Bitcoin and some altcoins fell sharply on April 19, but one small silver lining is that the bulls are trying to defend their respective support levels.
Bitcoin (BTC) has seen volatile movements in the past three days. The spike in volatility shows that buyers and sellers are vying for supremacy.
Bitcoin rallied sharply on April 18, but gave back all the gains on April 19. The latest sell-off may have been triggered by high inflation numbers in the UK and regulatory uncertainty in the US. The profit booking was not limited to Bitcoin, as most of the major altcoins were also down.
While a deep correction is possible, Glassnode said in its April 17 analysis that several on-chain indicators point towards the end of the bear market. If that’s the case, long-term investors may view dips as a buying opportunity.
What are the important support levels that the bulls are likely to protect? Let’s study the charts of the top 10 cryptocurrencies to find out.
Bitcoin Price Analysis
Bitcoin is seeing a tough battle between the bulls and the bears at the 20-day exponential moving average ($29,092). The bears try to sink the price below the 20-day EMA, while the bulls try to start a strong bounce.
If the price recovers from the 20 day EMA, it will suggest that sentiment remains positive and traders view dips as a buying opportunity.
Then the bulls will make one more attempt to break above the $31,000-$32,000 resistance zone. If they succeed, it will signal the resumption of the uptrend. The BTC/USDT pair can skyrocket to $40,000.
The bears likely have other plans. If they pull the price below the 20-day EMA, the selling could accelerate and the pair could drop to $27,800 and then $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 at $2,000. This is important support for bulls to defend because a breakout and close above it can tilt the advantage in favor of sellers. The pair can first crash to $1,800 and then to $1,700.
Instead, if the price bounces off the 20-day EMA, it will suggest that the bulls are trying to turn the $2,000 level into support. If they can pull it off, the pair can rally to $2,200. A break and close above this level will clear the way for a potential rally to $3,000.
BNB Price Analysis
The buyers defended the $338 level on April 17-18 but failed to push the price above the $350 resistance. That may have emboldened the bears leading BNB (BNB) to the 20-day EMA ($325) on April 19.
This is an important level to watch because if broken, the selling could intensify and the BNB/USDT pair could plummet 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 can rally rapidly 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 push the price above $350. If they can pull it off, the pair can shoot up to $400.
XRP Price Analysis
XRP (XRP) rallied from the 20-day EMA ($0.50) on April 18, but the bulls were unable to clear the upper 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 of the candle shows that the buyers are trying to stop the decline at the $0.47 50% Fibonacci retracement level.
Any recovery attempt is likely to be met with strong selling in the area between the resistance line and $0.58. On the downside, a break below $0.47 could drag the XRP/USDT pair to the 200-day SMA ($0.41). The bulls are likely to aggressively buy dips to this level.
Cardano Price Analysis
Cardano (ADA) is in a retracement, which has reached the breakout level of the neckline of the inverse H&S pattern.
If the price pulls back from the neckline, it will suggest that the bulls have changed the level to support. That will improve the prospects for a break above $0.46. The ADA/USDT pair can then begin its march north towards the $0.60 pattern target. The $0.52 level can act as resistance, but it is likely to be crossed.
Contrary to this assumption, if the bears push the price below the neckline, it will suggest that the breakout may have been a bull trap. The pair can then drop to the 200-day SMA ($0.35), where the bulls can step in to stop the slide.
Dogecoin Price Analysis
Dogecoin (DOGE) had been gradually moving higher, but the bulls hit a wall near the $0.10 61.8% Fibonacci retracement level.
The bears pulled the price below the 20-day EMA ($0.09), but were unable to sustain the lower levels. The bulls bought the dip and started a rally as seen in the long tail of the April 19 candle.
If the 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) can 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 lower and reached the support line.
The flattening of the 20-day EMA ($1.13) and the RSI below 50 indicate that the bulls may be losing control. If the price breaks below the support line, it will tip the short-term advantage in favor of the bears. The MATIC/USDT pair can then break down to the 200-day SMA ($1) where the buyers are likely to mount a strong defense.
The first sign of strength will be a breakout and close above the resistance line. That could open the doors for a potential rally to $1.30.
Solana Price Analysis
The failure of the bulls to push Solana (SOL) above the $27.12 resistance may have lured short-term bulls to book gains.
The SOL/USDT pair dipped below the 20-day EMA ($22.82) on April 19, but the long tail of the candle suggests that the bulls are trying to protect the level. If the price rises from the current level, the buyers will again try to push the pair above $27.12 and start the journey towards $39.
On the other hand, if the price dips below the 200-day SMA ($21.02), it will indicate 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 pushed the price below the 20-day EMA on April 19, but the bulls are trying to protect the uptrend line. If the price rises from the uptrend line, the buyers will try again to resume the move higher and drive the DOT/USDT pair to the neckline of the inverse H&S pattern.
Conversely, if the uptrend line gives way, the bears will try to sink the pair to $5.70. This is an important level to watch because below it, the pair could drop to $5.15.
Litecoin Price Analysis
Litecoin (LTC) broke above the immediate resistance of $96 on April 14 and reached $103 on April 18, but the bulls were unable to sustain the higher levels.
Aggressive profit booking by the bears pushed the price back below the support at $96. This suggests that the bulls may be racing to the exit. The selling could accelerate further if the price turns down and sustains below the 20-day EMA ($94). The LTC/USDT pair could extend its decline to $85.
Conversely, if the price rises from the current level, it will suggest that the bulls continue to accumulate at lower levels. The bulls will try again to push the price to the stiff overhead resistance of $106.
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