Bitcoin (BTC) has been displaying a lack of significant price movement over the weekend, with both bulls and bears hesitant to make big bets as they remain uncertain about the next direction for the cryptocurrency. However, traders should still keep a close watch as periods of consolidation are typically followed by an increase in volatility. While it’s difficult to predict the exact direction of the breakout, some analysts believe that the increasing exposure of Bitcoin whales is a positive sign for a bullish move. On-chain analyst Cole Garner suggests that the bullish trend could continue until September when the summer seasonality kicks in and a shakeout occurs.
Bitcoin saw a sharp rise in the early months of this year, but major altcoins struggled to keep up. However, the current consolidation in Bitcoin presents an opportunity for select altcoins to catch up. Let’s take a look at the top-5 cryptocurrencies that are showing positive potential in the near term by studying their charts and identifying key resistance levels.
Bitcoin Price Analysis:
On August 5, Bitcoin formed an inside-day candlestick pattern, indicating indecision among bulls and bears. The price is currently squeezed between the 20-day exponential moving average (EMA) at $29,430 and horizontal support at $28,861. The downsloping 20-day EMA and the negative relative strength index (RSI) suggest a slight advantage for bears. If sellers are able to pull the price below the support zone of $28,861 to $28,585, the BTC/USDT pair could initiate a downward move to $26,000. On the other hand, if the price rebounds and breaks above the 50-day simple moving average (SMA) at $29,840, it could signal the start of a recovery towards the overhead resistance zone between $31,804 and $32,400.
Shiba Inu Price Analysis:
Shiba Inu (SHIB) broke and closed above the overhead resistance of $0.0000085 on August 4, indicating a potential new uptrend. The bullish momentum continued on August 5, pushing the SHIB/USDT pair to $0.000010. The RSI entering the overbought territory suggests a minor correction or consolidation may be possible. If the bulls hold the current levels and the price breaks above $0.000010, the pair could surge towards $0.000012 and then $0.000014. However, if the price continues lower and breaks below the 20-EMA, traders may aggressively book profits, potentially leading to a fall towards $0.0000085.
Related Post
Uniswap Price Analysis:
Uniswap (UNI) has been in a correction phase, but bulls are attempting to support the price near the 20-day EMA at $6.04. A rebound from this level would suggest positive sentiment and buying interest on dips. The UNI/USDT pair could rise to $6.70 and potentially $7.50 if the sentiment remains positive. On the flip side, if the price sustains below the 20-day EMA, it may indicate the end of the up-move and lead to a descent towards the 50-day SMA at $5.58. The flattish 20-day EMA and RSI near the midpoint provide no clear advantage for bulls or bears.
OKB Price Analysis:
OKB (OKB) has been gradually falling within a range of $38 to $59 over recent weeks. However, on August 4, the bulls broke above the downtrend line, suggesting a potential end to the short-term downtrend. The turning up of the 20-day EMA and the positive RSI indicate an advantage for bulls. If buyers can push the price to $48 and subsequently $50, it may act as a major hurdle. A slide below the downtrend line would indicate a failed attempt to start an up-move, with further bearish strength possible if the price sinks below the moving averages. On the other hand, if the bulls hold the downtrend line as support, the price could rise to $46 and potentially $48.
Hedera Price Analysis:
Hedera (HBAR) recently broke above the overhead resistance of $0.055, signaling a potential comeback for bulls. A sustained price above this level could indicate the start of a new up-move. Resistance may be encountered at $0.062, but if this level is crossed, the HBAR/USDT pair could gain momentum towards $0.065 and potentially $0.075. On the downside, $0.055 is a critical level to watch. If bulls can flip this level into support, it would suggest a change in sentiment from selling on rallies to buying on dips. However, if the price turns down and falls below the 50-day SMA at $0.05, it could sink the pair to $0.045.
It’s important to note that this article does not provide investment advice or recommendations. Every investment and trading decision involves risk, and readers should conduct their own research before making any decisions.
