BTC is making greater lows on a daily basis, and altcoins are holding on to their recent gains, implying that the market is nearing a bottom.
The stock market in the United States and Bitcoin (BTC) have both risen strongly since their lows on February 24, while gold has fallen from its recent highs. This suggests that investors are increasing their exposure to risky assets while decreasing their exposure to safe-haven assets.
According to recent rumors, Russian President Vladimir Putin may send a delegation to Ukraine to negotiate, raising hopes that the conflict may finish sooner than observers predict.
Because of the global scenario, several observers anticipate the US Federal Reserve will not hike rates sharply in March. Mohamed El-Erian, Allianz’s senior economic strategist, believes that a 50-basis-point rate hike in March is “totally off the table.”
Dr. Raullen Chai, co-founder and CEO of blockchain network IoTeX, advised investors not to sell their crypto assets in the hope of buying them again at a reduced price. He warned that before the end of the year, the market may “easily achieve new all-time highs.”
Will bears sell at higher levels and force the price down, or will bulls build on the powerful comeback from lower levels? To discover out, let’s look at the charts of the top ten cryptocurrencies.
BTC/USDT
On February 24, Bitcoin developed an outside-day candlestick pattern. The bears dragged the price below the immediate support level of $36,250, but the day’s candlestick has a lengthy tail, indicating significant bullish purchasing at lower levels.
The BTC/USDT pair could rise toward the overhead resistance at $45,821 if buyers push the price above the moving averages. A move like this could indicate that the bears are losing their grip. The longer the price remains above the moving averages, the more likely a bottom has been established.
If the price falls below the moving averages, it indicates that sentiment is still negative and that traders are selling on rallies. The bears will then try once more to bring the pair below $36,250 and keep it there. If they succeed, the pair might drop to the strong support zone between $34,322 and $32,917, where it is currently trading.
ETH/USDT
On February 24, Ether (ETH) fell below the symmetrical triangle’s support line, but the bears were unable to maintain the lower levels. The day’s candlestick has a lengthy tail, indicating strong buying at lower levels.
The bulls are seeking to push the price above the moving averages as the ETH/USDT pair has re-entered the triangle. If they succeed, the duo may be able to reach the triangle’s resistance line. A break and closing above this level could signal the beginning of a fresh upswing.
In contrast to this premise, if the price falls below the moving averages, the bears will attempt to push the pair below the triangle’s support line. If that happens, the pair may test $2,300 once more. If this support also fails, the drop might reach $2,159.
BNB/USDT
On February 24, Binance Coin (BNB) fell to a solid support zone of $330 to $320, where buyers came in and stopped the slide. The price climbed back over the $350 breakdown level after a robust bounce.
The bulls are seeking to push the price up to the moving averages, where the bears are predicted to fight back hard. If the price falls below the moving averages, the bears will try to push the BNB/USDT pair below $350 and test the support zone once more.
If bulls can get the price over the 50-day simple moving average ($411), it could indicate that selling pressure is easing. The pair could then rally to $445, which is the overhead resistance.
XRP/USDT
On February 24, Ripple (XRP) recovered from the $0.62 support, but bulls were unable to push the price over the overhead resistance at the 50-day SMA ($0.72). A long-legged Doji candlestick pattern was formed as a result of this.
The bulls are trying to push the price above the moving averages once more. The XRP/USDT pair could rally to the downtrend line if they succeed. To signify a likely change in the short-term trend, the bulls must overcome this hurdle. After there, the pair could try to move up to $0.91 and then to $1.
If the price falls below the moving averages, it indicates that bears will continue to sell on rallies. The bears will then restart their selling and attempt to drag the pair down to the strong support zone between $0.62 and $0.55.
ADA/USDT
Cardano (ADA) has been in a significant slump for the past few days, with the price trading below the important $1 barrier. Bulls bought the $0.74 dip, as evidenced by the lengthy tail on the February 25 candlestick.
Bears are in control, as seen by down sloping moving averages and a relative strength index (RSI) below 37. If the price drops below the current level or the $1 overhead barrier, it means bears will continue to sell rallies. After that, the bears will try to push the pair below $0.74.
If the price rises above $0.90, the pair might reach $1, which is the breakdown level. The bears must defend this level because a breach above it will imply that the markets have rejected the lower levels. The couple could then test the descending channel’s resistance line.
SOL/USDT
Solana (SOL) rallied strongly from its intraday low on February 24 to close at $81, well above the breakdown level. The day’s candlestick has a lengthy tail, indicating strong buying at lower levels.
To show that selling pressure is easing, the bulls must overcome the overhead hurdle at the 50-day SMA ($110). Following that, the SOL/USDT pair might rally to the overhead resistance level of $122.
A break and closing above this level would complete a double bottom pattern with a $163 objective.
If the price falls below the current level, the bears will test the solid support at $81 in an attempt to resume the downturn. On a break, selling pressure might escalate, and the market could close below $75.
AVAX/USDT
On Feb. 23, Avalanche (AVAX) attempted to rise above the moving averages, but the day’s candlestick’s lengthy wick implies heavy selling at higher levels. On February 24, the bears dragged the price down to $64, but the bulls pounced on the opportunity. This indicates that bears are selling on rallies and buying on declines.
The RSI is barely below the middle and both moving averages are trending down, indicating a slight bearish advantage. The AVAX/USDT pair could retest $64 if the price remains below the moving averages. If the price breaks and closes below this level, it might lead to a drop to $51.
If bulls can drive the price above the moving averages, the pair might ascend to the channel’s downtrend line. A break and closing above this level will signal a potential trend change.
LUNA/USDT
On February 24, Terra’s LUNA token produced an outside-day candlestick pattern. Despite pulling the price back below the 20-day exponential moving average ($56), the bears were unable to maintain the lower levels.
The LUNA/USDT pair bounced back significantly from its lows, closing above the 50-day SMA ($61). This means that you should buy on the dips aggressively. The 20-day EMA has begun to rise, and the RSI has entered positive territory, indicating that bulls are in control.
At $70, there is some slight resistance. If bulls overcome this stumbling block, the pair might rally to the $85 to $87 overhead zone. In the event that the price falls below $70, the pair may drop to the moving averages.
DOGE/USDT
On February 24, Dogecoin (DOGE) bounced back from a strong support level of $0.10 and closed above the breakdown level of $0.12. The bulls, on the other hand, have been unable to maintain their buying pace, implying a lack of demand at higher levels.
The bears will attempt to lower the price below $0.12 and test the psychological support level of $0.10. A break and closing below this level would be extremely bearish, and the DOGE/USDT pair may fall under $0.06.
Alternatively, if the price rises from where it is now, buyers will try to push the pair above the moving averages. If they do, the pair might rally to $0.17, which is a strong overhead resistance. A break and closing above this level would indicate that the bears’ hold on the market is slipping.
DOT/USDT
On February 24, Polkadot (DOT) fell below a key support level of $15.80, but the bears were unable to maintain the lower levels, as evidenced by the extended tail on the day’s candlestick. This signals that heavy buying is taking place at lower levels.
Bears have a little advantage due to the down sloping moving averages and the RSI in negative territory. In the overhead zone between the 20-day EMA ($18.15) and the downtrend line, the bears are expected to make a robust defense.
If the price falls below this level, the bears will try once more to bring the DOT/USDT pair below the significant support level of $15.80. If they are successful, the price of the pair might fall to $13.35.
If the price climbs and stays above the 50-day SMA ($20.71), this bearish view will be invalidated. The pair might then advance to $23.19, which is the overhead resistance.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.
