying the dip. Buyers then make one more attempt to push the pair above $164. The bullish setup is invalidated on the break and closes below the uptrend line.

Both moving averages are rising on the 4-hour chart and the RSI is near the overbought zone, indicating that the bulls have the upper hand. However, the bulls are expected to face significant resistance at $164. During the decline, if buyers do not allow the price to fall below the 50-SMA, the chances of a break above $164 increase.

Alternatively, if the price declines sharply and falls below the moving average, it means that the uptrend has been abandoned. The pair may fall to $148 and then to $144.

relevant: 3 Signs Bitcoin’s ‘Parabolic Phase’ With $250,000 Target Is Coming Soon

Dogecoin price analysis

Dogecoin (DOGE) broke out of a symmetrical triangle pattern on October 18th, signaling the start of a new upward trend.

The upward move is facing selling near the $0.15 overhead resistance, which could lead to a retest of the breakout level in the triangle. If the price bounces from the breakout level, it means that the bulls have turned the level into a support level. This would improve the rally outlook to $0.18.

Conversely, if the price closes below the 20-day EMA ($0.12), it would be a sign that the market has refused to break out. This could push the DOGE/USDT pair down to the support line of the triangle.

The pair is holding above the 20-EMA on the 4-hours chart, which indicates that the bulls are in no rush to book profits as they anticipate a move higher. If buyers push the price above $0.15, the pair could surge to $0.18.

For the bears to rebound, the price would need to pull below the 20-EMA. This could start a downtrend towards a breakout level near $0.13. Breakouts and closes below this level will tilt the price in favor of the downtrend.

Shiba Inu price analysis

Shiba Inu (SHIB) formed an inverted head-shoulders pattern, which completed on the break and closed above $0.000020.

Rising moving averages and RSI near 60 increase the likelihood of a breakout. If that happens, the SHIB/USDT pair is likely to gain momentum and rebound towards the $0.000028 target.

Contrary to this assumption, if the price declines from current levels and falls below the 20-day EMA ($0.000018), it means that the bulls have given up on the short term. The pair may decline towards its 50-day SMA ($0.000016) and remain in the $0.000012-$0.000020 range for some time.

The currency pair is gradually rising within a rising channel pattern. The rising trend line is an important support line to watch out for. This is because a breakout and close below the rising trend line would be a favorable signal for the bears.

If the price rises from the current level, I suggest buying on the dip. Bulls will try to push the pair towards resistance where bears are likely to intervene. A breakout and close above the channel indicates that the bulls have taken control. The pair could then rise to $0.000022.