Top Crypto Analysis 8th Sep: BTC, ETH, BNB, XRP, ADA, DOGE, SOL, TON, DOT, MATIC
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Bitcoin remains stuck in a range, but certain altcoins are showing signs of breaking down soon.
The bulls tried to shake Bitcoin from its slumber on Sept. 7, but the rally was short-lived. This suggests a lack of clarity between the bulls and the bears about Bitcoin’s next directional move. Analyst CryptoCon said on X (formerly Twitter) that Bitcoin could remain in a “mid-cycle lull” until the next bull run in November 2024.
Along similar lines, ARK Invest said in a report that cryptocurrencies could continue to face headwinds in the remainder of 2023 due to several macroeconomic issues, such as interest rates, gross domestic product estimates, unemployment and inflation.
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Sept. In comparison, the bulls will follow the decision of the United States Securities and Exchange Commission on the various Bitcoin spot exchange-traded fund (ETF) applications. In addition to that, the race for a spot Ether. ETF also officially began on Sep. 6 with VanEck and ARK Invest filings. Bloomberg ETF analyst James Seyffart expects more Ether ETF filings to happen in the next few days.
Could Bitcoin’s range-bound action increase the selling pressure on altcoins? Let’s study the charts of the top 10 cryptocurrencies to find out.
Bitcoin price analysis
Bitcoin reached the 20-day exponential moving average (EMA) of $26,419 on Sept. 7, but the bulls could not overcome this obstacle. This suggests that the bears are fiercely guarding the 20-day EMA.
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However, the failure of the bears to challenge the crucial support at $24,800 suggests that selling dries up at lower levels. The relative strength index (RSI) is trying to form a positive divergence, indicating that the bearish momentum is weakening.
The first sign of strength will be a break and close above the 20-day EMA. That clears the path for a sustained recovery toward $28,143.
On the contrary, if the $24,800 support crumbles, the BTC/USDT pair could start a downtrend. There is minor support at $24,000, but it may not arrest the decline. The pair could eventually reach pivotal support at $20,000.
Ether price analysis
Ether continues to trade inside a narrow range between the 20-day EMA ($1,668) and the formidable support at $1,626.
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The failure of the bulls to clear the overhead hurdle at the 20-day EMA increases the risk of a breakdown. Below $1,626, the ETH/USDT pair could retest the Aug. 17 intraday low of $1,550. Buyers may purchase the dip to this level with vigour because if the support cracks, the pair could plunge to $1,368.
Time is running out for the Bulls. If they want to prevent the collapse, they will have first to drive the price above the 20-day EMA and thereafter attempt a rally to the 50-day simple moving average (SMA) of $1,762. That could increase the likelihood of the pair being range-bound between $2,000 and $1,626 for a few more days.
BNB price analysis
The bulls tried to push BNB above the breakdown of $220 on Sept. 6, but the bears did not relent. This indicates the sellers are trying to flip the $220 level into resistance.
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There is minor support at $211, but if bears pull the price below it, the BNB/USDT pair could reach the psychological level of $200. This level is likely to attract solid buying by the bulls. If the price rebounds off this support, it will indicate that the pair may consolidate between $200 and $220 for a while.
Contrary to this assumption, if the price turns up from the current level and rises above $220, it will suggest accumulation at lower levels. That could launch a recovery toward the downtrend line.
XRP price analysis
The bulls purchased XRP’s dip below $0.50 on Sept. 6, but the failure to start a strong rebound indicates a lack of demand at higher levels.
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The bears will try to strengthen their position further by yanking the price below $0.50. If they can pull it off, the XRP/USDT pair could nosedive to the next significant support at $0.41. This fall is likely swift, as there is no considerable support between $0.50 and $0.41.
On the contrary, if the price again turns up from the current level, it will suggest that the bulls try to flip $0.50 into support. A break above the 20-day EMA will indicate that the pair will likely oscillate between $0.50 and $0.56 for a while longer.
Cardano price analysis
Cardano formed a Doji candlestick pattern on Sept. 6 and again on Sept. 7, which shows indecision between the bulls and the bears.
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The downsloping 20-day EMA ($0.26) and the RSI in the negative territory enhance the prospects of a downside breakdown. If the price skids below $0.25, the ADA/USDT pair could drop to the critical support at $0.24.
On the upside, the bears have repeatedly halted the advance near the 20-day EMA, which becomes a critical level to watch out for. If bulls force the price above the 20-day EMA, the pair could reach the overhead resistance at $0.28.
Dogecoin price analysis
The bulls tried to shove Dogecoin above the 20-day EMA ($0.06) on Sept. 6, but the bears held their ground.
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The price remains stuck between the 20-day EMA and the horizontal support at $0.06. When the price trades inside a range, it is difficult to predict the direction of the breakout, but the downsloping 20-day EMA and the RSI near 40 signal an edge to the bears. Below $0.06, the DOGE/USDT pair could descend to $0.055.
This negative view will be invalidated soon if bulls kick and sustain the price above the 20-day EMA. Such a move will suggest the start of a more robust recovery to $0.07 and eventually to $0.08.
Solana price analysis
Solana has been gradually correcting inside the extensive range between $14 and $27.12. The bears have been selling the relief rallies to the 20-day EMA ($20.53), indicating that the sentiment remains negative.
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The repeated failure of the bulls to thrust the price above the 20-day EMA suggests that the path of least resistance is to the downside. If bears tug the price below the immediate support at $19, the SOL/USDT pair could slump to $18 and $16.
The bulls are likely to have other plans. They will try to push the price above the 20-day EMA. The pair may reach the overhead resistance at $22.30 if they succeed. This is an essential level for the bears to defend because a break above it could clear the path for a potential rally to $26.
Toncoin price analysis
Toncoin (TON) attempted a rebound on Sept. 6, but the long wick on the Sept. 7 candlestick shows that bears continue to sell on rallies.
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The 20-day EMA ($1.68) remains the critical level to keep an eye on in the short term. If the price rebounds off the 20-day EMA, the bulls will again attempt to drive the TON/USDT pair above the overhead resistance at $2.07.
Contrarily, if the price slips below the 20-day EMA, it will suggest that the traders are aggressively booking profits. The first stop on the downside is at the breakout level of $1.53 and then the 50-day SMA ($1.44).
Polkadot price analysis
The bears pulled Polkadot below the strong support at $4.22 on Sept. 6, but they could not sustain the lower levels, as seen from the long tail on the candlestick. This shows buying at lower levels.
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However, the bulls could not maintain the momentum and push the price to the 20-day EMA ($4.41). This shows that every minor rally is being sold into. The bears have returned the price to the critical support at $4.22. If this support crumbles, the DOT/USDT pair could fall to the psychological support at $4.
Bulls must propel the price above the 20-day EMA if they want to make a comeback. If they do that, the pair will likely climb to the downtrend line. This is the crucial level to watch because a break above it could signal that the downtrend is ending.
Polygon price analysis
Buyers tried to propel Polygon above the 20-day EMA ($0.56) for the past three days, but the bears held their ground. This suggests that traders are selling on minor rallies.
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The bears will try to pull the price below the immediate support at $0.53. If they manage to do that, the MATIC/USDT pair could plummet to the vital support at $0.50. The bulls are expected to protect this level with vigour because a break below it may open the gates for a further fall to $0.45.
The bulls must push and sustain the price above the 20-day EMA to suggest that the bearish pressure is reducing. That could start a recovery to $0.64, where the bears may again mount a strong defence.