After having increased for four consecutive months, Bitcoin is projected to finish May with a decrease of approximately 7%. Another significant development in May was that Bitcoin’s 30-day volatility fell to 1.52%, which is much lower than the yearly average of 4% and above. Data from Glassnode indicates that Bitcoin’s periods of low volatility have only comprised 19.3% of its entire price history. Therefore, it is anticipated that volatility will rise again in June.
In an exclusive conversation with Cointelegraph, James Check, the lead on-chain analyst of Glassnode, asserted that Bitcoin may rally up to $32,000, which is its “true cost basis”. Glassnode analysts derived this figure after examining active Bitcoin holders and excluding coins that will never be recovered.
The result of the vote on the debt ceiling in the US House of Representatives could give an indication of what is to come in the near future. If the vote passes, as anticipated, it could cause a sudden surge in Bitcoin prices. However, if the vote fails, then Bitcoin could drop below the $25,000 mark.
The charts of Bitcoin and some significant altcoins in the short-term appear to show that the bulls may be losing their strength. To prevent a crash, what are the essential support levels that the bulls need to sustain? Let us analyze the graphs of the top 10 cryptos to determine.
Bitcoin price analysis
On May 29, Bitcoin shifted away from the downward trend line, demonstrating that bears are still offloading near vital resistance levels.
The 20-day EMA of $27,273 and the RSI just below the midpoint do not indicate an advantage for either the bulls or the bears. If the price remains below the 20-day EMA, the BTC/USDT pair may decline to the $25,250 support level.
Buyers should strive to protect the range between $24,000 and $25,250 as a breach of this area could result in a sharp decline to $20,000.
The positive side is that the bulls must break the downtrend line to indicate the beginning of a bullish trend. The rate could first reach $30,000 and possibly move up to $31,000 afterwards.
Ether price analysis
The bulls are having difficulty keeping Ether (ETH) above the 50-day simple moving average (SMA) of $1,883, indicating a lack of interest in higher prices.
The bears are attempting to drive the price back into the descending wedge pattern in order to ensnare the bullish traders. If successful, ETH/USDT could drop to $1,762 and then to the wedge’s support line.
If the price rebounds away from the resistance line of the wedge, it indicates that the bears have changed the level into a support. The pair could then climb to the psychological resistance of $2,000 and possibly to $2,142.
BNB price analysis
On May 28, BNB (BNB) rose and ended above the 20-day EMA ($311), however, the bulls were unable to sustain the drive and take on the 50-day SMA ($319).
The bears took advantage of the situation and caused the price to move beneath the 20-day EMA on May 31. Vendors will attempt to probe the psychological support at $300. If this level is breached, the BNB/USDT pairing could go down to the support line.
If the price reverses from $300, it will indicate that buyers are being drawn to the lower levels. This could potentially keep the pair in the upper half of the channel for a few more days. A fresh rally could start if the price rises above the channel’s boundaries.
XRP price analysis
XRP’s (XRP) surge is experiencing profit-taking close to the overhead resistance of $0.54. The first support is situated at the 38.2% Fibonacci retracement level of $0.49 and then at the 50% retracement level of $0.48.
If the price rebounds from this support zone, it could indicate that the attitude has shifted from taking advantage of upticks to taking advantage of downturns. This could increase the likelihood of the price rising above $0.54. The XRP/USDT pair may then ascend to $0.58.
If the price falls below $0.48, it indicates that the bullish momentum has weakened. This could cause the price to stay within the range for a few more days, near the moving averages.
Cardano price analysis
Cardano (ADA) experienced a decline from the 50-day Simple Moving Average ($0.38) on May 29, suggesting that bears are actively guarding this level.
The sellers will attempt to push the price below the uptrend line. This is a critical level for the buyers to protect, as a breach of it would render the bullish ascending triangle pattern invalid. This could then lead to a decline to $0.30.
If the price increases from its present level or the uptrend line, it is an indication that buyers are purchasing at lower prices. The buyers will make one more effort to push the price higher than the 50-day SMA. If they are successful, the ADA/USDT pair could possibly ascend to the $0.42 to $0.44 resistance area.
Dogecoin price analysis
The uptrend of Dogecoin (DOGE) has hit a roadblock at the 20-day EMA ($0.07), suggesting that the sentiment is still bearish and any rallies are being sold off.
The bears will attempt to bolster their standing by dragging the cost below the immediate support level of $0.07. If they are successful, the DOGE/USDT pair could begin its descent to the next support at $0.06.
The clock is ticking for the bulls. If they want to begin a recovery, they must rapidly push the cost higher than the 20-day EMA. The pair could then surge to the overhead resistance of $0.08. Surpassing this point will signal that the bulls are making a comeback.
Polygon price analysis
Polygon’s (MATIC) attempt at a rebound was unsuccessful as it reached the overhead resistance level of $0.94, suggesting that the bears are still in control.
The bears are attempting to keep the price beneath the 20-day EMA ($0.90). Should they succeed, the MATIC/USDT pair might drop to the essential support at $0.82. This is the most important level to be aware of on the downside, as if it is breached, the selling could increase and the pair could potentially fall to $0.69.
The first indication of strength will be a break and closing above the 50-day Simple Moving Average ($0.96). This could pave the way for a potential rally towards the downtrend line.
Bitcoin holders who sold off their holdings above $20K may have signaled the end of capitulation, according to a new metric.
Solana price analysis
Solana (SOL) has been trading within the range of the 20-day EMA ($20.50) and the moving averages for the past four days, indicating that bulls are buying the dips to the 20-day EMA while bears remain active at the higher levels.
The 20-day EMA is not exhibiting any significant changes and the RSI is close to the midpoint, which suggests that the price of SOL/USDT is likely to remain in a range in the short term. If the price drops below the 20-day EMA, it could drop to the strong support at $18.70. If the price rebounds from this level, it will indicate a consolidation between $18.70 and the 50-day SMA.
Should the cost rebound from the 20-day EMA, the bulls will once more attempt to surmount the barrier at the 50-day SMA. If they are successful, it is possible the pair may initiate an upswing towards $24, followed by $27.12.
Polkadot price analysis
The bulls caused Polkadot (DOT) to move past the 20-day EMA ($5.40) on May 28, yet they were unable to sustain the breakout. This indicates that demand diminishes when prices rise.
The bears have caused the price to drop beneath the 20-day EMA. Sellers will attempt to push the cost lower than the essential support at $5.15. If they succeed in doing so, the DOT/USDT pair could begin to move in a downward direction towards $4.22.
If the price bounces back from $5.15, it will demonstrate that bulls are still vigorously protecting this level. The pair may then stay between $5.15 and $5.56 for a few more days. If the bulls manage to surpass the 50-day SMA ($5.74), they will have the advantage in the short-term.
Litecoin price analysis
The trading activity of the last few weeks has created a symmetrical triangle formation on Litecoin (LTC), which implies that both buyers and sellers are uncertain about the next direction of the market.
The behavior of prices within a triangle is usually unpredictable and unpredictable. If the cost remains below the average, the LTC/USDT pair could go down to the upward trend line. This line is likely to attract buying from the bulls.
It is also possible that the price will increase from the moving averages. If this happens, the pair is likely to move up to the resistance line. If the price breaks and then closes above this level, this would indicate the commencement of an upward trend. The potential target of this pattern is $142.
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