Bitcoin (BTC) was unable to withstand recovery attempts during the week, signaling further bearish selling. The buyer failed to raise the price above $100,000, but he didn’t make many concessions to the seller. This means the bulls are holding their position in anticipation of another leg going higher.
Cryptocurrency mining company Blockware Solutions stated in a market forecast report seen by Cointelegraph that its primary target for Bitcoin in 2025 is $225,000. Even the bearish target of $150,000 is well above current prices. The bull case target is $400,000.
Daily view of cryptocurrency market data. source: Coin360
Along with Bitcoin, traders also appear to be bullish on Ethereum (ETH). U.S. spot Ethereum exchange-traded funds (ETFs) witnessed massive inflows of over $2.5 billion in December, almost double the amount seen in November. Asset management firm VanEck has a target of over $6,000 for Ether in 2025.
What is the critical support level for Bitcoin that could trigger a rebound? Let’s take a look at a chart of the top five cryptocurrencies that could perform well in the short term if sentiment turns bullish.
Bitcoin Price Analysis
Bitcoin closed below the 50-day simple moving average ($96,124) on December 27, indicating that the uptrend was losing steam.
BTC/USDT daily chart. Source: Cointelegraph/TradingView
Buyers tried to push the price back above the 50-day SMA on December 28th, but the decline held. The 20-day exponential moving average ($97,257) has started to decline, and the Relative Strength Index (RSI) is in negative territory, indicating that the downside is in favor.
The BTC/USDT pair may slip towards the $90,000 support, with bulls expected to put up a strong defense. If the price rebounds from $90,000 and rises above the moving average, this would indicate solid demand at lower levels.
Buyers will have to drive the price above $100,000 to take control. The pair could then rise to $108,353.
BTC/USDT 4-hour chart. Source: Cointelegraph/TradingView
The four-hour chart forms a head-shoulders pattern, completing at the break and closing below the neckline. If the price stays below the neckline, the pair could plummet to $85,000 and then to the pattern target of $76,647.
These negative views are likely to be overridden in the near term if buyers manage to get prices above $100,000 and maintain them. This could open the door to a retest of the all-time high of $108,353. A break above this level could see the pair rise to $124,206.
BNB price analysis
BNB (BNB) has fluctuated between $635 and $722 over the past few days, indicating a balance between supply and demand.
BNB/USDT daily chart. Source: Cointelegraph/TradingView
The bears are defending the $722 level, but it is a positive sign that the bulls have not allowed the price to fall below the 20-day EMA ($694). This suggests that the bulls will continue to maintain pressure and try to overcome the $722 barrier. If successful, the BNB/USDT pair could gain momentum and rise to $760 and later $794.
Contrary to this assumption, if the price declines sharply and falls below the moving average, it is a sign that the range-limiting action may continue for a few more days. Bears gain the upper hand when they break below the uptrend line.
BNB/USDT 4-hour chart. Source: Cointelegraph/TradingView
If you look at the 4-hour chart, you can see that the downtrend is protecting the $740 level. If the price bounces off the 20-EMA, the bulls will make one more attempt to push the pair above $740. If successful, the pair could rise to $761 and later to $794.
Conversely, if the price breaks below the 20-EMA and closes, it means that the upward trend has been abandoned. Bears gain the upper hand on the break and close below $680. The price could then fall to $635.
Aave Token Price Analysis
Aave (AAVE) is witnessing a fierce battle between bulls and bears near the 20-day EMA ($329).
AAVE/USDT daily chart. Source: Cointelegraph/TradingView
The rising 20-day EMA suggests the bulls have the upper hand, but the RSI near the midpoint suggests momentum is slowing. If the price falls below the 20-day EMA, the AAVE/USDT pair could fall towards $261.
Buyers will need to quickly push the price above $362 to maintain their advantage. If that happens, the pair could retest overhead resistance at $400. Sellers are expected to put up a strong defense at $400, but if the bulls prevail, they could start the next rally towards $450.
AAVE/USDT 4-hour chart. Source: Cointelegraph/TradingView
It formed a symmetrical triangle on the 4-hour chart, which usually acts as a continuation pattern. A flat moving average and an RSI just below the midpoint offer no apparent advantage to either bulls or bears.
If the price rises and stays above the moving average, the pair may rise to the resistance level. A breakout and close above the triangle increases the likelihood of a resumption of the uptrend.
Alternatively, if the price stays below the moving average, the pair may fall towards support.
relevant: Here’s what happened in the cryptocurrency industry today
Monero price analysis
Monero (XMR) has been trying to recover over the past few days, but is facing strong resistance at $203.
XMR/USDT daily chart. Source: Cointelegraph/TradingView
The 20-day EMA ($193) is flat and the RSI is near the midpoint, indicating balance between buyers and sellers. If the price stays above the 20-day EMA, the chances of a move above $203 increase. The XMR/USDT pair may rise to $216 and then to $234.
If the price breaks through and stays below the 20-day EMA, it suggests the pair could spend more time within the $180-$203 range. If the price falls below $180, the bears will be in the driver’s seat.
XMR/USDT 4-hour chart. Source: Cointelegraph/TradingView
The pair formed a bullish ascending triangle pattern on the 4-hours chart, which completed on the break and closed above $203. If that happens, the pair could rebound towards the pattern target of $228.
Instead, if the price falls below the support line, the bullish setup will be invalidated. Failure of a bullish setup is a bearish signal because it traps multiple aggressive bulls. That could lead to a drop to $180.
Virtuals Protocol Price Analysis
Virtuals Protocol (VIRTUAL) resumed its upward trend after breaking through strong overhead resistance at $3.33 on December 27th.
VIRTUAL/USDT daily chart. Source: Cointelegraph/TradingView
A rising 20-day EMA ($2.71) suggests buyers are in control, but a negative divergence in RSI signals that positive momentum may be slowing. The VIRTUAL/USDT pair could rise to $4 and beyond that to $4.79.
On the downside, a close below $3.33 would be the first sign of weakness. The pair may then fall towards the 20-day EMA, which is an important level to watch out for. If the price bounces strongly from the 20-day EMA, bulls will try to resume the uptrend again. A break and close below the 20-day EMA could initiate a deeper correction towards $2.
VIRTUAL/USDT 4-hour chart. Source: Cointelegraph/TradingView
Both moving averages are trending upward and the RSI is in positive territory, indicating an advantage for buyers. The 20-EMA is an important support level to watch out for on the downside. If this support is broken, the pair may fall towards the 50-SMA. Buyers are expected to actively defend the 50-SMA, as a breakdown of the 50-SMA level could send the price plummeting to $2.
On the other hand, if the price stays above the 20-EMA, the chances of a rise to $4 increase. Sellers are expected to mount a strong challenge at $4.
This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.