Bitcoin (BTC) has struggled to hold above $ 30,800 since May 16, indicating that demand is drying up at a higher level. Similarly, US stock markets have not stopped declining due to uncertainty about the number of interest rate hikes needed to control inflation.
As the market for cryptocurrencies deepens, analysts are becoming very bearish in their predictions about the extent of the fall. Trader and analyst Rekt Capital said that Bitcoin could be in danger of falling to $ 19,000 to $ 15,500 before the bottom is formed.
However, Arcane Research recently pointed out that buying when Bitcoin’s Fear and Greed Index reaches 8 scores would have yielded an average return of 28.72% in 30 days. It is interesting to note that the index went to 8 on 17 May.
Could Bitcoin slide further and lower altcoins lower or is it time for recovery? Let’s look at the charts of the top 10 cryptocurrencies to find out.
BTC / USDT
Bitcoin rose above the decline line on May 23, but the bulls could not sustain higher levels. The price declined and plunged into strong support at $ 28,630 on May 24, but a minor positive is that the bulls successfully maintained this level.
The bulls are again trying to push and keep the price above the drop line. If successful, the BTC / USDT pair could rise to a 20-day exponential moving average (EMA) ($ 31,286).
In a downturn, bears tend to sell the rally to the 20-day EMA. Therefore, this level can act as a rigid resistor. The bulls must clear this barrier to indicate that the bottom may be in place.
However, $ 28,630 is an important support to watch because a break below that could lead to a drop to the May 12 low within the day to $ 26,700.
ETH / USDT
Ether (ETH) dipped below the upwelling line on May 24, but the bulls bought at lower altitudes and pushed the price back above the upwelling line. This suggests that bulls are trying to defend the upwelling line vigorously.
However, the bears have not given up and are again trying to bring the price down below the upstream line on May 25. If bulls block this attempt, ETH / USDT could rise to $ 2,159 in air resistance.
Contrary to this assumption, if the price breaks and stays below the upstream line, it will be to the benefit of the bears. The pair could then drop to $ 1,903. Break and closing below this support could pull the pair up to the May 12 low of $ 1,800 each day.
BNB / USDT
BNB climbed above the 20-day EMA ($ 323) on May 24, but the long wake of the May 25 candlestick suggests that bears are trying to defend their $ 350 air resistance.
A smooth 20-day EMA and a relative strength index (RSI) close to the midpoint give neither the bulls nor the bears a clear advantage.
If a bull pushes the price above $ 350, the advantage could lean in favor of buyers. Such a move could clear the way for a possible increase to the 50-day simple moving average (SMA) ($ 368) and later to $ 413.
On the other hand, if the price drops below $ 320, it will indicate that bears are selling hard at a higher level. The BNB / USDT pair could then drop to $ 286.
XRP / USDT
The bulls are defending immediate support at $ 0.38. Although Ripple (XRP) jumped from $ 0.39 on May 24, the bulls could not sustain higher scores.
The bears are again trying to lower the price below the support at $ 0.38, but the long tail on the candlestick indicates strong buying at lower levels. If demand continues at a higher level, the bulls will try to push the price over the falling line and score on the 20-day EMA ($ 0.46).
On the contrary, if the price drops from the current level or line of decline, bears could again try to lower the XRP / USDT pair below $ 0.38. If they can achieve that, the pair could fall into significant support at $ 0.33.
ADA / USDT
Cardano (ADA) has been trading at a narrow range between $ 0.49 and $ 0.56 since May 19th. This suggests that bulls are trying to form higher lows but face stiff resistance from the bears at higher levels.
If the price goes back from the support at $ 0.49, the ADA / USDT pair could be stuck in the range for a few more days. The bulls have to push and maintain the price over the 20-day EMA ($ 0.58) to signal the beginning of a strong lightening that could reach a degradation level of $ 0.74.
Instead, if bears lower their price below strong support at $ 0.49, sales could increase and the pair could slide toward the May 12 low of $ 0.40.
SOL / USDT
Solana’s (SOL) attempt to rally on May 23 ended at $ 54. The failure of the bulls to push the price to 20 days EMA ($ 58) indicates that demand is drying up at a higher level.
Bears are trying to lower the price below the immediate support of $ 47. If they do, the SOL / USDT pair could drop to $ 43 and then to significant support at $ 37. The rising average and the RSI near the ceded territory indicate benefits for sellers.
Contrary to this assumption, if the price drops again from $ 47, the bulls will try to force the pair over the 20-day EMA and score the breakdown level at $ 75.
DOGE / USDT
Dogecoin (DOGE) has been stuck within a narrow range between $ 0.08 and $ 0.09 in recent days. The bulls tried to push the price above $ 0.09 on May 23 but failed. This could have led to sales among the bears who are trying to lower the price under immediate support of $ 0.08.
If they succeed, the DOGE / USDT pair could slip into significant support at $ 0.06. This is an important point for the bulls to protect because the breakage and closure below it could come back down the trend. The pair could then drop to $ 0.04.
On the contrary, if the price drops back to $ 0.08, the pair could continue trading within the range for a few more days. The bulls have to push and maintain a price above the psychological level of $ 0.10 to indicate that the downturn could be weakening.
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DOT / USDT
Polkadot (DOT) has stuck to the $ 10.37 level in recent days. The bulls pushed the price up to $ 10.37 on May 23 but could not sustain higher levels. This suggests that bears are selling on rallies for a 20-day EMA ($ 11.23).
The Bears could try to pull the price to immediate support at $ 9.22. If this support clicks, the DOT / USDT pair could drop to $ 8 and then to $ 7.30. The bulls are expected to spend between $ 8 and $ 7.30 on aggression.
However, buyers will have to push and maintain prices over 20 days of EMA to indicate that sellers may be losing control. The pair could then reach the breakdown level of $ 14 where the bears could re-establish a strong defense.
AVAX / USDT
An avalanche (AVAX) broke below the intoxication on May 24, but the long tail of the candlestick of the day shows that a bull bought the dip. They tried to push the price back into the wire but failed.
The Bears are trying to build on their advantage and pull the price down for immediate support at $ 26.87. If they do, the AVAX / USDT pair could slide to significant support at $ 23.51. This is an important point for the bulls to protect, because if they do not succeed, the downturn could resume. The next height support is $ 20.
To invalidate this short-term bearish view, the bulls must push the price above the pennant and the 20-day EMA ($ 37.23).
SHIB / USDT
Shiba Inu (SHIB) tried to break the immediate resistance of $ 0.000013 on May 23, but the long wake of the day’s candlestick shows that bears continue to sell at a higher level.
The failure of the bulls to push the price higher could lead to the sale of aggressive bears that will try to pull the SHIB / USDT pair down for immediate support at $ 0.000010. If they manage to do that, the pair could go down to a minimum of $ 0.000009 per day on May 12th.
Otherwise, if the price goes back from the $ 0.000010 support, it will indicate that the bulls are buying dips. It could keep the pair fixed within the $ 0.000010 to $ 0.000014 range for a few more days.
The views and opinions expressed herein are those of the authors only and do not necessarily reflect the views of Cointelegraph. Every investment and business involves risk. You should do your own research when making a decision.
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