TOP 5 of the week’s most notable coins: BTC, BNB, LUNA, MANA, SAND
Bitcoin (BTC) and most of the major altcoins are struggling to recover from the sharp drop on November 26th. This suggests that traders may be nervous at current levels due to the uncertainty surrounding the new strain of coronavirus discovered in South Africa.
As reported by CryptoCompare, Bitcoin’s assets under management fell 9.5% to $ 48.70 billion in November, while assets under management of altcoin-based crypto funds rose 5.4% to $ 48.70 billion. $ 16.60 billion.
This suggests that traders may have taken bitcoin profits and turned some of that money into altcoins.
Celsius CEO Alex Mashinsky is unimpressed by the recent decline and sees this decline as a buying opportunity. He said on Nov. 28 that he “bought nearly $ 10 million worth of bitcoin and ether at current levels” and predicts that bitcoin will soar to $ 70,000. Mashinsky added that if Bitcoin breaks the USD 50,000 support level, he will cut his final purchase in half.
If Bitcoin recovers from current levels, select altcoins could also grab investors’ attention. Let’s analyze the charts of the top 5 cryptocurrencies that could remain in focus for the next few days.
BTC technical analysis
Bitcoin has corrected itself on a descending channel in the past few days. The bulls have tried to defend the 100-day SMA ($ 54.064) for the past two days, but the flat rally shows that there is a lack of urgency to accumulate at current levels.
BTC / USDT daily chart | Source: TradingView
The downward sloping 20-day EMA ($ 58.521) and Relative Strength Index (RSI) below 39 show the bears are in control. If the price recovers from current levels, the bulls could face resistance at the 20-day EMA.
If the price drops again from the 20-day EMA, this increases the prospect of a break below the 100-day SMA. After that, the pair can challenge the channel’s support line. A break below the channel can intensify selling, pushing the BTC / USDT pair to $ 40,000.
The bulls need to push and hold price above the channel to signal that the correction may be over. The pair could regain momentum on a breakout and close above $ 61,000.
BTC / USDT 4-hour chart | Source: TradingView
The RSI on the 4-hour chart has formed a bullish divergence, suggesting that selling pressures may ease. If the bulls push the price above the 20 EMA and 50 SMA, the pair can rise to $ 60,000.
This is an important resistance for the bulls to overcome as the previous two rallies stalled near this level.
If price drops down from current levels or the overhead resistance and falls below $ 53,500, sales may intensify. The pair may then fall to the strong support at $ 50,000.
BNB. Technical analysis
Binance Coin (BNB) is experiencing an uphill battle between the bulls and the bears near the 20-day EMA ($ 590). Although price turned down and closed below the 20-day EMA on November 26, the bears were unable to extend that advantage.
BNB / USDT daily chart | Source: TradingView
The bears pulled price below the 20-day EMA again today, but the long tail of the bar is showing consolidation at lower levels. The flat 20-day EMA and the RSI near the middle point to a balance between supply and demand.
If the bulls push the price above $ 621.30, the BNB / USDT pair may hit the resistance area of $ 669.30- $ 691.80 again.
Alternatively, the pair may drop to the 50-day SMA ($ 546) if the price turns down and closes below the 20-day EMA. Breaking and closing below this support can extend the pullback to the 100-day SMA ($ 487) and then to $ 440.
BNB / USDT 4-hour chart | Source: TradingView
Price has rebounded from the uptrend line on the 4-hour chart, but the bears are trying to catch the rebound near the EMA 20. If the price continues to fall, the bears will try again to lower the pair below the line .
If successful, the pair can fall into the $ 564.20 – $ 553.80 support area. A break below this zone could result in a larger drop to $ 510.
Conversely, if the bulls push and hold the price above the 20-day EMA, the pair can climb to and above $ 621.30 and gain momentum.
Technical analysis by LUNA
Terra (LUNA) trades within an ascending channel pattern. The bulls successfully defended the channel’s support line between November 24th and 26th, pushing the price above the 20-day EMA ($ 44.33) today.
Daily LUNA / USDT chart | Source: TradingView
If the bulls hold above the 20-day EMA, the LUNA / USDT pair can climb to $ 52 and then retest the all-time high of $ 54.95. The rebound could be subject to strong selling near the channel’s resistance line.
Contrary to this assumption, this suggests that traders will sell on rallies when the price cannot hold above the 20-day EMA.
After that, the bears will try again to bring the price below the channel. If so, it signals that the trend may change. After that, the pair can drop to $ 32 and down to $ 24.
LUNA / USDT 4-hour chart | Source: TradingView
The 4 hour chart shows that the bulls are pushing price above the USD 45.54 resistance, but are struggling to keep the pair above it. This shows that the bears are trying to pull the price back below the breakout level and trap the aggressive bulls.
The 20 EMA is up and the RSI is in positive territory, showing that the bulls are slightly ahead. If price rises from current levels or bounces off $ 45.54, it indicates a consolidation on the downside.
Conversely, a break and close below the moving averages could shift the short-term advantage in favor of the bears. After that, the pair can drop to $ 38.
MANA. technical analysis
Decentraland (MANA) fell from $ 5.90 on November 25, but the long tail of the candles for the past two days shows the bulls are trying to retrace the middle range of the 38.2% fib retracement at 4, , 48 USD and the 50% Fib defending retracement level at $ 4.05.
Daily MANA / USDT chart | Source: TradingView
Now the bulls will attempt to push the price above the all-time high of $ 5.90 and continue the uptrend. If this succeeds, the MANA / USDT pair can begin its journey to the next destination at $ 7.87.
The rising moving averages and the RSI in positive territory show that the bulls have the upper hand.
This bullish view will be void in the near future if price goes down and falls below the 20-day EMA ($ 3.88). Such a move would mean that supply would exceed demand. After that, the pair can drop to $ 3.10.
MANA / USDT 4-hour chart | Source: TradingView
The pair has ricocheted off the 50 SMA, but the bears are aggressively defending overhead resistance at $ 5. Now the bears will try to fall and keep the price below the 50 SMA, lowering to $ 3.90 and lower to $ 3.50.
Conversely, if the price rises from current levels or the 50 SMA, the bulls will attempt to push and hold the price above $ 5, which can speed up the buying process and the pair can get to $ 5.50 and up to $ 5. $ 90 more rise.
SAND . technical analysis
Sandbox (SAND) corrected after the strong rally of the past few days. The bulls are trying to catch the pullback in the $ 6.02 – $ 5.26 (Fib 0.382 – Fib 0.5) zone.
SAND / USDT daily chart | Source: TradingView
If the price rises from current levels, it would indicate that sentiment remains positive and traders buy on every slight decline. The bulls will then attempt to push the price above the $ 8.48 resistance.
If that succeeds, the SAND / USDT pair may continue to rise with the next target at $ 10.52. This bullish view will be void in the short term if price drops from current levels and falls below the 20-day EMA ($ 4.84).
SAND / USDT 4-hour chart | Source: TradingView
The pair has ricocheted off the 50 SMA on the 4 hour chart and the bulls have pushed the price above a falling wedge. If the bulls hold the price above the 20 EMA, the pair can rise to $ 7.50 and then challenge the all-time high.
Contrary to this assumption, if price declines from current levels or overhead resistance and falls below the SMA of 50, it signals that traders may take profits on rescue rallies. After that, the price can drop further to $ 4.50.
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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
According to Cointelegraph