The bulls are trying to get a strong weekly close for Bitcoin (BTC) while the bears are trying to regain their lead. Analysts are keeping a close eye on the 200-week moving average of $22,705, and the current BTC setup suggests a decisive move is imminent.

- Advertisement -

Many analysts expect a weekly close above the 200-week moving average to attract further buying, but a break below it could signal the bears are back in play. While the near-term picture looks uncertain, analyst Caleb Franzen said that Bitcoin has been in an accumulation zone since May.

Daily view of cryptocurrency market data. Source: Coin360
- Advertisement -

Meanwhile, analytics firm CryptoQuant highlighted an increase in ether (ETH) outflows from major exchanges, which totaled 1.87 million coins worth $1.87 million on July 22. coins to a safe place.

- Advertisement -

Can Bitcoin resume its recovery by attracting buyers in select altcoins? Let’s examine the charts of the top 5 cryptocurrencies that look strong on the charts.

Bitcoin/US dollar

On July 23, the bears tried to bring Bitcoin back into a symmetrical triangle, but the bulls had other plans. A bounce off a triangle breakout level indicates that buyers are aggressively defending this level.

BTC/USDT daily chart. Source: Trading View

Gradually rising 20-day exponential moving average ($21,865) and Relative Strength Index (RSI) in positive territory point to buying advantage.

If the bulls hold the price above the 50-day SMA ($22,384), BTC/USDT could rise to an upper resistance zone between $23,363 and $24,276. A break and close above this level could open the gate for a rally to the pattern target at $28,171 and then to $30,000.

Conversely, if the price breaks below the 20-day EMA, the pair could drop to the next support at $20,500.

BTC/USDT on the 4 hour chart. Source: Trading View

The pair has formed a falling wedge on the 4-hour chart. If buyers push the price above the wedge, the pair could retest $24,276. A break and close above this level could signal a resumption of the uptrend.

The 20-EMA is flat and the RSI is close to its midpoint, indicating a balance between supply and demand. If the price reverses to the downside and breaks the 50-SMA, the pair could drop to the support line of the wedge.

ETH/USDT

Ether is facing tough resistance at $1,700 but the positive sign is that buyers have not given up on their positions. Tight consolidation near the upper resistance level increases the likelihood of a break above it.

Daily ETH/USDT chart. Source: Trading View

The rising 20-day EMA ($1384) and the RSI in positive territory indicate that the bulls are gaining the upper hand. If buyers push the price above $1,700, the bullish momentum could increase and ETH/USDT could rise to $2,000 followed by a rally to $2,200.

Contrary to this assumption, if the price reverses from $1,700, the bears will try to drag the pair below the 20-day EMA. If they succeed, the pair could drop to $1,280. A bounce from this level could keep the pair in the $1,280 to $1,700 range for several days.

ETH/USDT, 4-hour chart. Source: Trading View

The pair bounced off the 50-SMA, indicating that bulls are buying on dips. Buyers will try to push the price towards the upper resistance at $1,700. Both moving averages are sloping up and the RSI is in positive territory, suggesting the path of least resistance is up.

If the bulls push the price above the $1,650 to $1,700 resistance zone, momentum could pick up and the pair could resume its uptrend. The bears will have to take the pair below $1,450 to reverse this positive outlook.

BCH/USDTB

Binance Coin (BCH) is trying to bottom after an extended downtrend. The price reversed down from the $135 upper resistance on July 20, but the positive sign is that the bulls have aggressively defended the 20-day EMA ($117).

BCH/USDT daily chart. Source: Trading View

Price action over the past few days has formed a rounding bottom pattern that will break out and close above $135. If this happens, it would mean that the BCH/USDT pair may have bottomed out at $95. The pair could then move up to the pattern target at $175 and then to $200.

Another possibility is that the pair may consolidate between the 20-day EMA and $135 for a while. A break below the 20-day EMA could tip the lead in favor of the bears.

BCH/USDT 4-hour chart. Source: Trading View

The bulls pushed the price above the resistance line on the 4-hour chart, opening the doors for a possible retest of the $135 level. Rising moving averages and RSI in positive territory indicate that the path of least resistance is up. If buyers push the price above $135, the pair could gain momentum and rise to $157.

Contrary to this assumption, if the price falls below the 20-EMA, the pair could drop to the 50-EMA and then to $117. A break below this level could tip the lead in favor of the bears.

Axie Infinity Draws a Giant Bearish Pattern – Will AXS Price Drop Another 95%?

AXS/USDT

Axie Infinity (AXS) is consolidating in a downtrend. This suggests that the bulls are trying to form a bottom.

Daily AXS/USDT chart. Source: Trading View

The 20-day EMA ($15.55) has flattened out and the RSI is in the positive zone, indicating a balance between supply and demand. This balance could turn in favor of the buyers if they push the price above the upper resistance level at $18.53. If this happens, AXS/USDT could start rising to $25.21 and then to $28.20.

Alternatively, if the price reverses from $18.53 and breaks through the moving averages, this would indicate that the pair could spend some more time inside the range. The bears will have to push the price below $11.85 to gain the upper hand.

AXS/USDT, 4-hour chart. Source: Trading View

The 4-hour chart shows that the price has reversed sharply lower from the upper resistance at $18.53, indicating aggressive bear selling. Now the sellers will try to pull the pair up to the 20-EMA. If the price bounces from this level, buyers will again try to overcome the upper resistance. If they manage to do this, it will indicate the beginning of a new move up.

Conversely, if the price breaks below the 20-EMA, the pair may slide to the 50-EMA. This is an important level to keep an eye on because if it breaks, the bullish momentum could weaken.

EOS/USDT

EOS broke above its moving averages on July 18 and completed a successful retest of the 20-day EMA ($1.05) on July 21.

EOS/USDT daily chart. Source: Trading View

The moving averages have completed a bullish crossover and the RSI is close to the overbought zone, indicating that the bulls have taken the upper hand. The price could rise to $1.46 where the bears could put up a strong defense.

If the EOS/USDT pair does not retreat from the $1.46 level, this will mean that traders are not dumping their positions. This could improve the prospects for a rally above $1.46. Such a move suggests a potential change in trend.

This positive view may be invalidated if the price reverses down from the current level and falls below the moving averages.

EOS/USDT on the 4 hour chart. Source: Trading View

Both moving averages are sloping up on the 4-hour chart, and the RSI is near the overbought zone, which indicates that the pair is in an uptrend.

The pair is facing resistance around $1.26 but the buyers are not giving up. This suggests that the bullish momentum remains strong. If the price rises and exceeds $1.26, the rally could reach $1.33 and then $1.46.

Contrary to this assumption, if the price drops below $1.20, the next stop could be at the 20-EMA. If this support also breaks, the decline could extend to the 50-SMA.

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