Bitcoin (BTC) experienced a significant surge on May 20, but its price remains within a range. Despite approaching overhead resistance, there is evidence of continued buying as inflows into spot Bitcoin exchange-traded funds (ETFs) reached $500 million on May 20 and 21, according to Farside Investor’s data.
However, analysts have expressed concerns about Bitcoin’s short-term price action. John Bollinger, the creator of Bollinger Bands, suggested that Bitcoin’s formation indicates a possible short-term consolidation or pullback. Material Indicators, a trading resource, also warned of a “clear” down signal using its proprietary trading tools, which would negate a price above $71,500.
While Bitcoin awaits a breakout, attention is shifting to Ether as the United States considers approving spot Ether ETFs. If approved, this could boost sentiment in the cryptocurrency market and lead to a surge in select altcoins.
Now, let’s analyze the charts of the top 10 cryptocurrencies to determine if Bitcoin and major altcoins could surprise with an upward move.
Bitcoin Price Analysis:
Bitcoin surpassed the $68,000 mark on May 20 but failed to reach the overhead resistance at $73,777.
A positive sign is that bulls are attempting to keep the price above the psychological level of $70,000. If they succeed, the BTC/USDT pair may have another opportunity to reach $73,777. If the bulls prevail, the pair could rally to $80,000 and then $84,000.
On the other hand, a sharp downturn from the current level or the overhead resistance would suggest that bears are aggressively defending the $73,777 level. This indicates that consolidation may continue for a few more days.
Ether Price Analysis:
On May 20, Ether (ETH) broke above the resistance line of a descending channel pattern, signaling a potential trend change.
Bulls strengthened their position by pushing the price above the $3,730 resistance. If buyers can maintain the price above this level, it suggests that bears have given up. The ETH/USDT pair may then rally to $4,100, with further potential to reach $4,868.
However, a sharp decline below $3,730 would indicate that bears remain sellers at higher levels. In this case, the pair may slide to the 20-day EMA ($3,224).
BNB Price Analysis:
BNB turned upward from the support line of a symmetrical triangle pattern on May 20 and broke above the resistance line, indicating a resolution in favor of the bulls.
The BNB/USDT pair reached the crucial overhead resistance at $635 on May 21. While this level is likely to pose a strong hurdle, a successful defense by bulls could pave the way for a rally to $692.
The important support levels to watch are the 20-day EMA ($590) and the support line. A break below these levels suggests that the pair may continue to trade within the $495 to $635 range for a few more days.
Solana Price Analysis:
Solana (SOL) broke above the immediate resistance at $185 on May 20, but bulls failed to sustain higher levels.
The price slipped below $185 on May 21, indicating that bears are still active. However, the upsloping 20-day EMA ($161) and the positive zone of the RSI suggest that the path of least resistance is to the upside.
If buyers can overcome the obstacle at $165, the SOL/USDT pair may retest the critical overhead resistance at $205. This positive outlook would be invalidated if the price turns down and breaks below the moving averages.
XRP Price Analysis:
Bulls attempted to push XRP to the overhead resistance at $0.57 on May 21, but the long wick on the candlestick indicates selling pressure from bears.
If the price rebounds from the moving averages, it will signal that bulls are trying to flip the level into support. In this case, the prospects of a rally above the overhead resistance at $0.57 will increase, and the XRP/USDT pair could surge toward $0.67.
Conversely, if the price continues to decline and breaks below the 20-day EMA, it suggests that bulls have given up. The pair may then drop to the support line, where bulls will attempt to halt the decline.
Toncoin Price Analysis:
Toncoin (TON) attempted to bounce off the moving averages on May 20 but failed to gain momentum.
The 20-day EMA has flattened out, and the RSI is near the midpoint, indicating that the TON/USDT pair may trade between $4.72 and $7.67 for some time. A breakout above $6.73 could lead to a rally toward the overhead resistance at $7.67.
However, a decline below the 50-day SMA would suggest that bears have the upper hand in the short term, potentially leading to a fall to $5.50 and later to $4.72.
Dogecoin Price Analysis:
Dogecoin is currently experiencing a tough battle between bulls and bears near the $0.17 level.
The turning upward of the 20-day EMA and the positive territory of the RSI indicate an advantage for buyers. If bulls can maintain the price above $0.17, the DOGE/USDT pair is likely to accelerate toward $0.21.
The 20-day EMA serves as a crucial support level to monitor. A decline below this level suggests that the pair may continue to trade within the range for some time.
Cardano Price Analysis:
Cardano skyrocketed above the 50-day SMA on May 20 but failed to clear the hurdle at $0.52.
Bears are attempting to push the price below the moving averages, but bulls are expected to defend this level. If the price turns up from the moving averages, bulls will again attempt to overcome the obstacle at $0.52. A successful breakout could lead to a surge toward the overhead resistance at $0.57.
However, if the price turns down and breaks below the moving averages, it suggests that bears remain active at higher levels. The pair may then drop to the support line.
Avalanche Price Analysis:
Avalanche turned up from the 20-day EMA on May 20 and broke above the $40 overhead resistance on May 21.
The moving averages are on the verge of a bullish crossover, and the RSI is in positive territory, indicating an advantage for buyers. The AVAX/USDT pair may attempt a rally toward the psychological resistance at $50. However, bears are likely to sell heavily at this level.
To prevent an upside breakout, bears need to maintain the price below the 20-day EMA. This could trap aggressive bulls and result in a long liquidation, potentially causing the pair to slump toward the $29 support.
Shiba Inu Price Analysis:
Shiba Inu surged above the resistance line of a symmetrical triangle pattern on May 20, but bulls are struggling to maintain momentum.
Bears are attempting to pull the price back into the triangle, suggesting that the breakout may have been a false move. This could keep the price range-bound within the triangle for some time.
Alternatively, if the price turns up from the current level and breaks above $0.000027, it will indicate buying at lower levels. The SHIB/USDT pair could then rally toward $0.000030.
Please note that this article does not offer investment advice or recommendations. Trading and investing in cryptocurrencies involve risks, and readers should conduct their own research and analysis before making any decisions.