Bitcoin (BTC) revisited the $60,000 support level on July 3rd, indicating that bears are maintaining selling pressure. It may not be easy for Bitcoin to break the $60,000 to $56,552 support level as bulls are expected to defend it and Bitcoin may remain in a large range for a longer period.
The risk to Bitcoin’s continued sideways movement could come from selling pressure from Mt. Gox bondholders, who may need to rush to secure their profits after receiving their repayments in early July.
However, at lower levels, buying is likely to be seen in the U.S.-based spot Bitcoin exchange-traded fund (ETF), which has attracted $14.8 billion in net inflows since its launch in January.
It is difficult to predict how much Bitcoin Mt. Gox bondholders will release to the public market, as some of it may be traded on over-the-counter (OTC) trading desks. The uncertainty could create volatility in the coming days. What are the key support and resistance levels to watch for in Bitcoin and altcoins? Let’s analyze the charts of the top 10 cryptocurrencies.
Bitcoin Price Analysis
Bitcoin fell below its 20-day exponential moving average ($63,212) on July 1, indicating that market sentiment remains negative and traders are selling near the upper resistance level.
The bears will try to strengthen their position by pushing the price below the immediate support of $60,000. If they succeed, the BTC/USDT pair could fall to the key support of $56,552. Buyers are expected to defend this level with all their might, as failure to do so could lead to the pair starting a downtrend. The next support level is $50,000.
If the price bounces from $56,552, the bulls will try to push the pair up to the 20-day EMA. Buyers will need to overcome this barrier to signal that the pair is staying in the $56,552 to $73,777 range for a few more days.
Ether Price Analysis
On July 1, the bulls failed to push Ethereum (ETH) above the 20-day EMA ($3,451) and hold it, indicating that the bears are active at higher levels.
The downward sloping 20-day EMA and the RSI in negative territory suggest that the bears have the upper hand. Sellers will try to push the price down to $3,240, which is likely to act as strong support again. If this level breaks, the next stop could be $3,000.
On the upside, a breakout and close above the 50-day SMA would signal the end of the short-term correction. Then, the ETH/USDT pair could start to rally towards $3,730 and then towards $3,887.
BNB Price Analysis
BNB (BNB) broke down from the 20-day EMA ($585) on July 1, indicating that the bears are strongly defending that level.
The bears will try to hold the price down and hold it below the immediate support of $551. If they manage to do so, selling could increase. The BNB/USDT pair could crash to $536 and eventually fall to the solid support of $495.
Conversely, if the price bounces off $551, it signals solid demand at lower levels. The bulls need to push the price above the 50-day SMA ($604) to signal that the correction is over. Then, the pair can rise to $635.
Solana Price Analysis
Buyers pushed Solana (SOL) above the resistance line on July 2, but the price plunged from the 50-day SMA ($156) on July 3.
The 20-day EMA ($145) is flat and the RSI is just below the midpoint, indicating a balance between supply and demand. If the price holds below the 20-day EMA, it suggests that the SOL/USDT pair could briefly move between $116 and the 50-day SMA.
Conversely, if the price rises and breaks the 50-day SMA, it is a signal that the bulls have taken control. The pair may rise to $175 and then to $189. Sellers are expected to fiercely defend the area between $189 and $205.
XRP Price Analysis
In the bull market, efforts are being made to push XRP (XRP) above the 20-day EMA ($0.48), but in the bear market, there are no signs of concessions.
If the price continues to decline from current levels, the bears will make another attempt to push the XRP/USDT pair below $0.46. If successful, the pair could gradually move towards $0.41. The bulls are expected to aggressively defend the area between $0.41 and $0.46.
On the upside, buyers will need to break above the 20-day EMA barrier to clear the way for a rally to the 50-day SMA ($0.50). This is a key resistance level to watch, as a break above it would initiate a strong recovery to $0.57.
Dogecoin Price Analysis
Over the past few days, bulls have failed to push Dogecoin (DOGE) above the 20-day EMA ($0.13), indicating a lack of demand at higher levels.
A tight consolidation near the $0.12 support increases the risk of a breakdown. If the price closes below $0.12, the DOGE/USDT pair may decline to $0.10 and later to the solid support of $0.08.
If the bears want to stop the decline, they will need to push the price back up above $0.13 quickly. Then, the pair can start a recovery towards the 50-day SMA ($0.14), indicating that the range-bound action remains intact.
Toncoin Price Analysis
TON Coin (TON) rose above the $7.87 resistance level on July 2, indicating that buyers remain in control.
If buyers push the price above $8.29, the TON/USDT pair will resume its uptrend. Then, the pair may attempt a rally to the psychologically important level of $10, which is likely to draw strong selling from the bears.
The first support level to watch in a downtrend is the 20-day EMA ($7.55). If this level is broken, the pair could slip to the 50-day SMA ($7.08). This is a key level for the bulls to defend, as a break below this level will favor the bears.
Related: Why did the Ethereum (ETH) price drop today?
Cardano Price Analysis
Cardano (ADA) was range-bound between $0.40 and $0.35, but turned bullish on July 1, showing that buyers were stronger than sellers.
The uptrend is facing resistance at the 50-day SMA ($0.43), but if the bulls can prevent the price from falling below $0.40, the sentiment will change from selling in the rally to buying in the dip. This will improve the outlook for a rally above the 50-day SMA. This could see the ADA/USDT pair reach $0.50.
Instead, a break below $0.40 could lock in an aggressive bull run and push the pair down to the important support level of $0.35.
Avalanche Price Analysis
Avalanche (AVAX) closed above the $29 resistance level on June 30, but the bulls failed to sustain higher levels.
The bears pushed the price back below $29 on July 1, suggesting that the breakout could be a bull trap. The AVAX/USDT pair could fall to the solid support at $23.51, at which point buyers are expected to step in. If so, the pair could remain range-bound for a while.
If the bulls want to make a comeback, they will have to push the price above $30.12 and hold it. If they do, the pair can start a relief rally towards the 50-day SMA ($32.55) and later towards $37.20.
Shiba Inu Price Analysis
Over the past few days, Shiba Inu (SHIB) has been holding the $0.000016 support level, but without a strong bounce, there is a possibility that selling pressure will intensify as the bears look to turn the price lower.
The 20-day EMA ($0.000018) is slanting downwards and the RSI is close to oversold territory, indicating that the bears have the upper hand. If the $0.000016 support breaks, the SHIB/USDT pair could drop to $0.000014 and then to $0.000010.
The bulls are running out of time. If they want to bounce, they will have to quickly push the price above the 20-day EMA and the $0.000020 breakdown level. If they do, the pair can start a recovery towards $0.000025.
This article does not contain any investment advice or recommendations. All investment and trading moves involve risk, and readers should conduct their own research when making decisions.