Live Chat

Crypto News

Cryptocurrency News 1 years ago
ENTRESRUARPTDEFRZHHIIT

Cryptocurrency Market Faces Uncertainty as Bulls Battle Bears in Search of Direction

Algoine News
Summary:
Bitcoin's rally was short-lived, indicating uncertainty about its next move. Analysts predict a mid-cycle lull until the next bull run in 2024. Cryptocurrencies face headwinds due to macroeconomic factors. Bitcoin ETF decisions and the race for a spot Ethereum ETF are being closely watched. Bitcoin and Ether continue to trade within narrow ranges, while other top cryptocurrencies face potential breakdowns or range-bound trading. Investors await price movements above key resistance levels.
Bitcoin (BTC) faced a short-lived rally on September 7, as the bulls attempted to shake the cryptocurrency from its slumber. However, this failed attempt suggests a lack of agreement between the bulls and bears regarding Bitcoin's next directional move, according to analyst CryptoCon. They believe that Bitcoin may remain in a "mid-cycle lull" until the start of the next bull run in November 2024. Likewise, ARK Invest mentioned in a report that cryptocurrencies could face headwinds for the remainder of 2023 due to various macroeconomic issues such as interest rates, GDP estimates, unemployment, and inflation. The bulls are closely monitoring the decision of the United States Securities and Exchange Commission on several Bitcoin spot exchange-traded fund (ETF) applications. Meanwhile, the race for a spot Ethereum ETF officially began on September 6 with filings from VanEck and ARK Invest, and more Ethereum ETF filings are expected in the next few days, according to Bloomberg ETF analyst James Seyffart. Traders are now questioning if Bitcoin's range-bound action could increase selling pressure on altcoins, prompting them to analyze the charts for the top 10 cryptocurrencies. In terms of Bitcoin, it reached the 20-day exponential moving average but failed to overcome this obstacle, indicating that the bears are strongly defending this level. However, the failure of the bears to challenge the crucial support at $24,800 suggests a weakening bearish momentum and a potential positive divergence. To confirm strength, Bitcoin will need to surpass and close above the 20-day EMA, paving the way for a recovery towards $28,143. However, if the $24,800 support is broken, a downtrend could begin, with minor support at $24,000 and pivotal support at $20,000. The analysis for Ether (ETH) shows that it continues to trade within a narrow range, with the bulls failing to clear the overhead hurdle at the 20-day EMA, increasing the risk of a breakdown. A drop below $1,626 could lead to a retest of the Aug. 17 intraday low of $1,550. However, if the bulls manage to drive the price above the 20-day EMA, the range-bound trading between $2,000 and $1,626 could continue for a few more days. BNB (BNB) witnessed an attempt by bulls to push it above the breakdown level at $220, but the bears fought back, indicating their efforts to turn this level into resistance. A decline below $211 could trigger a drop to the psychological level at $200, which may attract buying interest. Conversely, a price rise above $220 would suggest accumulation at lower levels, potentially leading to a consolidation between $200 and $220. XRP's (XRP) dip below $0.50 was quickly bought by the bulls, but their inability to initiate a strong rebound suggests a lack of demand at higher levels. If the bears manage to pull the price below $0.50, XRP could face a swift decline to the next major support at $0.41. However, a rebound from the current level would indicate the bulls' attempt to turn $0.50 into support. Cardano (ADA) formed a Doji candlestick pattern on September 6 and 7, reflecting the indecision between the bulls and bears. However, the downsloping 20-day EMA and the negative RSI enhance the prospects of a downside breakdown, with a potential drop to the critical support at $0.24. On the upside, the bulls' repeated failure near the 20-day EMA makes it an important level to watch, as a breakthrough could lead to a move towards the overhead resistance at $0.28. Dogecoin (DOGE) remains range-bound between the 20-day EMA and the horizontal support at $0.06, making it difficult to predict the breakout direction. However, the downsloping 20-day EMA and the RSI near 40 give an edge to the bears. If the price drops below $0.06, DOGE could descend to $0.055. Conversely, a sustained price rise above the 20-day EMA may suggest a stronger recovery to $0.07 and eventually $0.08. Solana (SOL) has been gradually correcting within a large range, with relief rallies to the 20-day EMA being sold into. The repeated failure to surpass the 20-day EMA indicates a downside path. A break below the immediate support at $19 could lead to a slump to $18 and subsequently $16. On the other hand, a push above the 20-day EMA may encounter resistance at $22.30, playing a crucial role in determining the potential for a rally to $26. Toncoin (TON) attempted a rebound but faced selling pressure. The 20-day EMA remains a key level to watch, with a rebound triggering another attempt to overcome overhead resistance at $2.07. Conversely, a dip below the 20-day EMA would suggest profit booking, potentially leading to a decline to $1.53 and the 50-day SMA. Polkadot (DOT) experienced a breakdown below the strong support at $4.22, but buying at lower levels prevented a sustained decline. However, the lack of sustained momentum in pushing the price to the 20-day EMA indicates that minor rallies are being sold into. A break below the $4 support could result in a further drop to $4. Conversely, a sustained move above the 20-day EMA may signal the end of the downtrend, paving the way for a potential climb to the downtrend line. Polygon (MATIC) witnessed resistance at the 20-day EMA, with the bears defending any attempts to push above it. A drop below immediate support at $0.53 could lead to a decline to the vital support at $0.50, while a sustained move above the 20-day EMA may suggest a reduction in bearish pressure and lead to a recovery to $0.64.

Published At

9/8/2023 7:03:26 PM

Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.

Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal? We appreciate your report.

Report

Fill up form below please

๐Ÿš€ Algoine is in Public Beta! ๐ŸŒ We're working hard to perfect the platform, but please note that unforeseen glitches may arise during the testing stages. Your understanding and patience are appreciated. Explore at your own risk, and thank you for being part of our journey to redefine the Algo-Trading! ๐Ÿ’ก #AlgoineBetaLaunch