Bitcoin (BTC) has had a positive start to the week as it tries to maintain its position above $70,000. Analysts are hopeful for a reversal this week after five consecutive days of negative inflows into spot Bitcoin exchange-traded funds (ETFs) last week.
Goldman Sachs has reported that its clients are showing a strong interest in the firm’s future and options offerings. Max Minton, head of digital assets for Goldman Asia Pacific, mentioned that larger clients are increasingly interested in the crypto sector following the launch of spot Bitcoin ETFs.
The demand for spot Bitcoin ETFs is expected to remain strong unless there is a sharp decline in Bitcoin. This could result in shallow retracements as market participants take advantage of buying opportunities.
Now, let’s take a look at the key resistance levels for Bitcoin and altcoins by analyzing the charts.
S&P 500 Index:
The S&P 500 Index is continuing its upward movement within an ascending channel pattern, indicating that the buyers are still in control. If the price turns down from the resistance line of the channel, the index could continue to trade within the channel. However, a break above the channel could lead to a significant rise to 5,450. On the other hand, if the price falls below the 20-day exponential moving average, it could signal a possible correction.
U.S. Dollar Index:
The U.S. Dollar Index dropped below the 20-day exponential moving average on March 20 but quickly recovered and climbed back above the moving averages. This indicates aggressive buying at lower levels. The index may trade in a range between 102.50 and 105 if it fails to break above the solid overhead resistance at 105.
Bitcoin:
Bitcoin has broken out of the pennant formation, indicating that the bulls have taken control. If the price remains above $69,000, the BTC/USDT pair could surge to the overhead resistance at $73,777. However, if the price turns down from the current level, it could suggest a possible bull trap, with a potential drop to the 50-day SMA.
Ether:
Ether has broken out of the 20-day EMA on March 25, suggesting that the corrective phase may be over. The ETH/USDT pair could rise to $3,679 and then rally to the overhead resistance at $4,094. However, if the price turns down from $3,679, it could indicate a deeper correction to $3,056 and then $2,868.
BNB:
BNB’s relief rally has surpassed the overhead resistance at $590, indicating a positive path ahead. If the price remains above $590, the BNB/USDT pair could gain momentum and reach $645. However, a drop below the 20-day EMA could lead to a decline to the 50% Fibonacci retracement level at $500.
Solana:
Solana has rebounded off the 20-day EMA, indicating positive sentiment and buying on dips. The SOL/USDT pair could aim for the resistance at $205, and a break above this level could start the next leg of the uptrend. On the downside, the 20-day EMA provides strong support, with a potential drop to the 50-day SMA below it.
XRP:
XRP has been trading around the 20-day EMA for the past few days, suggesting a battle between buyers and sellers. The XRP/USDT pair may swing between the uptrend line and $0.67 for a while. A rally above $0.67 could lead to a move to the overhead resistance at $0.74, while a drop below the uptrend line could push the pair to $0.52.
Dogecoin:
Dogecoin’s relief rally has reached the resistance at $0.19, where strong resistance is expected. If buyers can maintain the current level, there is a possibility of a rally above $0.19, with targets at $0.23 and $0.30. However, a sharp decline from the current level could result in a range-bound action between $0.12 and $0.19.
Cardano:
Cardano’s recovery has reached the 20-day EMA, a significant resistance level. A turn down from this level could indicate that the relief rallies are still viewed as selling opportunities by bears. The ADA/USDT pair could then drop to $0.57 and potentially complete a bearish head-and-shoulders pattern. On the other hand, a rise above $0.70 could suggest a bullish comeback, with targets at $0.81 and $0.92.
Avalanche:
Avalanche has remained above the breakout level of $50, indicating strong demand from bulls. The AVAX/USDT pair could retest the critical resistance at $65 if it crosses the minor hurdle at $58. A break above $65 could lead to a rally to $87. Conversely, a drop below $50 could result in selling pressure and a decline to the 50-day SMA at $44.
Please note that this article does not provide investment advice or recommendations. Readers should conduct their own research before making any investment decisions.