Bitcoin (BTC) remains a fierce battle near the psychological level of $ 20,000 as the bulls and bears try to confirm their supremacy. Trading company QCP Capital said in its latest market circular that rates for financing on derivatives markets were stable and bearish conditions disappeared.
Another ray of hope for the Bitcoin bulls is that Bitcoin miners may capitulate because the recent drop in price has made some mining machines unprofitable. Data from Arcane Research shows that public Bitcoin mining companies, which sold only 30% of their mining production from January to April of this year, dumped 100% of their Bitcoin production in May. Some analysts believe that giving up miners was a bullish signal.
However, one metric suggests that Bitcoin may not be down. Historically, Bitcoin signals a bottom if less than 50% of Bitcoin addresses remain profitable. Glassnode data from June 20 show that 56.2% of Bitcoin addresses are in profit, increasing the worries of another down leg.
Could Bitcoin and the altcoins support the recovery or will bears pull the price lower? Let’s study the charts of the top 10 cryptocurrencies to find out.
BTC / USDT
The bulls are trying to start a recovery in Bitcoin, but the long wick on the candlestick of June 21 suggests that bears are not ready to give up their advantage.
A less positive one is that the bulls will buy the dips at $ 20,000 on June 22. If the price returns from the current level, buyers will try to drive the BTC / USDT pair above $ 22,000. That could open the door for a possible rally to the 20-day exponential moving average ($ 24,076).
This level will likely act as a stiff resistance, but if bulls overcome this barrier, the next stop could be the 50-day simple moving average ($ 28,678).
This bullish view could be ignored if the price goes down and breaks below $ 19,600. That may improve the outlook for a June 18 intraday test below $ 17,622.
ETH / USDT
Ether’s (ETH) jumped from June 18 intraday low of $ 881 down from $ 1,194 on June 21, suggesting that bears have not given up yet and they continue to sell at rallies.
If bulls do not give much ground from the current level, the ETH / USDT pair may attempt a rally again after the 20-day EMA ($ 1,368). This is an important level to keep in mind, as bears tend to defend the 20-day EMA during downtrends.
If the price of the 20-day EMA drops, the bears will again try to pull the pair to $ 1,000 and then $ 881. A break below this level may signal the reversal of the downtrend. On the other hand, if bulls push the price above the 20-day EMA, the pair could rise to $ 1,700.
BNB / USDT
Binance Coin (BNB) has been holding above the crucial support of $ 211 since June 19, but the bulls are struggling to push the price higher. The long wick on the chandelier of June 21 suggests that bears continue to sell at rallies.
If bears fall below $ 211, the BNB / USDT pair may decline to $ 200 and then lower to $ 183 after the June 18 intraday. This is an important level to look at, because if the price falls below , the pair could drop to $ 150.
Conversely, if the price returns from $ 211 or $ 200, it will suggest that bulls continue to buy on dips. The bulls will then make one more attempt to remove the overhead hurdle at the 20-day EMA. If they succeed, it will suggest that the break below $ 211 may have been a bear fall.
ADA / USDT
Cardano’s (ADA) bounce from the $ 0.44 to $ 0.40 support zone fizzled out near the 20-day EMA ($ 0.51) on June 21. This suggests that the Bears continue to defend the level aggressively.
The sellers will now try to lower the price below the support zone. If they succeed in doing so, it will represent the beginning of the next leg of the downtrend. The ADA / USDT pair could then slide to $ 0.33 and later to $ 0.30.
Alternatively, if the price recedes from the support zone, it will suggest that bulls continue to collect on dips. Buyers will then make one more attempt to push the pair above the moving averages and start a rally to $ 0.70.
XRP / USDT
Ripple (XRP) has reached between $ 0.28 and $ 0.35 in recent days. This suggests a state of balance between the bulbs and the bears.
The longer the time spent within the range, the stronger the outbreak will be out. If the price stays lower and breaks below the support of the range at $ 0.28, it may suggest the resumption of the downtrend.
The RSI shows a positive divergence, indicating that the bearish momentum may be weakening. If bulls push the price above $ 0.35, it will suggest the start of a new upswing. The XRP / USDT pair could then rise to the 50-day SMA ($ 0.41) and later rally to $ 0.45.
SOL / USDT
The recovery of Solana (SOL) on June 21 came above the 20-day EMA ($ 36), but the long wick on the candlestick of the day shows that bears are selling at higher levels.
The price remains below the 20-day EMA on June 22, but the bulls have not given up much ground. This suggests that buyers expect a break above the 20-day EMA. If that happens, the SOL / USDT pair could rally to the 50-day SMA ($ 47) where the Bears could once again pick up a strong defense.
Conversely, if the price fails to exceed the 20-day EMA, the profit book may attract traders in the short term. That could pull the pair to $ 30 and later to $ 27.
DOGE / USDT
Dogecoin (DOGE) began a recovery on June 19 and reached the 20-day EMA ($ 0.06) on June 21.
That may have attracted profit-booking of the short-term bulls and sales by the aggressive bears. The sellers will now try to sink the DOGE / USDT pair below $ 0.06 and challenge the vital support at $ 0.05.
Alternatively, if the price returns from $ 0.06, it will suggest that the sentiment has changed from selling at rallies to buying at dips. That could increase the possibility of a break above the 20-day EMA. If that happens, the pair could rally to the 50-day SMA ($ 0.08).
Related: The price of Bitcoin falls below $ 20K when whales send 50K BTC to exchanges
DOT / USDT
Polkadot (DOT) withdrew from the 20-day EMA ($ 8.20) on June 21, suggesting that bears aggressively defend the level. The sellers will now try to pull the price below the direct support at $ 7.30.
If they succeed, the DOT / USDT pair may fall to the crucial support at $ 6.36. This is an important level to keep an eye on, as a break below the next leg of the downtrend could start at $ 4.23.
Conversely, if the price returns from $ 7.30, it will suggest that bulls are trying to form a higher low. That could improve the prospects of a break above the 20-day EMA. The pair was then able to rally to the 50-day SMA ($ 9.78). If this level is also exceeded, the next stop could be $ 12.44.
LEO / USD
The bulbs are pushing UNUS SED LEO (LEO) above the descending line of the descending channel on June 22, but the long fuse on the candlestick of the day suggests that bears are selling at higher levels.
The 20-day EMA ($ 5.29) has started to spin and the RSI is close to the overbought area, indicating that bulls have the upper hand. If the price stays above the channel, it could open the doors for a possible upside to $ 6.50.
Conversely, if the price does not stay above the channel, traders can book profit and that could pull the LEO / USD pair to the 20-day EMA. Such a move will suggest that the pair may remain stuck in the channel for a few more days.
SHIB / USDT
The failure of Shiba Inu (SHIB) below $ 0.000007 may lead short sellers to post profits and aggressive bulls to buy. That may have resulted in the sharp rally on June 21st.
Traders pushed the price above the 20-day EMA ($ 0.00010), but could not clear the hurdle at the 50-day SMA ($ 0.000012). This suggests that bears aggressively defend the level.
The sellers are trying to pull the price back below the 20-day EMA. If they succeed in doing so, it will suggest that the recent recovery has been a bear market rally. The SHIB / USDT pair could then fall to $ 0.000007.
The 20-day EMA is flattening out and the RSI is near the midpoint suggesting a range-bound action in the short term. The bulls need to push the price above the 50-day SMA and maintain it to signal a potential trend change.
The views and opinions expressed herein are those of the author only and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You have to do your own research when making a decision.
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