Bitcoin (BTC) is gaining momentum, and investors in exchange-traded funds (ETFs) are celebrating the rise by increasing their purchases. On February 8, spot Bitcoin ETFs experienced their third-largest inflows, totaling $403 million. Since its launch on January 11, these ETFs have seen inflows of over $2.1 billion. BlackRock and Fidelity’s Bitcoin ETFs have each accumulated more than $3 billion in assets under management. According to Bloomberg ETF analyst Eric Balchunas, BlackRock’s iShares Bitcoin Trust (IBIT) and Fidelity’s Wise Origin Bitcoin Fund (FBTC) have outperformed all other ETF launches in the past 30 years.
The positive momentum is not limited to Bitcoin alone, as select altcoins are also starting to rise above their respective resistance levels. This indicates an improving sentiment in the entire cryptocurrency space.
Now, let’s analyze the charts of the top 10 cryptocurrencies to see if Bitcoin can maintain its positive momentum and trigger a further rally in select altcoins.
Bitcoin price analysis:
In the past few days, bears have failed to push the price of Bitcoin below the 20-day exponential moving average ($43,352), leading to strong buying by the bulls on February 7. Buyers have pushed the price above the $44,700 resistance, paving the way for a potential rally to the psychologically significant level of $50,000. However, if buyers do not give up much ground from $50,000, the rally could continue to $52,000. On the other hand, if bears sink and sustain the price below $41,884, the BTC/USDT pair could drop to $37,980.
Ether price analysis:
Ether (ETH) broke and closed above the $2,400 resistance on February 7, completing a bullish ascending triangle pattern. Although bears attempted to pull the price back below the breakout level, buyers held their ground. The pattern target of the bullish setup is $2,632. If the price finds support at the 20-day EMA ($2,358) after reaching $2,632, it will indicate a positive sentiment and increase the likelihood of a break above $2,717. However, if the price falls below the moving averages, the ETH/USDT pair may swing between $2,100 and $2,400 for a while.
BNB price analysis:
BNB bounced off the 50-day SMA ($305) on February 7 and broke above the downtrend line on February 8, invalidating the bearish descending triangle pattern. This failure of the bearish pattern is a bullish sign, indicating an entry by buyers waiting on the sidelines. If buyers push the price above $320, it could retest the $338 resistance. If this level is surpassed, the BNB/USDT pair could gain momentum and rally to $360. However, if the price turns down from the current level or $338, it may indicate profit booking at higher levels, and the pair could trade between $288 and $338 for some time.
Solana price analysis:
Solana turned up from the moving averages on February 7, and bulls are attempting to drive the price above the stiff overhead resistance at $107. If they succeed, the SOL/USDT pair will complete a bullish inverse head-and-shoulders pattern. The pair could first rise to the December 25 high of $126 and then attempt a rally to the pattern target of $135. However, if the price sharply turns down and falls below $92, it may start a downward move to $79, where bulls are likely to enter.
XRP price analysis:
Bears were unable to sustain XRP below the $0.50 support, indicating that bulls are defending the level. The price has recovered to the 20-day EMA ($0.52), a significant level to watch in the near term. If buyers clear this hurdle, the XRP/USDT pair could start its journey to the downtrend line, and a break and close above the downtrend line will indicate that bulls are back in control. The pair could then jump to $0.67. On the downside, the crucial support is at $0.50, and a close below this level would indicate the upper hand for bears, potentially leading to a slide to $0.46.
Cardano price analysis:
Cardano’s Feb. 7 candlestick shows solid buying by bulls near the crucial support at $0.46. The bulls pushed the price above the 20-day EMA ($0.51) on Feb. 8 and are attempting to challenge the downtrend line of the descending channel. If buyers overcome this barrier, the ADA/USDT pair could climb to $0.60 and subsequently to $0.68. However, if the price turns lower from the downtrend line and breaks below the 20-day EMA, it will indicate aggressive selling on rallies and keep the price inside the channel for a while longer.
Avalanche price analysis:
Avalanche slipped below the 20-day EMA ($34.92) on February 6, but bears were unable to sustain the lower levels. This suggests that traders view the dips as buying opportunities. Bulls will try to strengthen their position by keeping the price above the downtrend line of the channel, signaling a short-term trend change. The AVAX/USDT pair could start an upward move to $44 and then to the critical resistance at $50. However, if bears yank the price below $32.30, the pair may continue to oscillate inside the descending channel for a few more days.
Dogecoin price analysis:
Dogecoin continues to trade inside a symmetrical triangle pattern, indicating indecision between bulls and bears regarding the next directional move. Bulls pushed the price above the 20-day EMA ($0.08) on February 7, opening the doors for a possible rise to the downtrend line. Sellers have strongly defended this level in the past, so they are likely to do so again. If the price reverses from the downtrend line, it suggests that the DOGE/USDT pair may remain inside the triangle for a while longer. However, if buyers break above the downtrend line, the pair may gain momentum and rise toward the $0.10 to $0.11 resistance zone.
Polkadot price analysis:
The failure of bears to push Polkadot below the neckline of the head-and-shoulders pattern may have attracted buyers who pushed the price above the 20-day EMA ($6.92) on February 7. The DOT/USDT pair has reached the 50-day SMA ($7.40), which is likely to act as strong resistance. Buyers will need to overcome this barrier to indicate that the corrective phase may be over. The pair could then move toward $8.58. Conversely, if the price turns down sharply from the 50-day SMA, it will signal aggressive selling by bears, and the pair may slide toward the support at $6.50 and later to $6.
Chainlink price analysis:
Chainlink has been consolidating after breaking out of the resistance at $17.32 on February 2. The upsloping 20-day EMA ($16.87) and the positive RSI indicate that bulls have an advantage. Buyers will try to hold the decline at the breakout level of $17.32. If successful, the LINK/USDT pair may resume its uptrend and surge to $21.79. However, if the price falls below the 20-day EMA, it suggests that the recent breakout may have been a bull trap, and the pair may decline to the 50-day SMA ($15.48).
Please note that this article does not provide investment advice or recommendations. Readers should conduct their own research before making any investment decisions.