Bitcoin (BTC) has seen a slight decline from its recent high of around $72,000, but the bulls are working hard to keep the price above $69,000. Despite failing to break through the overhead resistance, buyers are holding their ground.
According to data from Farside Investors, there has been approximately $1.7 billion in inflows into spot Bitcoin exchange-traded funds this week. This brings the total investments into spot Bitcoin ETFs to $15.5 billion as of June 6. The strong buying activity indicates that traders are confident that the upward trend will continue.
However, on June 7, Bitcoin experienced a drop which led to a decline in several altcoins as well. Trader Daan Crypto Trades noted that Bitcoin’s open interest decreased by $1.3 billion and Ether’s by $800 million during this fall. Despite this, investors seem unfazed. QCP Capital believes that Bitcoin and Ether are likely to establish local lows as the Federal Reserve’s future actions may benefit risk assets.
The question now is whether Bitcoin can maintain its position above $69,000 and begin a recovery. Will other altcoins follow suit? Let’s take a closer look at the top 5 cryptocurrencies that are showing strength on the charts.
Bitcoin Price Analysis
Bitcoin faced a sharp downturn from the minor resistance level of $72,000 on June 7, indicating continued bearish activity at higher levels. The pullback is currently finding support at the 20-day exponential moving average ($68,603), suggesting that bulls are still interested in buying on dips. If the price bounces off the 20-day EMA strongly, the bulls will aim to push the BTC/USDT pair towards the overhead resistance of $73,777. A successful break above this level could pave the way for a potential rally towards $80,000 and then $88,000.
On the flip side, a break below the 20-day EMA would signal a weakening bullish sentiment and could lead to a drop towards the 50-day simple moving average ($65,807).
Bitcoin has been trading in a range between $66,500 and $72,000 for some time now. The failure to break above the overhead resistance has triggered a retracement, with support being tested around $69,000. Buyers will need to push the price above the 20-EMA to increase the chances of a rally towards $72,000. A close below $68,420 could shift the advantage towards the bears, with a potential drop to strong support at $66,500.
BNB Price Analysis
BNB started a correction from $722 on June 6, indicating profit-taking by short-term traders. The key support to watch on the downside is the 20-day EMA ($639). If the price rebounds strongly from this level, it would indicate positive sentiment and increase the likelihood of an uptrend resumption towards the pattern target of $775.
However, if the price continues lower and breaks below the breakout level of $635, it could signal a reversal in the near term, potentially dragging the pair towards the uptrend line.
The bears managed to push the price below the 20-EMA but failed to extend the decline to the 50-SMA, indicating a lack of selling pressure at lower levels. Bulls will attempt to push the price back above the 20-EMA, with potential targets at $695 and $722. A rejection at the 20-EMA could lead to a drop towards the 50-SMA, a crucial support level to monitor.
Toncoin Price Analysis
Toncoin (TON) has struggled to sustain its position above the overhead resistance of $7.67, leading to profit-taking by short-term traders. The pullback is currently finding support at the 20-day EMA ($6.80). If the price bounces from this level, bulls will aim to break above $7.67 and potentially target $10.
Conversely, a breakdown below the 20-day EMA could signal a bearish momentum shift, potentially dragging the pair towards $6.
The 4-hour chart shows that TON/USDT slipped below the 50-SMA but found buying interest at lower levels. Bulls will try to push the price towards the overhead resistance of $7.67, with a break and close above this level indicating the start of a new uptrend. The uptrend line is a key support level to watch, as a breach could lead to a deeper correction towards $6 to $6.26.
Filecoin Price Analysis
Filecoin has been consolidating between $5 and $6.77, with bulls attempting to form a base. The recent attempt to break above the overhead resistance was met with strong selling pressure. However, buyers managed to hold the pullback at the moving average. A break above $6.77 could signal a new uptrend towards $8.54 and $9.35.
On the downside, a sharp rejection at the overhead resistance could lead to further range-bound trading.
The 4-hour chart indicates that the drop from $6.77 found support at the 50-SMA. Bulls will aim to push the price above $6.50 and retest the resistance at $6.77. Bears will attempt to push the price below the 50-SMA, potentially leading to a drop towards $5.60 and $5.48.
Injective Price Analysis
Injective has formed an ascending triangle pattern, with a breakout above $29.93 signaling a potential uptrend continuation. The 20-day EMA has started to turn upwards, and the RSI is in the positive zone, indicating a slight advantage for the bulls. A successful break above $29.93 could lead to a surge towards $36.50 and $41.74.
However, a breakdown below the support line could lead to a drop towards $18.
The 4-hour chart shows that the price briefly broke above $29.93 but faced selling pressure, indicating bearish activity at higher levels. Bulls will try to overcome the resistance zone between $29.93 and $31, with a successful break paving the way for a new uptrend. A drop below the 50-SMA could shift the advantage towards the bears.
Please note that this article does not offer investment advice or recommendations. It is important to conduct your own research before making any trading decisions as all investments involve risks.