BCGAME - Free 5BTC Daily Bonus!Bitcoin (BTC) is facing a major challenge from the bears near the $48.000 mark. As we reported, both the buy and sell levels show that Binance sellers held their ground at $48.000.
PlanB, the creator of the Bitcoin stock-to-flow pricing model, said that if Bitcoin manages to close August above $47.000, the year-end “worst case” target price of $135.000 could come into play.
Despite the slight slowdown, institutional adoption of Bitcoin continues to increase. US Securities and Exchange Commission files show that four wealth management companies bought shares in Grayscale's Bitcoin Investment Trust.
A survey of nearly 42.000 people in 27 countries by product comparison site Finder showed a high adoption rate in Asia. Among the countries surveyed, Vietnam had the highest adoption rate, 41%, while India and Indonesia had an adoption rate of 30%.
Compared to their Asian counterparts, respondents in the UK and the US reported a low adoption rate of 8% and 9%. However, the report warned that "due to Google's varying infrastructure in each territory, not all searches were nationally representative."
Will Bitcoin's hesitation near the $48.000 mark result in profit reserves? Can altcoins attract funds that exit Bitcoin? Let's study the charts of the top 5 cryptocurrencies that could extend their rally in the coming days.
In this article, we will discuss:
BTC / USDT
Bitcoin has fallen from the resistance line of the rising wedge pattern on the 14th of August. This suggests that bears have not given up and are aggressively defending the resistance line.
The BTC/USDT pair may now fall to the wedge support line, which may attract buyers. If the price rebounds from this level, bulls will try again to resume the bullish movement. A break and close above the wedge will invalidate the bearish pattern and open the door to a high of $53.000 and then $60.000.
The rising moving averages and the Relative Strength Index (RSI) in the positive zone suggest that bulls are in control.
Contrary to this assumption, if bears sink the price below the wedge, the pair could fall to the 20-day exponential moving average ($42.682). If the price rebounds from that level, bulls will make one more attempt to resume the bullish move.
But if the price drops below the 20-day EMA, the pair could fall to the 50-day simple moving average ($37.176).
Bears pose a big challenge in the range between $46.743,47 and $48.144. They pushed the price to 50-SMA on the 4-hour chart. If the price breaks below this support, the pair could drop to $43.770 and later to $42.451,67.
The 20-EMA flattening and the RSI near the midpoint suggest that the bullish momentum may be weakening.
If the price rebounds from its current level and rallies above the overload resistance zone, it will indicate that bulls are buying with every minor dip. This will suggest the resumption of the upward movement.
ETC/USDT
Ethereum Classic (ETC) broke and closed above the overhead resistance at $63,56 on Aug. 13, completing an ascending triangle pattern. This bullish setup has a default target of $94,91.
Typically, after breaking a pattern, the price drops and retests the breakout level. In this case, the ETC/USDT pair could retest the $63,56 level in the coming days. If bulls turn this level into support, the pair may start a new uptrend.
The rising 20-day EMA ($57) and the RSI in the overbought zone suggest that bulls are at an advantage. If the price drops below $63,56, the pair could drop to the 20-day EMA.
A strong rally from the 20-day EMA will suggest that bullish sentiment remains intact. Buyers will make one more attempt to resume the rally. That positive view will be negated if bears pull the price below the 20-day EMA. This could result in a decline to the 50-day SMA ($51).
The 4-hour chart shows that the pair is in an uptrend. Bears are trying to lock in the $76,16 high, but the positive sign is that bulls haven't ceded much ground. Rising moving averages and the RSI near the overbought territory indicate an advantage for buyers.
If bulls drive the price above $76,16, the next stop could be $84,16. Conversely, if bears sink the price below $70, the pair could drop to 20-MME. A strong rebound from this level will suggest sentiment remains positive, but a break below could push the price to $63,56.
MOON / USDT
The Terra protocol LUNA token has been negotiated within an upstream channel in the last few days. A break and a close above the downtrendline suggests the start of a new uptrend.
Bears have been holding general resistance of $18 for the past four days. If the price rises from its current level or rebounds from the support line, bulls will make one more attempt to boost the LUNA/USDT pair above $18. If they manage to do that, the next stop could be $19,54 and then $ 22.
Alternatively, if the price breaks below the channel and the 20-day EMA ($14), it would suggest that bullish momentum has weakened. The pair could then retest the breakout level at the downtrendline.
Bears have stagnated at twice the $18 high, making it an important level to watch. The 20-EMA has stabilized and the RSI is slightly above 50, which points to possible consolidation in the short term.
If the price recovers from 50-SMA, the pair could trade between $15,81 and $18 for some time. A breakout and a close above $18 could start the next leg of the uptrend, which could hit $20,81. On the other hand, a break below $15 could signal the start of a deeper correction to $13.
KLAY/USDT
Klaytn (KLAY) rose above the $1,81 resistance on August 14th, but bulls failed to sustain the higher levels. The long fuse in the candlestick for the past two days suggests that bears are aggressively defending overhead resistance.
The strong rebound of the past few days has pushed the RSI into the overbought zone, indicating the possibility of a small correction or consolidation in the coming days. Any decline will likely find support at $1,60 and then at $1,40.
If the price rebounds from any support, bulls will make one more attempt to rise above $1,81. A break and close above this level will complete a rounded bottom pattern, which has a $2,90 target.
This positive view will be invalidated if the price falls and breaks below the 20-day EMA ($1,32). This could result in a decline to the 50-day SMA ($1,07).
The 4-hour chart shows that bears have foiled two bulls' attempts to push the price above the $1,81 resistance. If bears maintain their selling pressure and sink the price below 20-EMA, the decline could extend to 50-SMA.
On the other hand, if the price rebounds from 20-EMA, bulls will make one more attempt to overcome the hurdle at $1,81. If they are successful, the KLAY/USDT pair could rise to $2,18. Rising moving averages and the RSI is in the positive zone, indicate bulls' advantage.
AXS/USD
The native AXS token of Axie Infinity has been in a strong bullish run in recent weeks, reaching an all-time high of $77,48 on August 11th.
The AXS/USDT pair has been corrected to immediate support at $63. If the bears sink the price below this level, the pair could fall to the 20-day EMA ($51). The two previous corrections reversed the direction of the 20-day EMA.
Therefore, bulls are once again likely to buy the drop to the 20-day EMA. A strong rebound from this level will suggest sentiment remains positive and traders are buying declines. Bulls will try again to resume the uptrend.
A breakout and a close above $77,48 could open the way for a possible run to $91 and then psychological resistance at $100. Alternatively, a collapse and close below the 20-day EMA could signal the start of a deeper correction.
The 4-hour chart shows the formation of a descending triangle pattern, which completes on a breakout and closes below support at $63. This reversal configuration has a target pattern of $48,52. The 20-EMA flattening and the RSI near the midpoint indicate that the bullish momentum is weakening.
Contrary to this assumption, if the price rises from the current level and breaks above the downtrendline, it will invalidate the bearish configuration. That could raise the possibility of a retest of the all-time high by $77,48.
