When the markets are trending, traders should be active if they want to earn money. On the other hand, in a ranging market, it is better to wait on the sidelines with patience, or else traders may lose money due to choppy random moves in either direction.
Bitcoin’s (BTC) sideways price action since the sharp fall on Aug. 17 shows that the bulls and the bears are unsure about the next directional move. Therefore, it is better to wait for the breakout to happen before waging large bets.
In the short term, institutional traders also seem to be taking a cautious approach. A CoinShares report showed an outflow of $55 million from digital asset investment products for the week of Sept. 13.
When it comes to investing in Web 3.0, can you buy the rumor and sell crypto? What are the advantages of Web 3.0? What are the important support and resistance levels that need to be crossed for a trending move to start in Bitcoin and altcoins such as Crypto ADA and Akita Inu Crypto? Let’s study the charts of the top 10 cryptocurrencies to find out.
Bitcoin price analysis
The Aug. 22 candlestick with its long tail is a positive sign, suggesting that the bulls are attempting to maintain the support level at $24,800.
However, the bulls will remain under pressure until they break through the overhead resistance at $26,833 and then the 20-day exponential moving average (EMA) at $27,777. If both these resistances are overcome, it could indicate that the BTC/USDT pair may stay within the $24,800 to $31,000 range for a while longer.
The 20-day EMA is sloping downwards, indicating an advantage to bears, yet the RSI is in oversold territory, which could lead to a recovery in the near term.
The bears will need to push and sustain the price below $24,800 to strengthen their position. That could lead to a potential drop to $20,000.
Ether price analysis
Ether (ETH) recently dipped below the $1,626 support, but the long tail on the candlestick suggests solid buying at lower levels.
Bulls need to push the price above the $1,700 resistance to reach the 20-day EMA ($1,756). This is the crucial level to watch out for in the near term.
If the price turns down from this level, bears will try to take the pair below the $1,626 to $1,550 support zone. If they succeed, the index could start a downward move toward $1,368.
Conversely, a break above the 20-day EMA will increase the chances of the pair staying within the $2,000 to $1,626 range for some more time.
BNB price analysis
On Aug. 17, the bulls attempted to arrest the decline of BNB (BNB) at the psychological support of $200, which caused the crypto to bounce off.
The recovery could reach the 20-day EMA ($227), which is expected to act as a strong resistance. If the price turns down sharply from the 20-day EMA, the bears may try to push the BNB/USDT pair below $200. If successful, the pair could slide to $183.
Alternatively, if the price rises above the 20-day EMA, it will signal that the bears are losing their grip. The pair may then climb to the resistance line, which is an important level for the bears to defend.
XRP price analysis
XRP (XRP) dropped from the resistance at $0.56, but bulls have prevented the crypto altcoins from declining below $0.50.
The XRP/USDT pair could stay in a range between $0.50 and $0.56. The sloping 20-day EMA ($0.58) and the RSI near the oversold area point to the advantage of bears.
If the price falls under $0.50, the pair could start its descent towards the next main support at $0.41, which could indicate range-bound activity between $0.41 and $0.50.
On the other hand, if buyers push the crypto and analysis above the 20-day EMA, it would suggest that bulls are returning. The pair may then surge up to the 50-day SMA of $0.63.
Cardano price analysis
The Aug. 22 candlestick for Cardano (ADA) has a long tail, indicating strong demand at lower levels. The price is currently stuck between $0.24 and $0.28.
If the price drops below $0.24, the ADA/USDT pair may begin a new downtrend. It could first dip to $0.22 and then to the psychological support of $0.20. The downward sloping 20-day EMA ($0.28) and the negative RSI show that bears have the advantage.
However, if buyers can push the price above $0.28, the pair may start a relief rally to the 50-day SMA ($0.29) and then to $0.32. This could invalidate the bearish outlook in the short term.
Solana price analysis
Solana (SOL) dropped beneath the immediate support at $20 on Aug. 22, however, the bulls purchased the dip, indicating demand at lower levels.
Investors will need to push the price above the 20-day EMA ($22.64) if they want to recover the situation. Above this level, the SOL/USDT pair is likely to gain momentum and attempt a rally to $26. The 50-day SMA ($23.60) could act as a barrier, but it is likely to be crossed.
Contrary to this assumption, if the price turns down from the current level or the 20-day EMA, it will signal that the bears have not given up. That will increase the likelihood of a break below $19.35. If that occurs, the pair may drop to $18 and eventually to $16.
The crypto market is full of opportunities, and crypto altcoins like SOL can be a great way to benefit from the advantages of Web 3.0. However, investors should always be aware of the risks and remember the old saying: “buy the rumor, sell the crypto”.
Dogecoin price analysis
On Aug. 21 and 22, Dogecoin (DOGE) witnessed a rebound from the support at $0.06, suggesting that investors were buying the dips to this level.
The bulls are attempting to start a recovery rally that could reach the 20-day EMA ($0.07). However, sellers are likely to protect this level. If the price turns down from the overhead resistance, it may remain stuck between the 20-day EMA and $0.06 for a while. To initiate a rally to the next major resistance above $0.08, buyers must push the price above the moving averages.
On the downside, if the price breaks and closes below $0.06, it could signal the start of a downward move towards $0.05, potentially making it a good opportunity to “buy the rumor sell crypto”.
Polkadot price analysis
The bears attempted to push the price of Polkadot (DOT) below the vital support at $4.22, yet the bulls held their position, as seen from the long tail on the Aug. 22 candlestick.
The 20-day EMA ($4.73) is turning downwards and the RSI is in the negative zone, which implies that bears have the advantage. If buyers want to signal a comeback, they will have to push the price above the overhead zone between $4.56 and the 20-day EMA.
At the same time, the bears are probably going to have other ideas. They will try to sell on minor rallies and pull the price below $4.22. If they succeed, the DOT/USDT pair could begin the next leg of the downtrend. The next support is at $4.
Investors should consider the advantages of Web 3.0 before making any decisions to buy or sell crypto or altcoins. It is also important to remember the old adage of “buy the rumor, sell the news”, as well as to be aware of the potential risks of crypto-related arrests.
Polygon price analysis
The MATIC/USDT pair is trying to stay above the key support at $0.51, as evidenced by the bounce back from $0.53 on Aug. 22.
The bulls have to be cautious, however, as they may face stiff selling pressure at $0.60. If the crypto altcoins price turns down from this resistance, it could mean that bears are active at higher levels, thus keeping the pair in the range of $0.51 to $0.60 for a few days.
A break and close below $0.50 would indicate the continuation of the downtrend. The pair could then fall to $0.45 and then to $0.42. On the other hand, a rally above $0.60 could trigger a rally to $0.65 and then to $0.69.
Investors should take into account the advantages of Web 3.0 before investing in the crypto space, and always remember to “buy the rumor, sell the news” when trading crypto assets.
Shiba Inu price analysis
Although the Shiba Inu (SHIB) price dipped below the 50-day Simple Moving Average (SMA) of $0.0000084 on Aug. 20, the bulls did not let it retest the crucial support level of $0.0000072.
The strong bounce on Aug. 22 indicates that there was strong buying at the lower levels. The bulls will now try to push the price above the moving averages. If they are successful, the SHIB/USDT pair could gain momentum and surge towards $0.000011.
Conversely, if the price reverses from the moving averages, it will indicate that the bears are still in control. The price could then drop to the strong support level of $0.0000072 and eventually to $0.0000064.
So, if you want to invest in Web 3.0 or buy the rumor and sell crypto, you should keep an eye on Shiba Inu and other crypto altcoins like Cardano (ADA).
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