The United States equity markets have witnessed a solid year so far. The Nasdaq Composite has soared 31.7%, its best first-half performance since 1983. Similarly, the S&P 500 Index’s (SPX) 15.9% gain is its best first half since 2019. This suggests that risky assets remain in demand.
In the cryptocurrency markets, Bitcoin (BTC) has led the recovery from the front, rising 20% in Q2 2023. An encouraging sign is that the rise has not tempted the Bitcoin hodlers to book profits. Glassnode’s Illiquid Supply Change metric is near cycle highs, indicating hodler conviction.
Will the U.S. equities markets continue their march higher? Could Bitcoin and the major altcoins continue their recovery? Let’s analyze the charts to find out.
S&P 500 Index price analysis
The S&P 500 Index bounced off the breakout level of 4,325 on June 26, indicating that the bulls have flipped the level into support.
If bulls want to prevent the up-move, they will have to quickly yank the price below 4,325. If they do that, the selling could pick up momentum and the index may plummet to 4,200.
U.S. dollar index price analysis
The bulls pushed the U.S. dollar index (DXY) above the 20-day exponential moving average (103) on June 28, indicating strength.
Contrary to this assumption, if the price turns down and breaks below the moving averages, it will suggest that bears are selling on minor rallies. That could pull the price down to the immediate support at 102.
Bitcoin price analysis
The long tail on Bitcoin’s July 2 candlestick shows that the bulls are buying the intraday dips. The buyers will try to strengthen their position by driving and sustaining the price above the overhead resistance at $31,000.
The rising 20-day EMA ($29,446) and the relative strength index (RSI) near the overbought zone indicate advantage to buyers. Sellers will have to sink the price below the 20-day EMA to gain the upper hand in the near term. The pair may then drop to the 50-day simple moving average ($27,704).
Ether price analysis
The bears tried to tug Ether (ETH) toward the 20-day EMA ($1,866) on July 2 but the long tail on the candlestick shows that the bulls are buying on minor dips.
This positive view will invalidate in the near term if the price turns down from $2,000 and slumps below the moving averages. The pair may then continue its range-bound action between $1,626 and $2,000 for some more time.
BNB price analysis
BNB (BNB) rose above the 20-day EMA ($245) on July 1, indicating that the selling pressure is reducing.
Alternatively, if the price turns down and breaks below the 20-day EMA, it will suggest that every recovery attempt is being sold. The pair may then tumble to the strong support at $220.
XRP price analysis
The bulls are trying to propel XRP (XRP) above the 20-day EMA ($0.48) but the bears are aggressively defending the level.
Conversely, if the price turns down sharply from the current level, it will suggest solid selling near the 20-day EMA. The bears will have to sink the price below $0.44 to gain the upper hand. The pair may then tumble to $0.41.
Cardano price analysis
The bears successfully defended the $0.30 resistance on June 30 but they could not sustain Cardano (ADA) below the 20-day EMA ($0.29). This suggests that every minor dip is being purchased.
This positive view will invalidate in the near term if the price turns down sharply from the current level. That could keep the pair inside the $0.30 to $0.24 range for some more time.
Related: Bitcoin traders torn between breakout and $28K dip as BTC price stalls
Dogecoin price analysis
Dogecoin (DOGE) surged above the overhead resistance at $0.07 on July 1 but the long wick on the candlestick shows selling at higher levels.
On the downside, the $0.06 level remains the key support to watch out for. A break and close below this level could open the doors for a further decline to $0.05.
Solana price analysis
Solana (SOL) has been trading between the 20-day EMA ($17.61) and the downtrend line for the past three days. This suggests that the bears are selling near the downtrend line and the bulls are buying the dips.
If the price turns down sharply from the current level and breaks below the 20-day EMA, it will suggest that the sentiment remains negative and traders are selling on rallies. That could sink the pair to the $16.18 to $15.28 support zone.
Litecoin price analysis
Litecoin (LTC) broke above the overhead resistance at $106 on June 30 and the bulls have managed to sustain the price above this level.
The first support on the downside is $106. If this level gives way, it will indicate that the short-term bulls may be booking profits. That could drag the price down to the 20-day EMA ($93).
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.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
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