Bitcoin (BTC) has dropped about 8% in the past week, but a positive signal is that the bulls have been buying strongly at the week's lows. After the recovery, analysts remain divided on the next move. Some expect the correction to deepen, while others predict the uptrend will continue.
Bitcoin's recovery on December 20 failed to attract investors into Bitcoin exchange-traded funds in the U.S. Data from Farside Investors shows outflows of 617.9 million USD on December 19 and 277 million USD on December 20 from ETFs, indicating traders are taking profits.
Daily crypto market data. Source: Coin360
In the coming days, a fierce struggle between bulls and bears is likely near the 100,000 USD level. If Bitcoin holds above 100,000 USD, crypto market sentiment is expected to improve, pulling some altcoins higher.
Conversely, if Bitcoin fails to maintain above 100,000 USD, this could tempt short-term buyers to take profits. This could start a deeper correction in Bitcoin, triggering sell-offs in some altcoins.
Consider the charts of the top 5 cryptocurrencies that could outperform in the near future.
Bitcoin price analysis
Bitcoin rebounded from the 50-day simple moving average (92,901 USD) on December 20, but the recovery is facing selling pressure at the 20-day exponential moving average (98,758 USD).
Daily BTC/USDT chart. Source: TinTucBitcoin/TradingView
The BTC/USDT pair is likely to consolidate between the moving averages as both bulls and bears try to gain the upper hand. If the price breaks above the 20-day EMA, this would indicate that the correction may have ended. The pair could then test the all-time high at 108,353 USD. A breakout and close above this resistance could start the next leg of the uptrend to 113,331 USD and then to 125,000 USD.
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Conversely, a breakout and close below the 50-day SMA could start a deeper correction toward 85,000 USD. This is a critical level for bulls to defend, as a breakout below it could open the door for a drop to 73,777 USD.
4-hour BTC/USDT chart. Source: TinTucBitcoin/TradingView
Both moving averages are trending down on the 4-hour chart, and the RSI is in the negative zone, indicating an advantage for sellers. A breakout and close below support at 90,000 USD could signal the start of a deeper correction to 85,000 USD.
The first sign of strength would be a breakout and close above 100,000 USD. The pair could climb to 105,000 USD and then to 108,353 USD. The bears are expected to defend this level at all costs because if they fail in their efforts, the pair could continue its uptrend.
Sui price analysis
Sui (SUI) dropped below the 20-day EMA (4.22 USD) on December 19, but the bears were unable to break below the 50-day SMA (3.61 USD) on December 20.
Daily SUI/USDT chart. Source: TinTucBitcoin/TradingView
A strong bounce from the 50-day SMA indicates strong buying at lower levels. The bulls attempted to continue the uptrend on December 21, but the bears held their ground. Although the moving averages show an advantage for buyers, the negative divergence on the RSI indicates weakening momentum.
If the price climbs from the current level, the bulls will once again attempt to continue the uptrend. If they break above 5 USD, the SUI/USDT pair could rise to 5.50 USD and then to 6.50 USD.
On the other hand, a breakout and close below the 20-day EMA would indicate that the bulls are taking profits. Selling pressure could accelerate if the 50-day SMA is broken. The pair could drop to 3 USD.
4-hour chart SUI/USDT. Source: TinTucBitcoin/TradingView
The moving averages on the 4-hour chart are gradually tilting downward, and the RSI is just below the midpoint, indicating likely action within a narrow range in the near future. If the price holds below 4.20 USD, the pair could drop to 4 USD and then to 3.50 USD. Buyers are expected to defend strongly at 3.50 USD.
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If buyers push and maintain the price above the 50-day SMA, the pair could rise to 5 USD. This remains a key resistance level to watch, as a breakout above it could push the pair up to 5.50 USD.
Bitget Token price analysis
Bitget Token (BGB) dropped from 4.90 USD on December 19 and fell near the 20-day EMA (3.29 USD) on December 20, but the long tail on the daily candle indicates strong buying at lower levels.
Daily BGB/USDT chart. Source: TinTucBitcoin/TradingView
After volatility in recent days, the BGB/USDT pair may consolidate between 4.90 USD and the 20-day EMA for a while. If buyers push the price above 4.90 USD, the pair could become bullish up to 5.38 USD and then to 6 USD.
On the downside, a breakout below 4.05 USD could pull the pair down to 3.83 USD and then to the 20-day EMA. Buyers are expected to defend the 20-day EMA, as a breakout below it would indicate the pair has peaked in the short term.
4-hour BGB/USDT chart. Source: TinTucBitcoin/TradingView
The bulls are trying to push the price back above the 20-day EMA, indicating demand at lower levels. The pair may reach the descending resistance, which could potentially become strong resistance. If the bulls break through the descending resistance, the pair could rise to 4.90 USD.
On the downside, the bears will need to push the price down and maintain it below the 50-day SMA to signal the start of a deeper correction. The pair could drop to 3.38 USD and then to 2.90 USD.
Ethena price analysis
Ethena (ENA) dropped below the 20-day EMA (1.00 USD) on December 19, but the bulls quickly reclaimed this level on December 20.
Daily ENA/USDT chart. Source: TinTucBitcoin/TradingView
The 20-day EMA is sloping up and the RSI is just above the midpoint, signaling a slight advantage for buyers. The bulls will try to push the price up to 1.23 USD and then to 1.33 USD. The bears are expected to strongly defend this area, but if the bulls gain the upper hand, the ENA/USDT pair could rise to 1.52 USD.
See more: BlackRock advises to allocate 1-2% to Bitcoin
This positive outlook would be invalidated in the short term if the price decreases and breaks below the 20-day EMA. The pair could then drop to the 50-day SMA (0.76 USD).
4-hour ENA/USDT chart. Source: TinTucBitcoin/TradingView
The flat moving averages and the RSI near the midpoint on the 4-hour chart indicate a balance between supply and demand. The pair could oscillate between 1.23 USD and 1 USD for a while.
Buyers will need to push the price above 1.23 USD to regain an advantage. The pair could rise to 1.33 USD and then to 1.52 USD.
Conversely, a drop below 1 USD could push the pair down to 0.84 USD. This is an important short-term support level to watch, as a breakout below it would signal a change in the short-term trend.
Virtuals Protocol price analysis
Virtuals Protocol (VIRTUAL) is correcting in an uptrend, but a small positive is that it is finding support at the 20-day EMA (2.14 USD).
Daily VIRTUAL/USDT chart. Source: TinTucBitcoin/TradingView
The 20-day EMA is sloping up and the RSI is in the positive zone, indicating buyers have the advantage. If the price rises above 2.85 USD, the VIRTUAL/USDT pair may advance to 3.32 USD. A breakout and close above this resistance could push the pair up to 4 USD.
Contrary to this prediction, if the price continues to drop and breaks below the 20-day EMA, this would indicate that the bulls are taking profits. There is another strong support at 2 USD, but if this level is broken, the pair could fall into a deeper correction to 1.50 USD.
4-hour VIRTUAL/USDT chart. Source: TinTucBitcoin/TradingView
The pair has dropped below the moving averages, but the bears are unlikely to pull the price down to 2 USD. This suggests selling exhaustion at lower levels. Buyers will try to push the price above the moving averages, opening the door for a rally to 3 USD and then to 3.32 USD.
Conversely, if the price turns around from the moving averages, this would signal that the bears are selling during rallies. This could push the pair down to strong support at 2 USD. If this support is broken, the pair could drop to 1.50 USD.