Bitcoin's Slow Weekend and Potential Opportunity for Altcoins: Market Analysis and Insights
Summary:
Bitcoin's activity has slowed down over the weekend, but there are indications of potential upward movements for select altcoins. Bitcoin's range-bound action perplexes investors, while JPMorgan analysts suggest the downtrend may be ending. Bitcoin's price analysis shows a battle between bulls and bears, with key levels to watch. Other cryptocurrencies, such as TON, Monero, Mantle, and Quant, also undergo analysis for potential future movements. The article advises conducting personal research before making investment decisions.
Bitcoin's activity has slowed down over the weekend, as indicated by a decline in its velocity according to CryptoQuant CEO Ki Young Ju. This decrease could be interpreted as either positive, with whales holding onto their positions, or negative, as new investor transfers are not occurring. The lack of a clear trend in Bitcoin's movement is confusing investors, but JPMorgan analysts have suggested that the downtrend could be coming to an end, citing declining open interest in Bitcoin futures contracts on the Chicago Mercantile Exchange. While Bitcoin decides its next move, select altcoins are showing signs of strength, although this could change if Bitcoin's range resolves to the downside. In order to identify potential bullish movements, the top-5 cryptocurrencies are being analyzed. Bitcoin's price analysis reveals an inside-day candlestick pattern, indicating uncertainty in the market. The bears are currently in control, but the bulls are likely to defend the $24,800 level. If the price surpasses the 20-day EMA, a possible rally to the 50-day simple moving average may occur. On the other hand, if bears push the price below $24,800, a downtrend towards $20,000 may follow. A similar pattern of indecision can be seen in the 4-hour chart, with supply and demand balanced. A break below $25,700 could lead to a decline to $25,166 and $24,800, while sustaining above the moving averages may indicate bullish momentum to $26,314 and beyond. TON, an altcoin, is forming an inverse head and shoulders pattern, and a breakout above $1.53 could initiate an uptrend towards the pattern target of $1.91. However, if the bears manage to push the price below the moving averages, the pair could decline to $1.25 and eventually $1.15. The 4-hour chart shows that the $1.53 level may act as resistance, but if buyers rebound off the 20-EMA, it may increase the chances of a break above $1.53 and a subsequent rally to $1.70. Monero has seen a sharp rebound off the uptrend line, indicating strong defense by the bulls. However, the 20-day EMA at $148 may pose a challenge for further upward movement. A break below this level could lead to a retest of the uptrend line and potentially a further decline to $125 and $115. The 4-hour chart shows that the bulls have pushed the price above the moving averages, indicating a possible weakening of the bears. Resistance levels to watch out for are at $150 and $160. A break and close below the moving averages, however, may suggest continued selling pressure and a potential drop to $125. Mantle has been in a strong downtrend, but a relief rally may be possible as indicated by the outside-day candlestick pattern. If buyers surpass the 20-day EMA, a rise to the 38.2% Fibonacci retracement level at $0.48 could occur. Failure to overcome this level may result in a retest of the support at $0.41 and potentially a drop to $0.35. The 4-hour chart suggests that the bears may pose a challenge at higher levels, and a break below the moving averages may indicate advantage to bears. Holding above the 20-EMA, however, may signal a willingness by buyers to support the pair and could lead to a rally to $0.47 and $0.52. Quant has shown strong demand at higher levels, rebounding off the support at $95 and rising above the moving averages. Sustaining this momentum may lead to a test of the downtrend line, which could be a crucial battle between bulls and bears. Closing above the 20-day EMA may indicate a change in sentiment, while falling below the moving averages may signal a slide to $95. In the 4-hour chart, the moving averages have turned up and the RSI is positive, suggesting a resurgence of bulls. Resistance at the downtrend line is expected, with the possibility of a drop to $98 if the recovery weakens.
Published At
8/27/2023 7:08:27 PM
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