Bitcoin (
BTC
) is currently striving to maintain its position above the key psychological level of $70,000. The overall sentiment received a significant boost following the impressive inflow of $887 million into spot Bitcoin exchange-traded funds on June 4, as reported by Farside Investors data.
Market analysts are closely monitoring the upcoming release of the United States Consumer Price Index (CPI) data for next week. Bitcoin experienced a notable 7% rally over the course of five days following a 0.1% drop in CPI data on May 15. Markus Thielen, the head of research at 10x Research, believes that if the year-on-year CPI remains at 3.3% or lower, it could potentially push Bitcoin to achieve a new all-time high.
Fidelity Investments’ head of digital asset strategies, Matt Horne, highlighted in a recent CNBC report on June 4 that investors should consider allocating between 1-5% of their portfolio to Bitcoin. This strategy aims to minimize risk even in the event that Bitcoin’s value decreases to zero, while also benefiting the portfolio if Bitcoin continues its upward trend.
The question now remains whether buyers will be able to drive Bitcoin and select altcoins above their respective resistance levels. Let’s delve into the charts of the top 10 cryptocurrencies to gain a deeper insight.
Bitcoin Price Analysis
On June 4, Bitcoin successfully broke and closed above the symmetrical triangle pattern, indicating a favorable resolution in favor of the buyers. The 20-day exponential moving average ($68,135) is gradually trending upwards, and the relative strength index (RSI) is currently in positive territory, signaling an advantage for the bulls. The BTC/USDT pair is expected to rally towards $73,777, which presents a significant resistance level.
Should the price encounter a sharp decline from $73,777, it may suggest a continuation of range-bound trading for a few more days. Conversely, a breakout above $73,777 could pave the way for a further rally towards $80,000 and potentially $88,000.
Ether Price Analysis
Ether (
ETH
) has been consolidating near the critical support level of $3,730, indicating a standstill in the market as bulls defend the level without initiating a strong rebound. A potential downside scenario would involve a break below the 20-day EMA ($3,652), signaling a bearish outlook with a possible decline towards the 50-day simple moving average ($3,310) and eventually $2,850.
Alternatively, a strong upward movement from the current level would signal aggressive buying by the bulls. A breakout and close above $4,100 could indicate a resumption of the uptrend, with the ETH/USDT pair potentially surging towards $4,868.
BNB Price Analysis
BNB (
BNB
) surged past the $635 resistance level on June 4, completing an ascending triangle pattern. The bulls maintained their momentum, pushing the price above the $692 overhead resistance on June 5. If buyers sustain these higher levels, the BNB/USDT pair could extend its upward movement towards the pattern target of $775.
Typically, after surpassing a strong overhead resistance level, the price may retrace and retest the breakout level. Bears will attempt to pull the price back to $635, while buyers will look to establish this level as support to resume the uptrend. A breakdown below the uptrend line could signal a shift in momentum back towards the bears.
Solana Price Analysis
Solana (
SOL
) demonstrated strength by rising above the breakout level of $162 on June 3, indicating bullish efforts to turn this level into support. The 20-day EMA ($166) is sloping upwards gradually, with the RSI in positive territory, suggesting bullish control. The SOL/USDT pair may target $189 and subsequently the overhead resistance at $205.
In the short term, a reversal leading to a decline below the 50-day SMA ($155) would invalidate the bullish outlook, potentially resulting in a drop towards $140, where buyers may attempt to halt the decline.
XRP Price Analysis
XRP (
XRP
) has been hovering around the moving averages recently, reflecting uncertainty regarding the next directional move. Bulls aim to push the price towards the overhead resistance at $0.57. A successful breakout and close above this level could complete an ascending triangle pattern, potentially prompting an upward move towards the pattern target of $0.68.
Conversely, a downturn and break below the support line would negate the bullish setup, potentially leading to a drop towards the crucial support at $0.46. A bounce at this level could result in continued consolidation within the $0.46 to $0.57 range.
Dogecoin Price Analysis
Dogecoin (
DOGE
) bounced off the 50-day SMA ($0.15) on June 3, indicating strong demand at lower levels. The DOGE/USDT pair could target the overhead resistance at $0.18, a key level to watch. A successful breach of this resistance could lead to a rally towards $0.21 and subsequently $0.23.
On the flip side, a rejection from the current level or the overhead resistance would suggest bearish activity at higher levels. A breakdown below the 50-day SMA could shift the short-term trend downwards, potentially leading to a drop towards $0.14.
Toncoin Price Analysis
Toncoin (TON) surged above the $7.67 overhead resistance on June 5, but the presence of a long wick on the candlestick indicates bearish defense at this level. A potential retracement from the current level may find support at the 20-day EMA ($6.60). A strong rebound from this support level would indicate positive sentiment and buying interest, potentially paving the way for a rally above $7.67 towards $10.
Alternatively, a sharp decline below the 20-day EMA would signal a potential range-bound movement between $6 and $7.67 in the near term.
Shiba Inu Price Analysis
On June 4, bears attempted to push Shiba Inu (
SHIB
) below the support line, but strong buying activity at lower levels was evident from the long tail on the candlestick. Bulls aim to surpass the overhead resistance at $0.000030, potentially completing a bullish ascending triangle pattern. This could lead to an upward move towards the resistance level at $0.000039, with a minor resistance at $0.000033.
Maintaining the support line remains crucial, as a close below it could result in a drop towards $0.000018.
Cardano Price Analysis
Cardano (
ADA
) bounced off the support line of a symmetrical triangle pattern on June 3, indicating continued defense by the bulls. If the price remains above the moving averages, the ADA/USDT pair could attempt a gradual move towards the resistance line. Breaking above the triangle could initiate a surge towards the pattern target of $0.62.
Conversely, bears would need to push the price below the triangle to prevent the upside momentum. A breakdown below the triangle could lead to a decline towards $0.35.
Avalanche Price Analysis
Avalanche (
AVAX
) has been trading below the moving averages recently, but the lack of follow-through by bears suggests a potential drying up of selling pressure at lower levels. The flat moving averages and RSI near the midpoint indicate a balance between supply and demand. A successful push above the moving averages could see the AVAX/USDT pair targeting the overhead resistance at $42.
However, a sharp downturn leading to a break below the $34 support level could result in a drop towards the strong support at $29. A rebound from this level would suggest a prolonged period of range-bound trading.
Please note that this article does not provide investment advice or recommendations. Every investment decision involves risk, and readers are encouraged to conduct their own research before making any financial decisions.