Bitcoin (BTC) has seen some gains of late, but on-chain analytics platform Ecoinometrics says whales are piling on as they believe the price is currently attractive from a long-term perspective.
On the other hand, analyst Willy Woo believe $33,000 is a very strong support for Bitcoin. Meanwhile, analyst Credible Crypto, citing data from PlanC, says the likelihood of Bitcoin falling below $30,000 is slim.
Fidelity Digital Assets research lead Chris Kuiper believe Bitcoin’s downside risk is lower than that of other digital assets, but it could increase significantly if it were to replace gold as a store of value.
Can Bitcoin and Altcoins Recover From Recent Pullback? Let’s study the charts of the top 5 cryptocurrencies that could catch investors’ attention in the short-term.
Bitcoin has turned down from the $45.456 resistance, but on a small upside, the bulls have not allowed the price to break below the 20-day EMA ($41,383).
BTC/USDT daily chart | Source: TradingView
If the price recovers from the current levels, the bulls will attempt to push the BTC/USDT pair above $45.456. A close above this level will complete a bullish head and shoulders pattern.
After that, the pair can rally to $52.088, where the bears are likely to pose a strong challenge. If the bulls sustain the price above this level, the pair can start its march north with a target of $56.904.
This bullish view will be nullified if the price breaks and remains below $39,600. Such a move could open the door for a drop to $36,250.
BTC/USDT 4 hour chart | Source: TradingView
The pair fell from $45.456 and dropped below the moving averages. The bulls are currently attempting to defend the minor support at $41,688.88 but are facing stiff resistance at the moving averages.
If the price turns down from the current levels and falls below $41,688.88, the pair can drop to $39,600. If the price recovers from this level, the pair could remain in a range between $39,600 and $45,456 for a few more days.
On the upside, a breakout and close above the moving averages is the first sign that the bulls have a slight advantage. The pair can then scale to $43,920 and above that to $45.456.
Ripple (XRP) broke out and closed above the moving averages on Feb. 7, suggesting the downtrend may be coming to an end. The bears attempted to pull the price back below the breakout at $0.75 but the bulls thwarted their attempt.
XRP/USDT daily chart | Source: TradingView
The price has recovered from $0.75 and the bulls are attempting to push the XRP/USDT pair towards the $1 resistance. A break and close above this resistance could open the door for a rally to $1.41.
The moving averages are on the way to forming a bullish cross and the Relative Strength Index (RSI) is in positive territory, suggesting that the buyers have the upper hand. This positive view will expire on a break and close below $0.75. Such a move would indicate that the bears will continue to sell as the price rises.
XRP/USDT 4 hour chart | Source: TradingView
The 4-hour chart shows the bulls and bears fighting each other near the $0.82 level. The bulls pushed the price above this level but the bears blocked the rally at $0.85 and dragged the pair back below $0.82.
On a small plus side, the bulls will buy on a drop to the 50 SMA. If the price recovers from this support, the bulls will attempt to push the pair above $0.85 and challenge the $0.91 resistance . Conversely, a break and close below the 50-SMA can drag the pair to $0.75. A break and close below this support could signal the start of a deeper correction.
Crypto.com (CRO) moved above the 50-day SMA ($0.47) on Feb. 7, suggesting the correction may be over. The price surged to $0.54 on Feb 10 where the bears are building solid defenses.
Daily CRO/USDT chart | Source: TradingView
The moving averages are on the way to forming a bullish cross and the RSI is in positive territory, suggesting that buyers have a slight advantage. If the current rally above the moving averages holds, it will show that the bulls are buying on a slight dip. After that, the bulls will attempt to sink the price above $0.54 and resume the uptrend.
If they pull through, the CRO/USDT pair can surge to $0.60 and higher to $0.68. Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, the pair can drop to $0.39.
CRO/USDT 4 hour chart | Source: TradingView
The 4 hour chart shows the pair rising within an ascending channel pattern. The bulls have tried to push the price above the channel, but the bears have other plans. They pulled the price back into the channel, catching aggressive bulls.
Buyers are attempting to defend the 50 SMA. If the price sustains above the 20 EMA, the bulls will make another attempt to push the pair above the channel’s resistance line. This positive view will be invalidated if the price turns down and falls below the channel support line.
FTX Token (FTT) has been volatile in an expanding wedge. The failure of buyers to push the price above the resistance line shows that bears sell on rallies to this level.
Daily FTT/USDT Chart | Source: TradingView
On a small plus, however, the bulls will buy if the price breaks into the zone between the 20-day EMA ($43.85) and the 50-day SMA ($41.50). If the price recovers from the current level, the buyers will take another step to clear the overhead barrier.
If they succeed, the FTT/USDT pair could start a new uptrend. After that, the pair can rally to $53.50 where the bears can pose another strong challenge, but if this resistance is broken the rally can extend to $65.
This bullish view will be invalidated if the price turns down and falls below the 50-day SMA. That would suggest the pair may extend their stay in the expanding wedge by a few days.
FTT/USDT 4 hour chart | Source: TradingView
The failure of the bulls to propel the price above the $48-$50 resistance area may have prompted short-term traders to take profits. The pair has breached both moving averages and can drop to the 38.2% Fib retracement level at $41.99.
If the price surges higher from the current levels or $41.99, it will show that the buyers are accumulating on the downside. After that, the bulls will try again to push the price above the 50 SMA and if successful, the pair can challenge the overhead resistance.
On the downside, a break and close below $41.99 could signal the start of a deeper correction towards the 50% retracement level at $39.95.
Theta Network (THETA) broke and closed above the downtrend line on February 10th, suggesting that the downtrend may be coming to an end. In general, a rally above a strong resistance tends to reverse and retest the breakout level.
THETA/USDT daily chart | Source: TradingView
If the bulls manage to turn the breakout into support, it would indicate a switch in sentiment from selling to the upside. The 20-day EMA ($3.49) is starting to rise and the RSI is in positive territory, signaling an advantage for the buyers.
If the price bounces off the downtrend line, the bulls will try to start a new uptrend. A break and close above $4.39 can attract additional buying and the THETA/USDT pair can rally to $6.
This bullish view will be invalidated if the price turns down from the current levels and breaks below the downtrend line. Such a move would indicate that a break above the downtrend line could be a bull trap.
THETA/USDT 4 hour chart | Source: TradingView
The pair has risen within an ascending parallel channel. The bulls managed to push the price above the channel resistance line, but the bears did not falter. This may have caused short term traders to take profits and drag the price towards the support line.
As the price has bounced off the support line on the last three occasions, the bulls will make another attempt to defend it. When the price bounces off the current levels and surges above the downtrend line, it signals the continuation of the uptrend.
Alternatively, a break and close below the channel support line could signal a deeper correction to the $3.20 level.
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.
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