BTC, ETH, BNB, XRP, ADA, DOGE, MATIC, DOT, LTC, AVAX

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After two weeks of a tremendous rally, the price of Bitcoin (BTC) remained largely stable this week. This is a positive sign as it shows that market participants are not getting increasingly nervous ahead of a series of central bank meetings next week. The US Federal Reserve, European Central Bank and Bank of England are expected to announce their policy decisions next week.

Bulls’ confidence received another boost after US Personal Consumption Expenditure (PCE) data for December showed the slowest annual rate of increase since October 2021. Core PCE rose 4 .4% compared to a year ago, meeting analysts’ expectations.

Daily performance of the cryptocurrency market. Source: Coin360

According to a report by Markus Thielen, head of research and strategy at Matrixport, US institutions have not abandoned the cryptocurrency markets. The financial services firm came to this conclusion assuming that if the gains occurred during US trading hours, it was because institutions were buying. Using this metric, the company said 85% of January’s rally was due to institutional buying.

Could Bitcoin and some altcoins skip their range-bound action and resume the uptrend? Let’s study the charts of the top 10 cryptocurrencies to find out.

BTC/USDT

Bitcoin surged to $23,816 on Jan. 25, but the bulls couldn’t sustain the higher levels, as seen by the long wick in the days candlestick.

BTC/USDT daily chart. Source: Trading View

BTC/USDT’s repeated failure to hold above $23,000 could prompt short-term traders to take profits. Immediate support is $22,292. If this level gives way, the pullback could hit the 20-day exponential moving average ($21,172).

This is an important level to watch as a strong bounce will suggest strong demand at lower levels. The pair could then again try to resume its upward move and reach the critical overhead resistance at $25,211.

On the other hand, if the price declines and breaks below the 20-day EMA, it will signal that the bulls might be rushing for the exit. The bears could regain control below $20,400.

ETH/USDT

Buyers were unable to build on the strong rebound in Ethers (ETH) from the 20-day EMA ($1,520) on Jan. 25, suggesting the bears are selling on rallies near the general resistance $1,680.

ETH/USDT daily chart. Source: Trading View

The bears will need to pull the price below the horizontal support near $1,500 to tip the short-term edge in their favor. The ETH/USDT pair could then begin its decline towards the strong support at $1,352.

If the bulls want to avoid this short-term bearish view, they will need to quickly push the price above the broad resistance at $1,680. If they succeed, the pair could start its journey at $2,000, with a brief stopover at $1,800.

BNB/USDT

BNB (BNB) has been sandwiched between the 20-day EMA ($293) and the overhead resistance of $318 for the past few days. This shows that the bulls are buying lows in the 20-day EMA and the bears are selling on rallies near $318.

BNB/USDT daily chart. Source: Trading View

The upward sloping 20-day EMA and the Relative Strength Index (RSI) in positive territory indicate that the buyers have a slight advantage. To capitalize on this advantage, the bulls will need to propel and hold the price above $318. If successful, the BNB/USDT pair could gain momentum and hit $360.

The bears probably have other plans. They will try to fiercely protect the $318 level and pull the price below the 20-day EMA. If they do, the pair could drop to $281. This level may act as a minor support but if it cracks, the pair could touch the 50-day simple moving average ($270).

XRP/USDT

XRP (XRP) surged from the 20-day EMA ($0.39) on January 25 and broke above the overhead resistance of $0.42, but buyers were unable to hold the price above- above.

XRP/USDT daily chart. Source: Trading View

Repeated failure to clear the overhead hurdle may tempt short-term bulls to take profits. This could drag the price below the 20-day EMA and open the doors for a possible decline from the 50-day SMA ($0.37).

This negative view could be invalidated in the short term if the price rises from the 20-day EMA and rises into the $0.42-$0.44 area. The XRP/USDT pair could then start a strong rally that could touch $0.51.

ADA/USDT

Cardano (ADA) broke above the $0.38 overhead resistance on January 26, but the bulls were unable to sustain the higher levels. Nevertheless, it is relevant to note that if a resistance is pierced frequently, it tends to weaken.

