Bitcoin (BTC) is struggling to stay above $23,000 as the weekend approaches. The selling pressure increased after the personal consumption expenditures excluding food and energy rose 0.6% in January and 4.7% over the year, above market expectations of an increase of 0.5% and 4.4% respectively.
This could trigger fears that the United States Federal Reserve may have to continue its rate hikes to bring inflation under control. Expectations of a rate hike could strengthen the U.S. dollar index further, which is already near a seven-week high, and that may put pressure on the cryptocurrency markets in the near term.
What are the important support levels in Bitcoin and altcoins? Let’s study the charts of the top-10 cryptocurrencies to find out.
BTC/USDT
Buyers successfully held the 20-day exponential moving average ($23,440) for the past two days but the failure to sustain the rebound attracted strong selling on Feb. 24.
A break below this level could retest the crucial support zone between the 50-day simple moving average ($22,052) and $21,480.
Alternatively, if the price fails to sustain below the 20-day EMA, it will indicate that bulls are buying the dips as they anticipate a move higher. A break and close above $25,250 may start the next leg of the uptrend.
ETH/USDT
Ether (ETH) slipped below the 20-day EMA ($1,624) on Feb. 22 but the long tail on the candlestick shows solid buying at lower levels. The bulls tried to build upon the advantage on Feb. 23 and drive the price above $1,680 but the bears held their ground.
Contrarily, if the price rebounds off the 50-day SMA with strength, it will indicate that bulls are buying the dips. The buyers will then attempt to kick the price above the $1,680 to $1,743 resistance zone and resume the up-move.
BNB/USDT
BNB’s (BNB) tight range trading between the overhead resistance of $318 and the 50-day SMA ($304) resolved to the downside on Feb. 24. This indicates that bears have overpowered the bulls.
If buyers want to avoid the sharp decline, they will have to quickly propel the price back above $318. That could clear the path for a rise to the neckline of the bullish inverse H&S pattern.
XRP/USDT
XRP (XRP) traded near the resistance line of the descending channel pattern for the past few days but the bulls could not enforce a breakout.
Contrary to this assumption, if the price rebounds off $0.36, the bulls will make one more attempt to overcome the barrier at the resistance line. If they can pull it off, the pair may rally to the overhead resistance at $0.43.
ADA/USDT
The bulls managed to keep Cardano (ADA) above the immediate support of $0.38 for the past two days but they failed to sustain the rebound above the 20-day EMA ($0.39). This suggests that bears are selling on minor rallies.
Conversely, if the price turns up from the current level, the bulls will again try to thrust the price above the 20-day EMA and retest the neckline of the inverse H&S pattern.
DOGE/USDT
After staying above the 50-day SMA ($0.08) for several days, Dogecoin (DOGE) slipped below the level on Feb. 23. This indicates a minor advantage to the bears.
If bulls want to gain the upper hand, they will have to push the price above $0.09. That may result in a retest of the $0.10 to $0.11 resistance zone.
MATIC/USDT
Polygon (MATIC) rebounded off the 20-day EMA ($1.32) on Feb. 22 as seen from the long tail on the day’s candlestick. However, the bears sold the recovery and the price tumbled below the 20-day EMA on Feb. 24.
If bulls want to prevent a deeper correction, they will have to quickly push the price above the downtrend line. The pair could then rise to $1.50 and subsequently to $1.57.
Related: Bitcoin price continues to fall, but derivatives data hints at a short-term rally to $25K
SOL/USDT
Solana (SOL) failed to rebound off the 20-day EMA ($23.32) in the past two days, indicating a lack of aggressive buying by the bulls. That may have encouraged the bears who pulled the price to the 50-day SMA ($22.19).
This negative view will invalidate in the near term if the price turns up from the moving averages and surges above $28. The pair may then quickly run up to $39.
DOT/USDT
Polkadot (DOT) jumped from the 20-day EMA ($6.79) on Feb. 22 and rose above the $7.25 resistance on Feb. 23 but the bulls could not sustain the rebound. This indicates that the bears are attempting a comeback.
If bulls want to invalidate the bearish view, they will have to successfully defend the moving averages and push the price above $7.39. That will indicate strong demand at lower levels. The pair may then rise to $8 and thereafter to $9.50.
SHIB/USDT
The long wick on Shiba Inu’s (SHIB) Feb. 23 candlestick shows that bears are selling on rallies close to the overhead resistance at $0.000014.
Contrary to this assumption, if the price turns up and breaks above $0.000014, it will suggest that bulls are back in the driver’s seat. The SHIB/USDT pair could then climb to $0.000016.
The views, thoughts and opinions expressed here are the authors’ alone 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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