Bitcoin (BTC) faced a strong rejection near $70,000 on July 29, showing that bears are fiercely defending the resistance of the $55,724 to $73,777 range. Some analysts are closely watching the $69,000 level as they believe that bulls must flip this level to support before Bitcoin surpasses $72,000 and challenges its all-time high near $74,000.
Bitcoin will need a strong catalyst to break out of its five-month trading range. When that happens, analysts are confident that Bitcoin will surpass the $100,000 mark. However, some analysts believe it will only reach six figures by 2025.
They argue that the $35 trillion US national debt will drive Bitcoin adoption. Turbofish CEO Matt Bell says America's ballooning debt will boost the importance of Bitcoin as “hard money” – a decentralized and deflationary asset that provides a hedge against currency devaluation bad".
Can Bitcoin rally from current levels and challenge the $70,000 resistance level or will bears drag the price lower? Let's analyze the charts of the top 10 cryptocurrencies to find out.
BTC technical analysis
Bitcoin fell from $70,080 on July 29 and reached the 20-day exponential moving average ($65,390) on July 30.
BTC/USDT Daily Chart | Source: TradingView
Buyers will have to initiate a strong recovery from the 20-day EMA to maintain the positive sentiment. If they do so, the likelihood of a break above $70,000 will increase. The BTC/USDT pair could rise to $72,000, again likely to act as a strong barrier.
Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, it will indicate that the bulls are booking profits. The pair could slide to the 50-day simple moving average ($63,294).
ETH technical analysis
Ether (ETH) turned down from the 50-day SMA ($3,348) on July 29, but the bulls are not giving much ground to the bears.
ETH/USDT Daily Chart | Source: TradingView
The bulls are again trying to push the price above the 50-day SMA. If they do that, the ETH/USDT pair could rise to $3,563. The bears are expected to aggressively defend the zone between $3,563 and the downtrend line. If the price turns down from this zone, this will signal that the pair may remain within the triangle for a few more days.
The next trending move is likely to begin on a break above the downtrend line or below the support at $2,850.
BNB technical analysis
BNB (BNB) rose from the moving averages on July 30, showing positive sentiment as bulls are buying on dips.
BNB/USDT Daily Chart | Source: TradingView
There is a minor resistance at $606, but if this level is surpassed, the BNB/USDT pair can reach $635. This level is expected to attract strong selling from the bears. If the price turns down from $635 but recovers from the 20-day EMA, the breakout prospects will improve. The pair can then reach $722.
This positive view will be invalidated in the near term if the price turns down and breaks below $553. That could keep the pair ranging between $495 and $635 for a while longer.
SOL technical analysis
Solana (SOL) rose from $175 on July 30, showing positive sentiment and traders are buying the dip.
SOL/USDT Daily Chart | Source: TradingView
The bulls will make another attempt to push the price above the $194 resistance. If they can, the SOL/USDT pair will attempt to rally to $210, which is expected to serve as solid resistance.
If the price turns down sharply from the overhead resistance and breaks below the 20-day EMA, it will signal that the pair could remain stuck in the range between $116 and $210 for a while longer.
XRP technical analysis
XRP (XRP) surged on July 30 and the bulls extended the rally on July 31 by pushing the price above the $0.64 resistance.
XRP/USDT Daily Chart | Source: TradingView
If the price sustains above $0.64, the XRP/USDT pair is likely to begin its upward journey towards $0.74. This level has acted as a strong barrier on three previous occasions, hence the bears are expected to defend it vigorously.
The key support to watch on the downside is the 20-day EMA ($0.58). The bears would have to drag the price below the 20-day EMA to show that the rally may be over. The pair could then drop to the 50-day SMA ($0.51).
DOGE technical analysis
Dogecoin (DOGE) has gradually slipped to solid support at $0.12, where buyers are likely to step in.
DOGE/USDT Daily Chart | Source: TradingView
The flat 20-day EMA ($0.12) and the RSI near the midpoint suggest a balance between supply and demand. If the price rebounds from $0.12, the DOGE/USDT pair could rise to the overhead resistance at $0.14. If the buyers overcome this barrier, the pair is likely to start a rally towards $0.18.
On the other hand, if the price continues to decline and breaks below $0.12, this will signal an advantage for the bears. The pair could then drop to $0.10.
TON technical analysis
The bulls are attempting to sustain Toncoin (TON) above the breakout level of $6.77, signaling a shortage of sellers at lower levels.
TON/USDT Daily Chart | Source: TradingView
The bears will try to stall the recovery at the 20-day EMA ($6.94), but if the bulls prevail, the next stop is likely to be the 50-day SMA ($7.30). That would indicate that the price is stuck in a large range between $6.36 and $8.29.
This bullish view will be negated in the short term if the price turns down from the current levels or the 20-day EMA and breaks below the $6.36 support. The TON/USDT pair could then drop to $6 and lower to $5.50.
ADA technical analysis
The bulls have been trying to push Cardano (ADA) above the 20-day EMA ($0.41) for the past few days, but the bears have remained firm.
ADA/USDT Daily Chart | Source: TradingView
A slight edge in favor of the bulls is that they did not let the price slip below the 50-day SMA ($0.40). Buyers will again attempt to achieve a close above the 20-day EMA. If they succeed, the ADA/USDT pair could rise to $0.46.
Instead, if the price closes below the 50-day SMA, it will show that the bulls are losing control. There is minor support at $0.38, but if this level breaks, the pair can drop to the strong support at $0.35.
AVAX technical analysis
Avalanche (AVAX) has been trading below $29 for the past few days, showing that the bears are maintaining the pressure.
AVAX/USDT Daily Chart | Source: TradingView
The AVAX/USDT pair could drop to the strong support at $24, where buyers are expected to defend the level aggressively. A bounce from $24 could push the pair to $29 and keep it between the two levels for a few days.
The next trending move could begin on a break above $29 or below $24. If the $29 level is surpassed, the pair could rise to $33 and then to $37. On the downside, a break below $24 could sink the pair to $21.80.
SHIB technical analysis
Shiba Inu (SHIB) turned down from the 20-day EMA ($0.000017) on July 29, showing that bears are selling on minor rallies.
SHIB/USDT Daily Chart | Source: TradingView
The bears will try to consolidate their position further by dragging the price below the $0.000015 support. If they do, selling could intensify and the SHIB/USDT pair could drop to $0.000013.
If the bulls want to stop the decline, they will have to quickly push the price above the moving averages. If they do, that will signal demand at lower levels. The pair could rise to $0.000018 and then $0.000020.
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.