On Monday and Tuesday, the crypto market saw massive sell-offs fueled by the United States Securities and Exchange Commission’s move to charge two of the largest crypto exchanges, Coinbase and Binance. The good news is that most of the leading cryptocurrencies rebounded from crucial support levels on Wednesday, but it is still too early to tell if there could be a significant recovery in the short term.
Now let’s take a look at the price charts of some top cryptocurrencies.
Bitcoin Price Analysis
BTC rebounded at the $25,280 support level on Tuesday, signaling that the bulls found the price suitable for buying the dip. But the rally could come to an end if the price fails to go above the 20-day Exponential Moving (EMA) of $27,024. A reverse from this level could cause Bitcoin to retest $25,280 and potentially sink further to $20,600.
On the upside, if buyers thrust the coin above $27,024, a rally toward the 50-day Simple Moving Average (SMA) of $27,610 could be possible. In addition, Bitcoin may rally further to $31,050 if it breaks above the 50-day SMA.
Ethereum Price Analysis
ETH had been trading above the resistance line until Monday morning when the bears pulled the token below the 50-day SMA ($1,857) to trade at $1,839 as of this writing. However, despite the recent marketwide sell-offs, Ethereum did not reach the crucial support at $1,795. The bears’ current attempt is to sink the price to that level in order to open an opportunity for a further decline to $1,730.
Conversely, if Ethereum’s price crosses above the 50-day SMA, we may witness a short rally to $1,905.
BNB Price Analysis
BNB has been the most affected cryptocurrency among the leading ten. That’s because the Securities and Exchange Commission mentioned the token in its lawsuit against Binance, labeling it as security. BNB is of the few crypto assets that broke below strong support levels. The token is trading at $261 after the bulls failed to guard the $282 support level. This could encourage the bears to drive the price to the $245 and $220 support levels.
To stage a strong rally, buyers must first aim at thrusting BNB above $282. That could give room for an uptrend toward the 20-day EMA of $304.
XRP Price Analysis
While most top ten cryptocurrencies have recorded losses over the last seven days, XRP is up 3.42%. Traders bought the dip on Tuesday when the token reached the 20-day EMA of $0.492. It’s now changing hands for $0.519. We expect a sell-off at the $0.568 resistance level. But if that does not happen, XRP could rally to $0.641 and later to $0.083.
On the downside, breaking below $0.492 could drive the Ripple-issued token toward the $0.428 support level.
Cardano Price Analysis
ADA broke below the uptrend line on Tuesday, and until now, the bulls’ efforts to buy the dip to get the token inside the bullish setup have not been unsuccessful. Cardano is priced at $0.326 and could head toward the $0.307 support level if more selling pressure is applied.
On the positive side, if the bulls push the price above the 50-day SMA of $0.376, a rally to the $0.426 resistance level could become a reality.
Dogecoin Price Analysis
Bulls’ efforts to break DOGE’s price above the 20-day EMA of $0.071 failed again on Tuesday as the bears sold every rally. The meme coin is currently valued at $0.067. Sellers would now try to cause a further drop to the $0.062 support level. Achieving this may lead to Dogecoin going as low as $0.053.
Meanwhile, if the buyers push DOGE above $0.071, a rally to the first resistance at $0.082 is likely.
Polygon Price Analysis
Like BNB, MATIC also dropped below the crucial support of $0.826 on Tuesday. It was also labeled as security by the Securities and Exchange Commission. The token trades at $0.774 as of this writing. It may plummet to $0.694 if the bulls are unable to stage a recovery now.
On the upside, if MATIC’s price rises above $0.826, a short rally to $0.873 could be possible.
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