Bitcoin (BTC) experienced a significant increase in price on May 20, although it remains within a range. Despite approaching overhead resistance, the inflow of funds into spot Bitcoin exchange-traded funds indicates continued buying activity. Farside Investor’s data reveals total inflows of $500 million into spot Bitcoin ETFs on May 20 and 21. However, some analysts express concern about Bitcoin’s short-term price action. John Bollinger, the creator of Bollinger Bands, suggests that Bitcoin may undergo a short-term consolidation or pullback. Material Indicators, a trading resource, alerts traders to a “clear” down signal that would invalidate the price above $71,500.
While Bitcoin awaits a breakout, attention is gradually shifting to Ether as the potential approval of spot Ether ETFs in the United States creates anticipation. Such approval is likely to boost sentiment in the cryptocurrency sector and potentially drive up the prices of select altcoins.
Now, let’s analyze the charts of the top 10 cryptocurrencies to determine if Bitcoin and major altcoins could surprise to the upside.
Bitcoin Price Analysis:
Bitcoin surpassed the $68,000 barrier on May 20, but failed to reach the overhead resistance at $73,777.
However, an encouraging sign is that the bulls are attempting to maintain the price above the psychological level of $70,000. If they succeed, the BTC/USDT pair may have another opportunity to reach $73,777. Should the bulls prevail, the pair could rally to $80,000 and then $84,000.
Conversely, a sharp downturn from the current level or the overhead resistance would indicate strong bearish defense of the $73,777 level. This suggests that consolidation may continue for a few more days.
Ether Price Analysis:
Ether (ETH) broke above the resistance line of a descending channel pattern on May 20, signaling a potential trend change.
The bulls further solidified their position by pushing the price above the $3,730 resistance. If buyers can sustain the price above this level, it indicates a surrender by the bears. In that case, the ETH/USDT pair may rally to $4,100, and if this level is cleared, the bulls will aim for $4,868.
However, if the price sharply declines and falls below $3,730, it suggests that the bears are still selling at higher levels. The pair may then slide to the 20-day EMA ($3,224).
BNB Price Analysis:
BNB turned upward from the support line of a symmetrical triangle pattern on May 20 and broke above the resistance line, indicating an advantage for the bulls.
The BNB/USDT pair reached the critical overhead resistance of $635 on May 21. Although this level is likely to pose a significant challenge, if the bulls hold their ground, it improves the chances of an upside breakout. A close above $635 could pave the way for a rally to $692.
On the downside, the crucial supports to monitor are the 20-day EMA ($590) and the support line. A break below these levels suggests that the pair may remain within the $495 to $635 range for a while longer.
Solana Price Analysis:
Solana rose above the immediate resistance of $185 on May 20, but failed to sustain the higher levels.
The price dipped below $185 on May 21, indicating that the bears have not given up. Nevertheless, the upsloping 20-day EMA ($161) and the positive RSI suggest that the path of least resistance is to the upside.
If buyers overcome the obstacle at $165, the SOL/USDT pair could retest the critical overhead resistance of $205. This bullish view would be invalidated if the price turns down and breaks below the moving averages.
XRP Price Analysis:
The bulls attempted to push XRP to the overhead resistance of $0.57 on May 21, but the long wick on the candlestick indicates selling pressure from bears.
If the price bounces off the moving averages, it suggests that the bulls are trying to establish support at that level. If successful, the prospects of a rally above the $0.57 resistance increase, and the XRP/USDT pair could surge toward $0.67.
However, if the price continues to decline and breaks below the 20-day EMA, it suggests that the bulls have given up. The pair may then drop to the support line, where the bulls will attempt to halt the decline.
Toncoin Price Analysis:
Toncoin attempted to rebound from the moving averages on May 20, but failed to maintain momentum.
The 20-day EMA has flattened out, and the RSI is near the midpoint, indicating that the TON/USDT pair may oscillate between $4.72 and $7.67 for some time. If the price rises above $6.73, the pair may reach the overhead resistance of $7.67.
Conversely, if the price continues to decline and breaks below the 50-day SMA, it suggests that bears have the upper hand in the short term. This could lead to a fall to $5.50 and later to $4.72.
Dogecoin Price Analysis:
Dogecoin is experiencing a tough battle between bulls and bears near the $0.17 level.
The 20-day EMA has started to turn up, and the RSI is in positive territory, indicating an advantage for buyers. If the bulls successfully maintain the price above $0.17, the DOGE/USDT pair is likely to accelerate toward $0.21.
The 20-day EMA is the crucial support to monitor on the downside. A decline below this level suggests that the pair may remain within the range for a while longer.
Cardano Price Analysis:
Cardano skyrocketed above the 50-day SMA on May 20, but failed to surpass the hurdle at $0.52.
The bears are attempting to push the price below the moving averages, but the bulls are expected to defend that level. If the price rebounds from the moving averages, the bulls will once again attempt to break above $0.52. If successful, the ADA/USDT pair may soar to the overhead resistance of $0.57.
However, if the price turns down and breaks below the moving averages, it suggests that bears remain active at higher levels. The pair may then drop to the support line.
Avalanche Price Analysis:
Avalanche turned up from the 20-day EMA on May 20 and surpassed the $40 overhead resistance on May 21.
The moving averages are on the verge of a bullish crossover, and the RSI is in positive territory, indicating an advantage for buyers. The AVAX/USDT pair may attempt a rally to the psychological resistance of $50. However, this level is likely to attract strong selling pressure from bears.
To prevent an upside breakout, bears will need to maintain the price below the 20-day EMA. This could trap aggressive bulls and result in long liquidation. The pair may then slump toward the $29 support.
Shiba Inu Price Analysis:
Shiba Inu surged above the resistance line of a symmetrical triangle pattern on May 20, but struggles to maintain momentum.
Bears are attempting to pull the price back into the triangle, indicating that the recent breakout may have been a false move. This could keep the price range-bound for some time.
However, if the price turns up from the current level and breaks above $0.000027, it suggests that lower levels are being bought. The SHIB/USDT pair could then rally to $0.000030.
It is important to note that this article does not provide investment advice or recommendations. All investment and trading decisions involve risks, and readers should conduct their own research before making any decisions.