Bitcoin and Altcoins Show Resilience As Bulls Eye Breakouts Amid Market Resistance
Summary:
Bitcoin faces resistance at the $70,000 mark but holds strong, with inflows into Bitcoin ETFs reaching over $2.1 billion since May 14, suggesting a possible breakout. Veteran trader Peter Brandt anticipates Bitcoin's long-term dominance over gold. Despite momentary slippage, Bitcoin and BNB demonstrate resilience, hinting at potential upward movements if key resistance levels are broken. Arweave exhibits strength at lower levels, potentially indicating the start of a bullish rally. Meanwhile, Monero breaks its downtrend line, eyeing resistance at $153.44 before making a move towards $170. Lastly, Celestia demonstrates bullish signals, aiming for an overhead zone of $12.02 to $12.90. Readers are reminded to conduct independent research before making financial decisions.
Bitcoin, the leading cryptocurrency, is currently struggling to break through the key psychological threshold of $70,000. Despite this, the bulls have managed to hold their ground, keeping the weekly decline to less than one percent. Recent stagnant price action does not appear to have deterred investment into Bitcoin exchange-traded funds. Since May 14, data from Farside Investors reveal a net inflow of over $2.1 billion into Bitcoin ETFs, signalling that investors anticipate a bullish breakout.
Prominent trader Peter Brandt has a positive long-term outlook on Bitcoin compared to gold. He mentioned in a recent post that the gold to Bitcoin ratio will remain volatile for another year to year and a half. However, he believes the potential is there for it to reach a new high where one Bitcoin equals 100 ounces of gold, up from the current exchange rate of about 29 ounces of gold per Bitcoin.
Bitcoin price analysis indicates that it dipped below the support line of its symmetrical triangle pattern on May 31 but has managed to bounce back somewhat, suggesting there are still bulls buying on dips. If they can drive the price above the triangle's resistance line, we could see Bitcoin rise to an overhead resistance of $73,777 and potentially even as high as $80,000. However, if bulls fail to sustain momentum at these levels, the risk of a break below the triangle will increase. This scenario could cause a slump towards the 50-day simple moving average ($64,956) and potentially as low $61,000.
BNB, the native token of Binance, has been trading above the moving averages for several days, indicating bullish control. Checkpoints lie on the key uptrend line. A break below could cause a snowball in selling and push the BNB/USDT pair down to $536. However, if the current upward momentum continues, we could see a push to the overhead resistance of $635 and potentially up to $775.
Arweave (AR) recovered with strength after hitting the 50-day SMA ($37.58), indicating sizeable purchasing activity at lower levels. The bulls are expected to face resistance between $47.51 and $50. If the bulls gain control and push price over $50, then Arweave could start a new bullish trend targeting $72. Conversely, if the price retracts from the aforementioned zone and breaks below $36, a bear market could be on its way.
Monero (XMR), too, is making an upward move. With the price rising above the downtrend line on June 1, the current correction phase looks to be ending. Resistance lies at $153.44; the bulls aim to secure this level and then rally to $170. A significant downturn and break below the 20-day EMA could create panic selling and deeper correction towards the 50-day SMA ($130.80).
Finally, Celestia (TIA) is also showing bullish signs with price floating above the moving averages. A bullish crossover of the moving averages and a positive RSI indicate the bulls are taking charge. If buyers drive the price above the $12.02 to $12.90 overhead zone, it could reach $15.50 and eventually $18.50. However, failing to surpass this zone may result in a break below the moving averages and a range-bound trend.
This information does not serve as financial advice or recommendations. Investments and trades carry risk, and readers should carry out their own due diligence before making any decisions.
Published At
6/2/2024 8:05:00 PM
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