Bitcoin (BTC) has reached the crucial milestone of $50,000, driven by the strength of the US stock markets and significant inflows into spot Bitcoin exchange-traded funds (ETFs). Notably, trader Daan Crypto Trades highlighted in a post that there has been a continuous positive flow into Bitcoin ETFs for 11 days.
Despite analysts’ expectations of a continued bull run, CryptoSlate’s research and data analyst James Van Straten warned traders of a possible correction. In a post, Van Straten noted that Bitcoin’s total supply in profit is nearing 95%, which is typically a sign of a market peak.
However, long-term prospects remain promising. According to crypto analysis platform Glassnode, certain on-chain indicators indicate that Bitcoin may be in the early stages of a bull market, as stated in a post on Feb. 10.
Could this uptrend in Bitcoin also benefit select altcoins? Let’s examine the charts to find out.
S&P 500 Index price analysis
The S&P 500 Index (SPX) continued its upward trend above the significant level of 5,000 last week, indicating strong demand from bullish investors.
If buyers can maintain the price above 5,000, the index is expected to gain momentum and reach its next target of 5,200. However, the positive trend indicated by the moving averages is accompanied by a negative divergence on the relative strength index (RSI), which suggests a potential correction in the near future.
The bears will need to push the price below the 20-day exponential moving average (4,913) to signal a potential short-term peak. In this case, the index may fall towards the 50-day simple moving average (4,779).
Understanding the U.S. Dollar Index and its Price Analysis
The U.S. Dollar Index (DXY) is currently in a consolidation phase after successfully breaking out of the inverse head-and-shoulders pattern on February 2nd.
With the 20-day EMA (103.63) on an upward trend and the RSI remaining in the positive zone, bulls have a slight advantage. If the price manages to surpass 104.60, it will confirm the continuation of the uptrend and potentially reach 106 and 107 levels.
However, a drop below the neckline could signal a comeback from the bears. This would invalidate the bullish setup and potentially lead to a further decline below 102.77.
Analyzing the Price of Bitcoin
Bitcoin has surpassed its previous high of $48,970 on Jan. 11, signaling the start of the next upward trend on Feb. 12.
If the price manages to close above $48,970, it will confirm the breakout and pave the way for a potential climb to $52,000. While the $50,000 mark may pose as a minor obstacle, it is expected to be breached. A strong surge could even push the price to $60,000.
However, if the BTC/USDT pair turns downwards and falls below $48,970, it will indicate that the bears are selling near $50,000. This will increase the likelihood of a drop to $44,700.
Ether price analysis
The bears attempted to halt Ether’s (ETH) recovery near the 61.8% Fibonacci retracement level of $2,507 on February 12th, but the bulls refused to back down.
The ascending 20-day EMA ($2,400) and positive RSI indicate that the bulls are currently in control. A minor resistance level can be found at $2,600, but if this is surpassed, the ETH/USDT pair could potentially reach $2,717.
The crucial support level to monitor on the downside remains at $2,400. If this level is breached, selling pressure may intensify and the pair could plummet to the strong support at $2,100. It is expected that buyers will vigorously defend this level.
BNB price analysis
BNB (BNB) has recently broken above its downtrend line on February 8th, however, the bulls are facing difficulty in pushing the price towards its overhead resistance at $338.
On February 12th, the BNB/USDT pair experienced a dip near the moving averages, but the long tail on the candlestick indicates strong buying at lower levels. The buyers will attempt to clear the minor hurdle at $326 and push the price towards the tough overhead resistance at $338.
Alternatively, if the price sharply turns downwards and breaks below the moving average, it will signify that the bears are trying to make a comeback. In this case, the pair may drop to the solid support level at $288.
XRP price analysis
The recovery attempt of XRP (XRP) is being met with selling pressure at the 20-day EMA ($0.52), indicating a prevailing negative sentiment and traders taking advantage of any rallies.
If the current price level is rejected and lower levels are reached, the bears will aim to keep the price below the strong support at $0.50. In such a scenario, the XRP/USDT pair could potentially drop to a crucial support level at $0.46. However, buyers are expected to vigorously defend this level.
On the upside, a break and close above the 20-day EMA would be the initial indication of strength. This could lead the pair to climb towards the downtrend line, which is likely to pose a significant challenge for the bulls. If this resistance is overcome, it could pave the way for a potential rally towards $0.67.
Solana price analysis
The bulls have successfully pushed Solana (SOL) above the neckline of the inverse H&S pattern on Feb. 10 and are currently striving to defend this level during the pullback on Feb. 12.
If buyers are able to maintain the price above $107, we can expect the SOL/USDT pair to gain momentum and potentially reach $117 and then $126. A break above this resistance will serve as a clear signal that the uptrend is continuing. The next target for the bulls would be $135.
On the other hand, if the price experiences a sharp downturn and falls below the moving averages, it could indicate that the break above $107 was actually a bull trap. In this scenario, the pair may drop to $93 and potentially even $80.
Cardano price analysis
The battle between bulls and bears continues for Cardano (ADA) near the downtrend line of the descending channel pattern.
On February 10, the bulls managed to push the price above the channel, but their efforts were not sustained on February 11. Attempting to take advantage, the bears tried to drive the price below the 50-day SMA ($0.53) on February 12, but the bulls held their ground. This indicates that any minor dips are being quickly bought up. Buyers are expected to push the ADA/USDT pair to $0.62 and potentially to $0.68.
However, the bears have their own plans in mind. They will attempt to pull the price back below the moving averages. If successful, the pair could fall to the crucial support at $0.46. Buyers are likely to defend this level, as a failure to do so could lead to a dive towards $0.40.
Understanding the Price Analysis of Avalanche
The current selling pressure near $42 suggests that Avalanche (AVAX) is struggling to break through higher levels due to the presence of sellers.
However, if the price manages to bounce off the 20-day EMA ($36.27), it will demonstrate a positive sentiment and indicate that traders are using dips as an opportunity to buy. This could potentially lead the AVAX/USDT pair to surpass the $42 barrier and reach $50.
On the other hand, if the price falls below the moving averages, it could be a sign of a false breakout. In this case, the pair may decline to $32, a critical level to keep an eye on.
Dogecoin price analysis
Dogecoin (DOGE) has been trading within a symmetrical triangle, indicating a stalemate between the bullish and bearish forces.
The 20-day EMA ($0.08) has flattened out and the RSI is hovering around the midpoint, suggesting a balance between supply and demand. In order to gain the upper hand, buyers will need to push the price above the triangle. If successful, the DOGE/USDT pair could potentially rally towards the resistance zone between $0.10 and $0.11.
On the other hand, if the bears manage to sink and maintain the price below the uptrend line, the advantage will shift in their favor. This could trigger a drop towards the strong support at $0.07, and potentially even $0.06. However, buyers are expected to fiercely defend this level.
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