Bitcoin and select altcoins turned down sharply on April 19 but a minor positive is that the bulls are trying to defend their respective support levels.
Price Analysis
Bitcoin (BTC) has been witnessing volatile moves in the past three days. The pick-up in volatility shows that the buyers and sellers are vying for supremacy.
Bitcoin recovered sharply on April 18 but gave back all the gains on April 19. The latest sell-off may have been triggered by the high inflation figures in the United Kingdom and the regulatory uncertainty in the United States. Profit booking was not limited to Bitcoin as most major altcoins also turned lower.
While a deep correction is possible, Glassnode said in its analysis on April 17 that several on-chain indicators are pointing toward the end of the bear market. If that is the case, the dips may be viewed as a buying opportunity by long-term investors.
What are the important support levels that are likely to be guarded by the bulls? Let’s study the charts of the top-10 cryptocurrencies to find out.
Bitcoin price analysis
Bitcoin is witnessing a keen battle between the bulls and the bears at the 20-day exponential moving average ($29,092). The bears are trying to sink the price below the 20-day EMA while the bulls are attempting to start a strong rebound.
If the price snaps back from the 20-day EMA, it will suggest that the sentiment remains positive and that traders are viewing the dips as a buying opportunity.
The bulls will then make one more attempt to overcome the resistance zone between $31,000 to $32,000. If they succeed, it will indicate the resumption of the uptrend. The BTC/USDT pair may then soar to $40,000.
The bears are likely to have other plans. If they tug the price below the 20-day EMA, the selling could accelerate and the pair may slump to $27,800 and subsequently to $26,500.
Ether price analysis
The bulls tried to resume the uptrend in Ether (ETH) on April 18 but the bears remained sellers near the overhead resistance at $2,200.
The ETH/USDT pair has pulled back to the 20-day EMA ($1,949), which is just below the psychological support of $2,000. This is an important support for the bulls to defend because a break and close above it may tilt the advantage in favor of the sellers. The pair may first collapse to $1,800 and later to $1,700.
Instead, if the price rebounds off the 20-day EMA, it will suggest that the bulls are trying to flip the $2,000 level into support. If they can pull it off, the pair may rally to $2,200. A break and close above this level will clear the path for a potential rally to $3,000.
BNB price analysis
Buyers defended the $338 level on April 17 and 18 but failed to push the price above the $350 resistance. That may have emboldened the bears who pulled BNB (BNB) to the 20-day EMA ($325) on April 19.
This is an important level to keep an eye on because if it cracks, the selling could intensify and the BNB/USDT pair may nosedive to the 200-day simple moving average ($294). This level is likely to attract solid buying by the bulls.
Another possibility is that the price turns up quickly from the 20-day EMA. If that happens, it will suggest that the bulls are buying the pullbacks. They will then make another attempt to kick the price above $350. If they can pull it off, the pair may shoot up to $400.
XRP price analysis
XRP (XRP) rebounded off the 20-day EMA ($0.50) on April 18 but the bulls could not clear the overhead hurdle at the resistance line.
The price turned down sharply on April 19 and collapsed below the 20-day EMA ($0.50). However, the long tail on the candlestick shows that the buyers are trying to arrest the decline at the 50% Fibonacci retracement level of $0.47.
Any attempt to recover is likely to face strong selling in the zone between the resistance line and $0.58. On the downside, a break below $0.47 could drag the XRP/USDT pair down to the 200-day SMA ($0.41). The bulls are likely to aggressively buy the dips to this level.
Cardano price analysis
Cardano (ADA) is in a pullback, which has reached the breakout level of the neckline of the inverse H&S pattern.
If the price snaps back from the neckline, it will suggest that the bulls have flipped the level into support. That will enhance the prospects of a break above $0.46. The ADA/USDT pair may then start its northward march toward the pattern target of $0.60. The $0.52 level may act as a resistance but it is likely to be crossed.
Contrary to this assumption, if bears pull the price below the neckline, it will suggest that the breakout may have been a bull trap. The pair may then tumble to the 200-day SMA ($0.35) where the bulls may step in to arrest the decline.
Dogecoin price analysis
Dogecoin (DOGE) had been gradually moving higher but the bulls hit a wall near the 61.8% Fibonacci retracement level of $0.10.
The bears pulled the price below the 20-day EMA ($0.09) but they could not sustain the lower levels. The bulls bought the dip and started a recovery as seen from the long tail on the April 19 candlestick.
If buyers maintain the buying pressure and push the price above $0.10, the DOGE/USDT pair could reach the crucial resistance at $0.11. Alternatively, a break below the 200-day SMA ($0.08) may keep the pair range-bound between $0.11 and $0.07 for some time.
Polygon price analysis
After trading near the resistance line of the symmetrical triangle pattern for a few days, Polygon (MATIC) turned down and reached the support line.
The flattening 20-day EMA ($1.13) and the RSI below 50 indicate that the bulls may be losing their grip. If the price breaks below the support line, it will tilt the short-term advantage in favor of the bears. The MATIC/USDT pair may then collapse to the 200-day SMA ($1) where the buyers are likely to mount a strong defense.
The first sign of strength will be a break and close above the resistance line. That could open the doors for a potential rally to $1.30.
Related: Can Bitcoin reclaim $30K? Watch these BTC price levels next
Solana price analysis
The failure of the bulls to drive Solana (SOL) above the $27.12 resistance may have attracted short-term bulls to book profits.
The SOL/USDT pair slipped below the 20-day EMA ($22.82) on April 19 but the long tail on the candlestick suggests that the bulls are trying to protect the level. If the price turns up from the current level, the buyers will again try to kick the pair above $27.12 and commence the journey toward $39.
On the other hand, if the price breaks below the 200-day SMA ($21.02), it will signal that the pair may consolidate between $27.12 and $15.28 for a few days.
Polkadot price analysis
Polkadot (DOT) bounced off the 20-day EMA ($6.49) on April 18 but the bears continued to defend the 61.8% Fibonacci retracement level of $6.85.
Strong selling by the bears yanked the price below the 20-day EMA on April 19 but the bulls are attempting to guard the uptrend line. If the price turns up from the uptrend line, the buyers will again try to resume the up-move and propel the DOT/USDT pair to the neckline of the inverse H&S pattern.
On the contrary, if the uptrend line gives way, the bears will try to sink the pair to $5.70. This is an important level to keep an eye on because below it, the pair could drop to $5.15.
Litecoin price analysis
Litecoin (LTC) rose above the immediate resistance of $96 on April 14 and reached $103 on April 18 but the bulls could not sustain the higher levels.
Aggressive profit-booking by the bears pulled the price back below the support at $96. This suggests that the bulls may be rushing to the exit. The selling could accelerate further if the price dips and sustains below the 20-day EMA ($94). The LTC/USDT pair could then extend its decline to $85.
Conversely, if the price turns up from the current level, it will suggest that bulls continue to accumulate at lower levels. The bulls will then again try to push the price to the stiff overhead resistance at $106.
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