The US labor market added 528,000 jobs in July, much better than the estimate of 258,000. Wages rose 5.2% year-on-year and 0.5% mom. This suggests that inflation remains high and the US Federal Reserve may continue raising rates in the near future.

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By staying in close touch with the US stock markets over the past few months, the crypto space may be ready to chart a new course.

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Bloomberg Intelligence Senior Commodity Strategist Mike McGlone and Senior Market Structure Analyst Jamie Cutts said in a recent report that Bitcoin (BTC) has begun a base build similar to that seen around $5,000 in 2018-2019. They expect the recovery to be non-equity and more like “US Treasuries or gold.”

Daily indicators of the cryptocurrency market. Source: Coin360
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Although the prices of cryptocurrencies fell sharply during the ongoing bear market, this did not affect the appetite of investors. A report from analytics firm Messari and Dove Metrics revealed that the crypto space raised $30.3 billion in 2022, more than the total raised in 2021.

Can Bitcoin continue its recovery or will bears become a major problem at higher levels? Let’s examine the charts of the top 10 cryptocurrencies to find out.

Bitcoin/US dollar

The bears pushed the price below the 20-day exponential moving average ($22,630) on August 4 but failed to hold on to the lower levels. This indicates that the bulls are aggressively defending the level.

BTC/USDT daily chart. Source: Trading View

Gradually rising 20-day EMA and Relative Strength Index (RSI) in positive territory indicate a slight advantage of buyers. If the price rises above the 20-day EMA, the bulls will try to push the BTC/USDT pair towards the upper resistance at $24,668.

This is an important level to keep an eye on because if the price breaks above $24,668, the pair could gain momentum and rise to $28,000 and then to $32,000. Such a move would mean that the pair may have bottomed out.

Contrary to this assumption, if the price turns down from the current level or upper resistance level and breaks the 20-day EMA, this will mean that the bears continue to sell on small advances. This could open the doors for a fall to the 50-day SMA ($21,388).

ETH/USDT

Ether (ETH) has been trading between the 20-day EMA ($1,560) and the $1,700 resistance for the past four days. Typically, a narrow range trade is followed by a range extension.

Daily ETH/USDT chart. Source: Trading View

The rising 20-day EMA and RSI in the positive zone indicate the advantage of buyers. A break and close above the upper resistance zone between $1,700 and $1,785 could open the doors for a possible upside to $2,000 and then to $2,200.

Alternatively, if the ETH/USDT pair reverses down from the current level and breaks the 20-day EMA, this would mean that the bears continue to defend the upper zone with all their might. This could lead to a decline to strong support at $1280.

BNB/USDT

Binance Coin (BNB) bounced off the $275 support on August 2 and broke the $302 immediate resistance on August 3. This indicates a resumption of upward movement.

BNB/USDT daily chart. Source: Trading View

The rising 20-day EMA ($277) and the RSI in the overbought zone indicate that the bulls are in control. The BNB/USDT pair could rise to tough resistance at $350. This level is likely to attract strong selling from the bears.

To negate this bullish point of view, the bears will have to drop and keep the price below the 20-day EMA. If this happens, short-term traders may rush to exit, which could see the pair drop to the 50-day SMA ($246).

XRP/USDT

Buyers have successfully held the 20-day EMA support ($0.36) in the past few days but have failed to achieve a strong rebound for XRP. This suggests that the bears are selling on the rally.

Daily XRP/USDT chart. Source: Trading View

The XRP/USDT pair could get stuck between the 20-day EMA and the upper resistance zone between $0.39 and $0.41. If the bulls break the upper hurdle, the positive momentum could pick up and the pair could rise to $0.48 and then to $0.54.

Alternatively, if the price turns down and breaks the 20-day EMA, this would mean that demand has dried up. This could take the pair down to the 50-day SMA ($0.34) and keep the pair in the $0.30 to $0.39 range for a few more days.

ADA/USDT

The bears have repeatedly tried to take Cardano (ADA) below the 20-day EMA ($0.50) over the past three days, but the bulls have held their ground.

