Latest Market Overview 20th Nov: BTC, SOL, NEAR, THETA

The Bitcoin market price is trading within a range, while other cryptocurrencies like SOL, LINK, NEAR, and THETA are trying to catch up.

Bitcoin has been in a consolidation phase above $35,000 for several days. However, it has struggled to break above the $38,000 mark, indicating some reluctance among buyers to enter at higher price levels. BitGo CEO Mike Belshe, during a recent interview with Bloomberg, expressed the likelihood of further rejections of spot Bitcoin exchange-traded fund (ETF) applications before eventual approval.

Many analysts think Bitcoin may experience a correction shortly, with the most pessimistic scenario foreseeing a drop to $30,000. Nevertheless, this potential decline is not expected to trigger a bear market. According to Philip Swift, the creator of Look Into Bitcoin, on-chain data suggests that the Bitcoin bull market is still in its early phases, as there is no widespread fear of missing out (FOMO).

As Bitcoin takes a breather, several altcoins have witnessed a pullback, but some show signs of resuming their uptrends. Fidelity and BlackRock’s applications for a spot Ether ETF show strong demand for investment in select altcoins.

Could Bitcoin stay above $35,000 over the next few days? Is it time for altcoins to start the next leg of their up-move? Let’s look at the charts of the top five cryptocurrencies that may rise in the short term.

Bitcoin (BTC) price analysis

Bitcoin faces stiff resistance near $38,000, but a positive sign is that the bulls have not allowed the price to dip below the 20-day exponential moving average (EMA) at $35,666.

The upsloping moving averages and the positive zone’s relative strength index (RSI) indicate that bulls have the upper hand. If the price rebounds off the 20-day EMA, the bulls will make one more attempt to overcome the roadblock at $38,000.

If they succeed, the BTC/USDT pair may reach $40,000. This level may witness aggressive selling by the bears, but if buyers bulldoze their way through, the rally could eventually touch $48,000.

The first sign of weakness will be a close below the 20-day EMA. That will indicate the possibility of a range-bound action in the near term. The pair may remain stuck between $34,800 and $38,000. A break below $34,800 could clear the path for a decline to $32,400.

The 4-hour chart shows the price is between $38,000 and $34,800. Both moving averages have flattened out, and the RSI is near the midpoint, indicating that the range-bound action may continue for some more time.

A tight consolidation near the 52-week high is a positive sign as it shows that the bulls are not quickly closing their positions. That increases the likelihood of an upside breakout. If that happens, the pair may resume the uptrend. The short-term trend will favour the bears on a break below $34,800.

Solana (SOL) price analysis

Solana fell below the breakout level of $59 on Nov. 16, but the bears could not capitalise on this advantage. This indicates that selling dries up at lower levels.

The bulls are again trying to propel the price back above $59. If they do that, it will indicate that the markets have rejected the lower levels. The SOL/USDT pair may then climb to $68.20. If this level is scaled, the pair may resume the uptrend. The next target on the upside is $77 and subsequently $95.

This bullish move will be invalidated if the price turns down and plummets below $48. That could start a steeper correction to the 50-day simple moving average (SMA) at $35.47. The deeper the fall, the longer the time it will take for the next leg of the uptrend to begin.

The 20-EMA is flattening out, and the RSI is just above the midpoint, indicating a balance between supply and demand. If buyers shove the price above $64, the pair may challenge the local high at $68.20.

On the other hand, if the price turns down and breaks below $54, it will suggest that the Bears are back in the game. The pair may plunge to $51 and eventually to the strong support at $48. A break below this level will tilt the advantage in favour of the Bears.

Chainlink (LINK) price analysis

Chainlink’s pullback is finding support at the 20-day EMA ($13.42), indicating that lower levels continue to attract buyers.

The bulls will try to push the price to the local high of $16.60. This level may witness a tough battle between the bulls and the bears, but if this barrier is overcome, the LINK/USDT pair could start the next leg of the uptrend to $20.

Instead, if the price turns down from $15.38, it will indicate that bears are selling on rallies. They will then try to sink the price below the 61.8% Fibonacci retracement level of $13.55. If they do that, the pair may tumble to the 50-day SMA ($10.54).

The pair has declined in a descending channel pattern for the past few days. Generally, traders sell near the channel’s resistance line, which is what they do. If the price skids below $13.36, it will open the doors for a fall to the support line.

Contrarily, if buyers kick the price above the channel, it will suggest that the correction may be over. The pair may first rise to $15.38 and subsequently to $16.60. The flattish 20-EMA and the RSI near the midpoint do not give a clear advantage to the bulls or the bears.

Near Protocol price analysis

Near Protocol rose and closed above the formidable resistance of $1.72 on Nov. 17. This move indicates a potential trend change in the short term.

The rising 20-day EMA ($1.58) and the RSI in the positive zone indicate that the bulls are in charge. There is a minor resistance at $2. If this obstacle is cleared, the NEAR/USDT pair may rise to $2.40.

Meanwhile, the bears are likely to have other plans. They will try to pull the price back below the breakout level of $1.72 and trap the aggressive bulls. The pair may then fall to the 20-day EMA. This remains the critical level to watch out for because a drop below it will indicate that the sellers are back in the game.

The pair has been sustaining above the breakout level of $1.72, but the bulls have failed to start a strong up-move. This suggests that the bears have not given up and are trying to pull the price back below $1.72.

If they pull it off, the price may drop to $1.60. If this level gives way, several stops may get triggered. The pair may then tumble to $1.45 and, after that, to $1.28. Contrarily, if buyers shove the price above $1.95, the pair may start its march toward $2.10.

Theta Network price analysis

Theta Network is finding support at the 20-day EMA ($0.88) after going through a correction in the past few days. This indicates that the sentiment remains positive, and traders view the dips as a buying opportunity.

The rebound off the 20-day EMA is likely to face resistance at the psychological level of $1. If this level is conquered, the THETA/USDT pair could pick up momentum and rise to $1.05 and later to $1.20. This level may again act as a substantial hurdle, but if cleared, the pair may soar to $1.33.

Bears must quickly pull the price back below the 20-day EMA if they want to prevent the rally. That will indicate that the bulls may be rushing to the exit. The pair may then start a deeper correction to the 50-day SMA ($0.72).

The pair has been correcting inside a falling wedge, which usually acts as a bullish setup. Buyers must break and sustain the price above the wedge to signal strength. The pair may rise to $1.05 and retest the resistance at $1.20.

On the contrary, if the price turns down from the resistance line, it will suggest that the pair may remain stuck inside the wedge for some more time. The sentiment is likely to turn bearish on a slide below the wedge.

Source – Rakesh Upadhyay