Bitcoin’s recent pullback has resulted in net outflows from spot Bitcoin exchange-traded funds (ETFs) for four consecutive days, according to data from Farside Investors. However, a report by CryptoQuant suggests that the bull market for Bitcoin is not yet over, as short-term holders currently only account for 48% of investment, far from the typical 84%-92% seen at the end of a bull market.
The correction in Bitcoin’s price before the upcoming Bitcoin Halving is seen as a healthy sign for the long-term sustainability of the bull market. It allows weaker hands to exit and stronger hands to accumulate more positions. The question now is whether Bitcoin and altcoins will continue their correction or if it’s time for a recovery.
Looking at the charts, Bitcoin has rebounded strongly from the 38.2% Fibonacci retracement level of $61,736, indicating that traders see the dips as buying opportunities. The short-term outlook suggests a range-bound action, with resistance at $69,000 and support at $60,775. A consolidation near the high is a positive sign, as it shows that the bulls are holding their positions. A break above $69,000 could pave the way for a retest of the all-time high at $73,777.
Ether, on the other hand, has turned negative after failing to push above the 20-day exponential moving average (EMA). The sentiment has turned bearish, and sellers may attempt to break the 50-day SMA support, which could lead to a drop to $2,717. However, if the price rebounds from the 50-day SMA, it could indicate that the pair will remain between the moving averages. A break above $3,700 could signal a bullish momentum towards the overhead resistance at $4,100.
BNB has faced resistance near $590, with sellers attempting to sink the price below the 20-day EMA. If successful, the pair may drop to the breakout level of $460, where aggressive buying is expected. On the upside, a break above $590 could push the pair to the stiff overhead resistance at $645, and if surpassed, the uptrend may continue towards $692.
Solana has failed to clear the overhead resistance at $205, indicating bearish activity. If the price breaks below the 20-day EMA, it could signal an advantage for bears, with a potential drop to the strong support at $126. However, if the price turns up from the current level or the 20-day EMA, it could indicate continued buying by bulls, with a potential rise to $205 and further to $267.
XRP has shown buying at lower levels, bouncing off the uptrend line and rising above the 20-day EMA. A break above $0.67 could lead to a momentum pickup and a challenge of the resistance at $0.74, signaling the start of the next leg of the uptrend to $0.95. On the downside, a failure to maintain above the 20-day EMA could suggest attracting sellers, with a potential range-bound movement between $0.67 and the uptrend line.
Cardano has struggled to sustain the price above the 50-day SMA, with the 20-day EMA turning down and the RSI in negative territory. Sellers may attempt to sink the price below the $0.57 support, potentially leading to a drop to $0.53 and later to $0.46. However, a rebound from the $0.57 support could suggest defending by bulls, with another attempt to rise to the 20-day EMA. A break above $0.70 would indicate that the correction is over.
Dogecoin’s relief rally has shown solid buying at lower levels, with attempts to sustain above the 20-day EMA. A rise above $0.16 could challenge the overhead resistance at $0.19, while a break above $0.19 could pave the way for the next leg of the uptrend to $0.23. A failure to cross the resistance could result in a range-bound movement between $0.12 and $0.19.
Avalanche has managed to stay above the breakout level of $50, indicating an attempt to turn it into support. The rising 20-day EMA and positive RSI suggest that bulls have the edge, with a potential rise to the $62 to $65 resistance zone. If the price turns down from this zone, the pair may consolidate between $50 and $65. The uptrend could resume if the price overcomes the obstacle at $65, with a possible climb to $75.
Shiba Inu’s failure to break above the breakdown level of $0.000029 suggests selling by bears. The balance between supply and demand may tilt in favor of bulls if the price rises above the resistance line, potentially leading to a rise to $0.000035 and eventually to the strong resistance at $0.000039. However, if the price continues lower and breaks below $0.000023, the decline could extend to the 50-day SMA.
Finally, Toncoin is facing resistance from bears near $4.60, despite attempts by bulls to push the price higher. The upsloping 20-day EMA and RSI near the overbought zone suggest that bulls are in control. A break above $4.60 could lead to the next rally leg at $5.64. Conversely, a sharp downturn could find support at the 20-day EMA.
Please note that this article does not provide investment advice or recommendations. Readers should conduct their own research before making any decisions.