Daily ADA/USDT chart. Source: Trading View

The ADA/USDT has rebounded from the 20-day EMA and buyers will look to push the price above the upper resistance level at $0.55. If they manage to do so, the bullish momentum could pick up and the pair could rise to $0.63 and then to $0.70.

Alternatively, if the price reverses down from the upper resistance, this would indicate that the bears are active at higher levels. Then the sellers will again try to push the price below the moving averages and keep the pair in the $0.40 to $0.55 range for some more time.

SOL/USDT

The bears tried to take the price below the support line on August 3, but the bulls successfully defended this level. Solana (SOL) formed an intraday candlestick pattern on August 4, which resolved up on August 5.

SOL/USDT daily chart. Source: Trading View

If buyers hold the price above the 20-day EMA ($40), SOL/USDT could rise to $44 and then retest the tight upper resistance at $48. The bulls will have to overcome this hurdle to signal the formation of an ascending triangle pattern. This bullish setup has a target target of $71.

Contrary to this assumption, if the price turns down and breaks the support line, the bullish setup will be invalidated. The pair could then slide to strong support at $31.

DOGE/USDT

Dogecoin (DOGE) bounced off the 50-day SMA ($0.07) on August 4, and the bulls continued to rise above the 20-day EMA ($0.07) on August 5.

Daily DOGE/USDT chart. Source: Trading View

The bulls will try to push the price towards the upper resistance at $0.08. This is an important bear protection level because a break and close above it will complete the ascending triangle pattern. The DOGE/USDT pair could then start moving higher to $0.10 and then to the pattern target at $0.11.

On the other hand, if the price deviates from the current level and breaks the 50-day SMA, this will mean that the bears are selling on the rally. The pair may then fall to the support line of the triangle. A break below this level could negate a bullish setup.

Bitcoin fails to outperform $23.4k sellers as US payrolls flip the inflation debate

POINT/USDT

Polkadot (DOT) rebounded from the 20-day EMA ($7.78) on August 3, indicating lower demand. Buyers will try to push the price towards the upper resistance zone between $9 and $9.21.

DOT/USDT daily chart. Source: Trading View

If the bulls get past this hurdle, DOT/USDT could gain momentum and move north towards $10.80 and then $12. The rising 20-day EMA and the RSI in the positive zone indicate that the buyers are in control.

To negate this bullish point of view, the bears will have to sell aggressively and take the pair below the moving averages. If this happens, the pair may still be stuck in the $6 to $9 range for some time.

MATIC/USDT

Buyers successfully held Polygon (MATIC) above the 20-day EMA ($0.85) during the correction, suggesting a change in sentiment from selling on the ups to buying on the downs.

Daily MATIC/USDT chart. Source: Trading View

Both moving averages are sloping up and the RSI is in positive territory, indicating that buyers are in the lead. If the bulls push the price above the upper resistance at $1.02, MATIC/USDT could rise to $1.26 and then to $1.50.

Conversely, if the price turns down and breaks the 20-day EMA, this will mean that the pair may remain in the $0.75 to $1 range for some time. Sellers will gain the upper hand on a break below $0.75.

AVAX/USDT

Avalanche (AVAX) has bounced off the 20-day EMA ($22.86), indicating that bulls are buying dips in this support.

AVAX/USDT daily chart. Source: Trading View

Buyers will push the price towards the hard upper resistance at $26.38. Gradually rising 20-day EMA and RSI in positive territory indicate buying advantage. If the bulls push the price above $26.38, the AVAX/USDT pair will form a bullish ascending triangle pattern. The pair could then go up to $33 and then to $38.

Contrary to this assumption, if the price reverses from the upper resistance and breaks the 20-day EMA, the pair may drop to the support line.

Market data provided HitBTC exchange.

The views and opinions expressed here are solely those of the author and do not necessarily reflect those of Cryptooshala.com. Every investment and trading step involves risk, you should do your own research when making a decision.