Bitcoin (BTC) reached a new all-time high of $73,650 on March 11, driven by strong demand for spot Bitcoin exchange-traded funds (ETFs). Inflows into Bitcoin ETFs on March 12 reached a record-breaking $1 billion. The demand for Bitcoin ETFs far exceeds the newly mined Bitcoin supply, with over 330,000 Bitcoin being acquired by the two largest Bitcoin ETFs compared to the 65,500 Bitcoin mined in 2024. This high demand is expected to limit any potential downside in the near future, with analysts at Bernstein predicting that Bitcoin could reach $150,000 by mid-2025.
However, it’s important to note that nothing rises in a straight line, and every bull market experiences corrections. Sentiment can quickly change if Bitcoin experiences a pullback. Currently, data shows that 100% of Bitcoin holders are in profit, which could lead to a sell-off if the cryptocurrency breaks below crucial near-term support.
Now, let’s analyze the charts of the top 10 cryptocurrencies to see if Bitcoin’s potential correction could result in a pullback for select altcoins.
Starting with Bitcoin, the BTC/USDT pair has been trading within an ascending channel pattern. Although the bears attempted a pullback at $73,000, strong buying on intraday dips is evident from the long tail on the March 12 candlestick. If bulls can push the price above the channel resistance, the pair could gain bullish momentum and potentially reach $80,000. On the other hand, a drop below $70,000 could lead to a decline towards the channel’s support line, and further selling pressure could push the price down to $59,000 and even the 50-day simple moving average at $53,099.
Moving on to Ether (ETH), the bears briefly pulled the price below the psychological level of $4,000, but the long tail on the candlestick shows strong buying interest. Buyers are attempting to drive the price above the immediate resistance at $4,100. If successful, the ETH/USDT pair could continue its uptrend and reach $4,372 and eventually $4,868. However, the overbought RSI suggests that a minor correction or consolidation may occur. The key support to watch on the downside is $3,600.
BNB (BNB) has gained momentum after breaking above $460 and is currently cruising higher. This indicates a strong demand at higher levels. If the buyers can maintain their positions and not give ground to the bears, it suggests that the uptrend will continue. The BNB/USDT pair could rally to $670. However, vertical rallies are often followed by sharp falls, so a drop below the psychological level of $500 could lead to a further decline towards $460.
Solana (SOL) has been steadily rising, with the bulls buying on intraday dips. If the price sustains above $153, the SOL/USDT pair is likely to gain momentum and rally towards $184. The rising 20-day EMA and the overbought RSI indicate that buyers are in control. However, if the price breaks below the breakout level of $126, it could signal a shift in favor of the bears.
XRP (XRP) rallied strongly but failed to overcome the overhead resistance at $0.74. The bulls are attempting to flip the $0.67 level into support, which could lead to a further upside towards $0.85 and later $1.02. However, a drop below $0.67 would indicate a loss of bullish momentum, and the pair could decline to the 20-day EMA at $0.62.
Cardano (ADA) rebounded off the support level at $0.68, but the bulls struggled to break through the resistance at $0.80. The long tail on the candlestick shows aggressive buying at the 20-day EMA, increasing the chances of a break above $0.80. If successful, the ADA/USDT pair could rise to $0.90. However, a sharp downturn below $0.68 could invalidate this bullish view, and the pair could drop to the 50-day SMA at $0.60.
Dogecoin (DOGE) has been unable to sustain above the resistance at $0.18, but the rising 20-day EMA and positive RSI suggest that the path of least resistance is to the upside. If buyers can maintain the price above $0.18, the DOGE/USDT pair could rally to $0.21, $0.24, and eventually $0.30. On the downside, a drop below $0.14 could signal a bearish trend and lead to further decline.
Shiba Inu (SHIB) has been consolidating between $0.000029 and $0.000039 after a sharp rally. This consolidation indicates that the bulls are not rushing to book profits, and they may attempt to push the price higher. If the overhead resistance at $0.000039 is cleared, the SHIB/USDT pair could reach $0.46. However, a break below $0.000029 could shift the advantage to the bears, leading to a decline to the 20-day EMA at $0.000026.
Avalanche (AVAX) surged above the resistance at $45.18, indicating renewed bullish strength. The buying continued, pushing the AVAX/USDT pair above $50. A retest of the breakout level at $50 is possible, and if successful, it would enhance the prospects of further upside towards $67. However, a sustained break below $50 could indicate aggressive selling, leading to a decline to the 20-day EMA at $44.
Finally, Toncoin (TON) gained momentum after breaking above the resistance at $2.90. The overbought RSI suggests that a correction or consolidation may occur. The downside support levels to watch are $4 and $3.60. On the upside, the rally may face selling near $4.50, but if the bulls remain strong, the TON/USDT pair could rise to $5.
Please note that this article does not provide investment advice or recommendations. Readers should conduct their own research and analysis before making any investment decisions.