Bitcoin (BTC) is witnessing a seesaw battle between strength and weakness. According to Farside Investors data, more than $595 million flowed into spot Bitcoin exchanges on May 3 and May 6, before the tide turned on May 7, with $15.7 million flowing out. .
Despite short-term uncertainty, cryptocurrency bull Anthony Pompliano remains optimistic about the long term. Pom told CNBC that Bitcoin’s 200-day simple moving average has hit an all-time high above $50,000, indicating the long-term trend remains bullish.
The sideways price action has not stopped institutional investors from investing in spot Bitcoin ETFs. Quantitative trading firm Susquehanna International Group disclosed in a filing that it acquired more than $1 billion worth of Bitcoin spot ETF shares in the first quarter of 2024.
Can buyers protect the support levels of Bitcoin and altcoins and prevent a collapse? Let’s analyze the top 10 cryptocurrencies chart to find out.
Bitcoin Price Analysis
Bitcoin’s recovery hit a wall at the 50-day simple moving average ($65,829) on May 6, indicating strong defense by the bears.
The BTC/USDT pair could fall as high as $59,600 and later down to $56,500, which still remains a key support level to watch. If the price falls below $56,500, the next stop points are likely to be the 61.8% Fibonacci retracement level of $54,298 and $50,000.
If bulls want to stop the downtrend, they will need to quickly push the price above the 50-day SMA. If that happens, the pair is likely to gain momentum and bounce towards the overhead resistance of $73,777.
Ether Price Analysis
Bears are fiercely defending the area between the 20-day exponential moving average ($3,116) and the resistance line of Ethereum’s (ETH) descending channel pattern.
Bears will try to strengthen their positions by taking the price below the important support level of $2,850. If that happens, the ETH/USDT pair could begin the next phase of its downtrend against the channel support.
Contrary to this assumption, a rise in the price from $2,850 would suggest that bulls are actively protecting this level. Bulls need to push the price above resistance to signal a potential trend change.
BNB price analysis
BNB (BNB) has been trading near its moving averages for the past few days, indicating uncertainty about its next directional move.
If the price remains below the moving average, the bears will attempt to push the BNB/USDT pair lower to $536 and next to the solid support at $495. A breakout from this level could be a sign that range-limiting behavior could extend for some time.
If the price rises from current levels and breaks above $635, it means that the bulls have outweighed the bears. The pair could then resume its upward trend towards its next target of $692.
Solana Price Analysis
Solana (SOL) has been consolidating between $162 and $126 for several days, indicating indecision between bulls and bears on the next direction move.
The 20-day EMA ($146) and the RSI near its midpoint offer no clear advantage for either bulls or bears. If the price falls below the 20-day EMA, the bears will attempt to push the SOL/USDT pair lower to $126. A break below this support could initiate a downtrend towards the psychological support of $100.
On the other hand, if the price rises above $162, it means that the correction phase is over. The pair may bounce to $185 and later to $205, which is likely to act as a solid barrier.
XRP Price Analysis
Over the past few days, XRP (XRP) price action has formed a narrow range between $0.57 and $0.46. Traders usually sell near resistance, which is what happened on May 6th.
The 20-day EMA ($0.53) has leveled off and the RSI is just below the midpoint, indicating balance between buyers and sellers. If the price stays below the 20-day EMA, a decline to $0.46 is likely.
If the price stays above the 20-day EMA, the XRP/USDT pair could rise to $0.57. The bulls will need to push the price above this resistance and hold it there to take control. The pair could then attempt a rebound to $0.67.
Dogecoin price analysis
Dogecoin (DOGE) was trending lower from its 50-day SMA ($0.17) on May 6th and below its 20-day EMA ($0.15) on May 7th.
Bears will try to strengthen their positions and pull the price towards the important support level at $0.12. This level is likely to witness solid buying by the bulls. A bounce in the price from the support suggests that the DOGE/USDT pair could remain ranged between $0.12 and the 50-day SMA for a few days.
Buyers should overcome the barrier at the 50-day SMA, opening the door for a rally to $0.21. The downside is that if it falls below $0.12, a bearish head and shoulders pattern will be completed and a downtrend will begin.
Toncoin price analysis
Toncoin (TON) has fallen from the 50% Fibonacci retracement level of $6.13, indicating bears are selling in a relief rally.
The flat 20-day EMA ($5.64) and RSI near the midpoint suggest a balance between supply and demand. If the price rebounds strongly from the moving average, the bulls will try to clear the overhead hurdle at $6.49, which is the 61.8% Fibonacci retracement level. If successful, it means that the modification phase may be over.
Alternatively, if the price falls below the moving average, the tilt is tilted in favor of the bears. The TON/USDT pair could then fall to solid support at $4.72.
Related: Why did Solana (SOL) price drop today?
Cardano Price Analysis
Cardano (ADA) is caught between the 20-day EMA ($0.47) and support, signaling an imminent breakout.
Since it is difficult to predict with certainty the direction of a breakout, it is better to wait for the price to change direction before making large bets. If the price breaks above the 20-day EMA, the ADA/USDT pair may rise to the 50-day SMA ($0.53) and later to $0.57.
Conversely, if the price falls and breaks below the support line, it will be a sign that the bears are still in control. The pair could fall to $0.40, which is an essential support to watch out for. A decline below this level could send the pair down to $0.35.
Avalanche Price Analysis
Avalanche (AVAX) was rejected at $40 overhead resistance on May 6th, indicating bears are active at higher levels.
The flat 20-day EMA ($36.44) and RSI in negative territory indicate a possible decline towards support at $29. A bounce from this level could keep the pair in the $29-$40 range for some time.
If the bulls can get the price above $40 and hold it there, the odds will be in their favor. Conversely, a breakout and close below $29 indicates that the bears are in control. The AVAX/USDT pair could jump towards the $18 pattern target.
Shiba Inu price analysis
Shiba Inu (SHIB) rejected the 50-day SMA ($0.000026) on May 6, indicating that the bears are aggressively defending the level.
The price action over the past few days has formed a symmetrical triangle pattern, indicating indecision between bulls and bears. When the price plunges below the triangle, it indicates that the bears are gaining the upper hand. The SHIB/USDT pair could then fall to $0.000017, which is the 78.6% Fibonacci retracement level.
Instead, if the price breaks out of the triangle’s support line, it means demand will be lower. The pair may spend more time inside the triangle. A breakout and close above the triangle would be a favorable signal for the bulls.
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.