Latest Market Overview 18th Nov: SPX, DXY, BTC, ETH, SOL, BNB, XRP, DOGE, ADA, SHIB

Bitcoin’s current market activity highlights a struggle between bullish and bearish forces, with buyers maintaining control as long as the price stays above the key level of $85,000. Recent movements have seen Bitcoin surge past $92,000, reflecting positive momentum. This rise has been driven, in part, by strong demand from long-term investors.

MicroStrategy has bolstered its Bitcoin holdings by acquiring 51,780 additional coins at an average price of $88,627 each, bringing its total to approximately 331,200 Bitcoins. This investment aligns with their strategy to use Bitcoin as a treasury asset, reinforcing their leadership as a Bitcoin-focused company.

Notably, billionaire investor Paul Tudor Jones has increased his exposure to Bitcoin. In the third quarter, he purchased $130 million worth of BlackRock’s spot Bitcoin ETF shares, bringing his total Bitcoin-related investments to $160 million. Jones views Bitcoin as a hedge against inflation, aligning with his broader investment approach amid economic uncertainty.

The long-term investors expect Bitcoin to go much higher. ARK Invest’s Cathie Wood said in an interview with CNBC that Bitcoin has “a long way to go.” Wood believes that a “regulatory relief” from the new United States administration would keep the momentum intact.

What are the important resistance levels in Bitcoin and altcoins that need to be crossed for the uptrend to continue? Let’s analyze the charts to find out.

S&P 500 Index (SPX) Market Analysis

The S&P 500 Index witnessed profit booking last week, pulling the price down to the 20-day exponential moving average (5,877).

Bulls usually buy the dips to the 20-day EMA in a strong uptrend. If the price rebounds off the 20-day EMA with strength, it will improve the prospects of the continuation of the up move. A break and close above 6,017 could open the doors for a rally to 6,221 and eventually to 6,500.

Contrarily, if the 20-day EMA gives way, the index could descend to the 50-day simple moving average (5,780). A break and close below the 50-day SMA could tilt the short-term advantage in favor of the bears.

US Dollar Index (DXY) Market Analysis

The US Dollar Index continued its scintillating run last week, indicating solid demand from the bulls.

The up move is expected to face solid selling in the 107 to 108 resistance zone. If the price continues lower and breaks below 106, it will signal booking profits by the bulls. The index could then decline to the 20-day EMA (105). Buyers will have to defend the 20-day EMA if they want to keep the bullish momentum intact.

On the upside, if buyers pierce the overhead resistance zone, it will signal the start of a new uptrend. The index could surge to 114 and then to the pattern target of 116.50. 

Bitcoin (BTC) Market Analysis

Bitcoin bulls are trying to resume the uptrend but are facing stiff resistance from the bears in the $92,000 to $93,265 zone.

The first support on the downside is the uptrend line. If this support is violated, the BTC/USDT pair could slump to $85,000. Buyers are expected to aggressively protect the $85,000 level because a break below it may sink the pair to the 20-day EMA ($81,772). The deeper the pullback, the longer the time it is likely to take for the next leg of the uptrend to begin.

If the price continues higher and breaks above $93,265, it will signal that the bullish momentum remains intact. The pair may travel to $100,000 and thereafter to $113,331.

Ether (ETH) Market Analysis

Ether is taking support at the 38.2% Fibonacci retracement level of $3,028, which is a positive sign.

The upsloping 20-day EMA ($2,953) and the RSI in the positive territory indicate advantage to buyers. If the bulls propel the price above $3,220, the ETH/USDT pair could retest the downtrend line. This level is expected to behave as a stiff resistance, but if the bulls overcome it, the pair may rise to $3,900.

Conversely, if the price turns down and breaks below the 20-day EMA, it will signal that the bulls are losing their grip. The pair may drop to $2,850 and then to the 50-day SMA ($2,664).

Solana (SOL) Price Analysis

Solana successfully held the retest of the breakout level of $210, indicating that the bulls have flipped the level into support.

The SOL/USDT pair started a new uptrend after breaking above $225 on Nov. 17. The pair could rally to $260, which may pose a substantial challenge to the bulls. However, if the buyers bulldoze their way through, the pair could skyrocket to $304.

Time is running out for the bears. If they want to prevent the upmove, they will have to swiftly pull the price back below $210. Such a move will indicate that the markets have rejected the breakout. The pair may tumble to the 50-day SMA ($171).

BNB Price Analysis

Buyers pushed the price above the $635 resistance on Nov. 17, but the bears held their ground. A minor positive is that the bulls have not allowed BNB to slide below the 20-day EMA ($609).

Buyers will again attempt to push and maintain the price above $635. If they manage to do that, the BNB/USDT pair could rise to $667. This level may act as a hurdle, but if the bulls clear it, the pair may ascend to $722.

Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, it will indicate that the bulls have given up. That may sink the pair to the 50-day SMA ($588) and then to the uptrend line.

XRP Price Analysis

XRP turned down from $1.27 on Nov. 17 but found support near the 38.2% Fibonacci retracement level of $0.97.

The bulls purchased the dip and are again trying to push the price above $1.27. If they succeed, the XRP/USDT pair could soar to $1.40 and subsequently to $1.70.

However, the recent rally has pushed the RSI deeply into the overbought territory. This suggests that the markets are overheated in the short term. That could result in a minor correction or consolidation for some time. If the price turns down from $1.27, the pair may fall to $1 and remain between these two levels for a few days. 

Dogecoin (DOGE) Price Analysis

Dogecoin has been taking support just above the 38.2% Fibonacci retracement level of $0.33.

The shallow pullback suggests the bulls expect the uptrend to continue. If buyers push the price above $0.39, the DOGE/USDT pair could jump to $0.44. This level may act as a barrier, but if the bulls overcome it, the pair could surge to $0.50 and later to $0.59.

This positive view will be invalidated in the near term if the price turns down and breaks below $0.32. The pair may tumble to the 20-day EMA ($0.28), which is expected to attract buyers.

Cardano (ADA) Price Analysis

Sellers tried to stall Cardano’s up move near $0.80 on Nov. 16, but the shallow pullback on Nov. 17 shows buying on every minor dip.

The bulls are again attempting to clear the overhead hurdle at $0.80. If they manage to do that, the ADA/USDT pair could start the next leg of the uptrend. The pair may rise to $1 and, after that, to $1.25.

Contrarily, if the price turns down from $0.80, it will signal that the bears are fiercely defending the level. Sellers will have to tug the price below $0.70 to start a deeper correction to $0.65 and then to the 20-day EMA ($0.54).

Shiba Inu (SHIB) Price Analysis

Shiba Inu has been sustaining above the 20-day EMA ($0.000022), but the bulls are struggling to start a strong rebound.

The first sign of strength will be a close above $0.000026. If that happens, the SHIB/USDT pair could climb to $0.000030. Sellers will pose a strong challenge at $0.000030, but if the bulls prevail, the pair will complete a bullish inverted head-and-shoulders pattern. The pair could rally to $0.000039 and then to $0.000047.

Alternatively, if the price turns down and breaks below the 20-day EMA, it will signal that the bulls are losing their grip. The pair may slump to the 50-day SMA ($0.000019).

Source – Rakesh Upadhyay