The U.S. Securities and Exchange Commission (SEC) approved several spot Ether exchange-traded funds on May 23, but the decision did not ignite the Ether (ETH) or cryptocurrency markets. Does this mean the ETF decision is already priced in? It is difficult to judge from the initial reaction because the price of Bitcoin (BTC) also fell immediately after the spot Bitcoin ETF was approved. However, prices rebounded within a few days and reached a new all-time high.
An approved spot Ether ETF is expected to launch in mid-June, according to Bloomberg ETF analyst Eric Balchunas. He expects Ether ETFs to account for about 10-15% of Bitcoin ETF inflows. Once funds start flowing into the Ether ETF, the spot market is likely to respond favorably.
Bitcoin is still stuck in a sideways price movement, but Tom Lee, managing partner and head of research at Fundstrat Global Advisors, remains bullish. In an interview with CNBC, Lee said the base case for Bitcoin is $150,000 by the end of the year.
Could Bitcoin and some altcoins bounce from their immediate support levels? Let’s analyze the top 10 cryptocurrencies chart to find out.
Bitcoin Price Analysis
Bitcoin reversed course at $71,979 on May 21, with the price reaching the moving average. This means that the bears are trying to keep the price within a range.
If the price rebounds strongly from the moving average, the bulls will again try to push the BTC/USDT pair towards the overhead resistance of $73,777. A close above this level could clear the way to $80,000 and $84,000.
On the other hand, if the price falls below the moving average, it means that the upward trend has been abandoned. The pair could then break down to the strong support level at $59,600. This level is likely to induce strong buying by the bulls.
Ether Price Analysis
The long wick and long tail on Ether’s May 23 candlestick show a fight between buyers and sellers.
The price fell below $3,730, a critical level for bulls to defend. If the price stays below $3,730, the ETH/USDT pair may fall towards the 20-day EMA ($3,313). A strong bounce from this level would mean bulls continue to buy the dip. Buyers will have one more try to overcome that hurdle for $3,730.
Bears are expected to establish strong defense in the area between $3,730 and $4,100. Because if this resistance is cleared, the pair could surge to $4,868.
BNB price analysis
BNB (BNB) was rejected from strong overhead resistance at $635 on May 21, indicating that bears are aggressively defending the level.
The BNB/USDT pair has reached a moving average, which is an important support level to keep an eye on. If the price bounces strongly around the moving average, it would be a sign that the bulls are buying on a small dip. This would improve the prospect of a break above $635. The pair could then begin its march towards $692.
Instead, if the price falls below the moving average and $560 support, it would suggest that the pair could extend its stay within the range.
Solana Price Analysis
Solana (SOL) declined at $189 on May 21st, indicating that bears are selling off the rally.
The bulls bought the dips near the May 23 breakout level of $162, but were unable to build on it. Sellers are again trying to get the price down to $162 or less. If successful, the SOL/USDT pair could fall to $140.
Conversely, if the price bounces from $162, it would be a sign that bulls are trying to move towards support. Buyers will need to overcome the $189 barrier to advance to $205, where bears could pose a strong challenge.
XRP Price Analysis
XRP (XRP) has been witnessing volatile movements near its moving averages, indicating a tough fight between bulls and bears.
Bears will try to pull the price below the moving averages and support lines. If they do so, the XRP/USDT pair could fall to the important support level at $0.46. This level is expected to induce strong buying by bulls. A strong bounce to $0.46 could extend the consolidation for some time.
Buyers would need to clear the $0.57 overhead hurdle to signal that the bears are losing control. This could start a rebound towards $0.67 and eventually reach the strong resistance level of $0.74.
Dogecoin price analysis
Dogecoin (DOGE) has been stuck between its 50-day SMA ($0.16) and overhead resistance ($0.17) for the past three days.
Bears tried to pull the price below the moving average on May 23, but bulls held on. Bulls are again attempting to push the DOGE/USDT pair above $0.17. If successful, the pair could rise to $0.21.
Meanwhile, the bears likely have other plans. They will try to defend the $0.17 level and push the price below the 20-day EMA ($0.16). If that happens, the pair could fall to $0.13. This move means that the pair will remain within the $0.12-$0.17 range for some time.
Toncoin price analysis
Toncoin (TON) bulls are struggling to initiate a bounce from the moving average, suggesting that the bears have maintained the pressure.
If the price declines and stays below the 50-day SMA ($6.12), it would signal that the TON/USDT pair could begin a downward journey to $5.57 and later $4.72. Buyers are expected to strongly defend the $4.72 level. The price could then stay in the range of $4.72 to $7.67 for a few days.
The next trend move is expected to begin with a break above $7.67 or a decline below $4.72. Until then, random and volatile price movements are likely to continue.
Related: Bitcoin dominance risks breaking its 18-month upward trend with the launch of the Ether ETF.
Cardano Price Analysis
The price action of Cardano (ADA) over the past few days has formed a symmetrical triangle pattern, indicating indecision between bulls and bears.
A flat 20-day EMA ($0.47) and RSI just below the midpoint suggest that the ADA/USDT pair could remain inside the triangle for some time. If the price stays below the 20-day EMA, bears will try to pull the pair below the triangle. Doing so could allow the pair to jump to the next support level at $0.35.
Alternatively, if the price rises from the current level, the buyers will try to push the pair above the resistance line. If successful, the pair could rise to $0.57 and then to $0.62.
Avalanche Price Analysis
Avalanche (AVAX) began a downward trend on May 23, falling below the $40 breakout level. This indicates that the bears are still active at higher levels.
A small advantage for bulls is that they do not allow the price to fall below the moving average. If the price rises from current levels and passes $42, it would suggest a change in sentiment from selling on the rise to buying on the dip. The AVAX/USDT pair could surge to $50.
Conversely, if the price falls below the moving average, selling may increase and the pair may plummet to $34 and $29.
Shiba Inu price analysis
Shiba Inu (SHIB) re-entered a symmetrical triangle pattern on May 23, indicating a lack of demand at higher levels.
A flat moving average and RSI near the midpoint offer no discernible advantage to either bulls or bears. Sellers must push the price below support to gain the upper hand. That could push the SHIB/USDT pair down to $0.000017, which is the 78.6% retracement level.
On the positive side, the bulls will need to push the price above $0.000027 to secure a rally path to the $0.000030-$0.000033 resistance area.
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.