ADA/USDT daily chart. Source: Trading View

The bulls will again try to push the price above the overhead resistance. If they can pull it off, the ADA/USDT pair could rise to $0.44. This level can again act as a formidable barrier but if the bulls do not give much ground, the pair could continue its uptrend.

The upward sloping 20-day EMA indicates an advantage for buyers, but the negative divergence on the RSI warns that the bullish momentum may weaken. The bears will need to drive the price lower below the 20-day EMA to initiate a deeper correction from the 50-day SMA ($0.30).

DOGE/USDT

Dogecoin (DOGE) bounced off the 20-day EMA ($0.08) on January 25, but the bulls were unable to continue the rally on January 26. The price declined and slid towards the 20-day EMA on January 27.

DOGE/USDT daily chart. Source: Trading View

The DOGE/USDT pair has been stuck between $0.09 and the 20-day EMA for the past few days. If the price rises from the current level and breaks above $0.09, the likelihood of a rally towards the next resistance at $0.11 increases.

Alternatively, if the price continues to decline and dips below the 20-day EMA, this will suggest that the bulls are losing their grip. The pair could then dip towards the strong support at $0.07. Such a move could indicate possible limited action between $0.07 and $0.09 for a few more days.

MATIC/USDT

Polygon (MATIC) bounced off the 20-day EMA ($0.97) on January 25 and surged above the crucial $1.05 resistance on January 26. The break above this level indicates that range uncertainty has resolved in favor of the bulls.

MATIC/USDT daily chart. Source: Trading View

The buyers continued to build on the momentum and the MATIC/USDT pair broke through the minor resistance at $1.16 on January 27th. This sets the stage for a possible rally to $1.30 where the bears could once again mount a strong defense. If the bulls overcome this hurdle, the rally could extend to $1.50.

On the contrary, if the price drops sharply and crosses below $1.05, it will suggest that the breakout might have been a bullish trap. The pair could then slide to $0.91.

Related: Litecoin “head fake” rally? LTC Technical Prices Suggest 65% Crash

LTC/USDT

Litecoin (LTC) has been swinging between the 20-day EMA ($85) and air resistance at $92 over the past few days. This suggests uncertainty among bulls and bears about the next directional move.

LTC/USDT daily chart. Source: Trading View

Although the ascending moving averages indicate an advantage for the bulls, the negative divergence on the RSI suggests that the buying pressure seems to be diminishing. The bears will take over if they manage to pull the price below the 20-day EMA.

This could trigger short-term traders’ stops and the LTC/USDT pair could then drop to $81 and later to $75.

If the bulls want to assert their dominance, they will need to initiate and hold the price above $92. This could signal the resumption of the uptrend. The pair could then go to $100 and then to $107.

DOT/USDT

Polkadot (DOT) has been trading near the resistance line for the past few days. Usually, a tight consolidation near strong overhead resistance shows that buyers are holding their positions as they anticipate an upward move.

DOT/USDT daily chart. Source: Trading View

If the buyers catapult the price above the resistance line, the DOT/USDT pair could signal a potential trend change. The pair could then begin its journey towards $8.05, with a short stop at $7.42.

Conversely, if the price fails to hold above the resistance line, it will suggest that demand is drying up at higher levels. This could attract profit booking by short-term traders. The pair might first drop to the 20-day EMA ($5.88) and if this level breaks down, the decline might hit $5.50.

AVAX/USDT

The bulls attempted to propel Avalanche (AVAX) above the resistance line on January 26, but the bears thwarted their attempt. The bulls have not given ground to the bears and are trying to break through the barrier again on January 27th.

AVAX/USDT daily chart. Source: Trading View

The upward sloping moving averages and the RSI near the overbought territory indicate that the path of least resistance is to the upside. If the price breaks above the resistance line, the AVAX/USDT pair could rally to $22 and then to $24.

On the downside, a break and close below the 20-day EMA ($16.31) will be the first indication that buying pressure is easing. This could open the doors for a possible decline to $14.65 and then the 50-day SMA ($13.69).

The views, thoughts and opinions expressed herein are the sole authors and do not necessarily reflect or represent the views and opinions of Cointelegraph.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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