Bitcoin (BTC) again revisited the $60,000 support on July 3, indicating that the bears have maintained their selling pressure. It may not be easy to break the $60,000 to $56,552 support zone as the bulls are expected to defend it, keeping Bitcoin inside the large range for some more time.
The risk to Bitcoin’s continued sideways action could come from the selling pressure created by the Mt. Gox creditors, who may rush to book profits after receiving their repayments in early July.
However, lower levels are likely to see buying from the United States-based spot Bitcoin exchange-traded funds, which have amassed $14.8 billion in net inflows since their launch in January.
It is difficult to predict the amount of Bitcoin the Mt. Gox creditors will dump in the open market because some of it may go through over-the-counter trading desks. The uncertainty may cause volatility in the next few days. What are the important support and resistance levels to watch out for in Bitcoin and altcoins? Let’s analyze the charts of the top 10 cryptocurrencies to find out.
Bitcoin price analysis
Bitcoin turned down from the 20-day exponential moving average ($63,212) on July 1, indicating that the sentiment remains negative and traders are selling near overhead resistance levels.
The bears will try to strengthen their position by pulling the price below the immediate support at $60,000. If they succeed, the BTC/USDT pair could tumble to the pivotal support at $56,552. Buyers are expected to guard this level with all their might because if they fail to do that, the pair may start a downtrend. The next support is at $50,000.
If the price rebounds off $56,552, the bulls will try to push the pair to the 20-day EMA. Buyers will have to overcome this barrier to signal that the pair remains inside the $56,552 to $73,777 range for a few more days.
Ether price analysis
The bulls failed to push and maintain Ether (ETH) above the 20-day EMA ($3,451) on July 1, indicating that the bears are active at higher levels.
The downsloping 20-day EMA and the RSI in the negative territory suggest that the bears have the edge. Sellers will try to sink the price to $3,240, which is again likely to act as a strong support. If this level breaks down, the next stop could be $3,000.
On the upside, a break and close above the 50-day SMA will signal that the short-term correction may be over. The ETH/USDT pair could then start a rally to $3,730 and subsequently to $3,887.
BNB price analysis
BNB (BNB) turned down from the 20-day EMA ($585) on July 1, indicating that the bears are vigorously defending the level.
The bears will try to sink and maintain the price below the immediate support at $551. If they manage to do that, the selling could pick up. The BNB/USDT pair may plummet to $536 and eventually to the solid support at $495.
Contrarily, if the price rebounds off $551, it will signal solid demand at lower levels. The bulls will have to kick the price above the 50-day SMA ($604) to suggest that the correction may be over. The pair may then rise to $635.
Solana price analysis
Buyers pushed Solana (SOL) above the resistance line on July 2, but the price turned down sharply from the 50-day SMA ($156) on July 3.
The 20-day EMA ($145) has flattened out, and the RSI is just below the midpoint, indicating a balance between supply and demand. If the price sustains below the 20-day EMA, it will suggest that the SOL/USDT pair may swing between $116 and the 50-day SMA for a while.
Contrarily, if the price turns up and breaks above the 50-day SMA, it will signal that the bulls have seized control. The pair could rally to $175 and subsequently to $189. Sellers are expected to fiercely protect the zone between $189 and $205.
XRP price analysis
The bulls are striving to push XRP (XRP) above the 20-day EMA ($0.48), but the bears are not willing to relent.
If the price continues lower from the current level, the bears will make another attempt to sink the XRP/USDT pair below $0.46. If they succeed, the pair could gradually drift toward $0.41. The bulls are expected to aggressively defend the zone between $0.41 and $0.46.
On the upside, buyers will have to clear the 20-day EMA hurdle to clear the path for a rally to the 50-day SMA ($0.50). This is a crucial resistance to watch out for because a break above it will suggest the start of a strong recovery toward $0.57.
Dogecoin price analysis
The bulls failed to push Dogecoin (DOGE) above the 20-day EMA ($0.13) in the past few days, indicating a lack of demand at higher levels.
The tight consolidation near the $0.12 support increases the risk of a breakdown. If the price closes below $0.12, the DOGE/USDT pair could decline to $0.10 and later to the solid support at $0.08.
If bears want to prevent the downside, they will have to quickly shove the price above $0.13. The pair could then start a recovery to the 50-day SMA ($0.14), indicating that the range-bound action remains intact.
Toncoin price analysis
Toncoin (TON) rose above the $7.87 resistance on July 2, indicating that the buyers have retained their control.
If buyers drive the price above $8.29, the TON/USDT pair will resume its uptrend. The pair could then attempt a rally to the psychologically crucial level of $10, which is likely to attract strong selling by the bears.
The first support to watch on the downside is the 20-day EMA ($7.55). If this level gets taken out, the pair may slide to the 50-day SMA ($7.08). This is an important level for the bulls to defend because a break below it will tilt the advantage in favor of the bears.
Cardano price analysis
Cardano’s (ADA) range-bound action between $0.40 and $0.35 resolved to the upside on July 1, indicating that the buyers overpowered the sellers.
The up move is facing resistance at the 50-day SMA ($0.43), but if the bulls do not allow the price to slip below $0.40, it will signal a change in sentiment from selling on rallies to buying on dips. That will improve the prospects of a rally above the 50-day SMA. The ADA/USDT pair may then reach $0.50.
Instead, a break below $0.40 may trap the aggressive bulls, pulling the pair to the crucial support at $0.35.
Avalanche price analysis
Avalanche (AVAX) closed above the overhead resistance of $29 on June 30, but the bulls could not maintain the higher levels.
The bears again pulled the price back below $29 on July 1, suggesting that the breakout may have been a bull trap. The AVAX/USDT pair could drop to the solid support at $23.51, where buyers are expected to step in. That could keep the pair stuck inside a range for some time.
If bulls want to make a comeback, they will have to push and maintain the price above $30.12. If they do that, the pair may start a relief rally to the 50-day SMA ($32.55) and later to $37.20.
Shiba Inu price analysis
The bulls have held the $0.000016 support in Shiba Inu (SHIB) for the past few days, but the failure to start a strong rebound could intensify selling by the bears.
The 20-day EMA ($0.000018) is sloping down, and the RSI is near the oversold territory, indicating that the bears hold the edge. If the $0.000016 support breaks down, the SHIB/USDT pair could drop to $0.000014 and thereafter to $0.000010.
Time is running out for the bulls. If they want to make a comeback, they will have to quickly drive the price above the 20-day EMA and the breakdown level of $0.000020. If they do that, the pair may start a recovery toward $0.000025.