Bitcoin (BTC) has been trading in a tight range for the past three days, even though the S&P 500 has declined for the last four days of the week. This is a positive sign as it shows that crypto traders are not panicking and rushing to the exit.
Bitcoin supply appears to be gradually shifting into stronger hands. Analyst Cryptocon, citing data from Glassnode, said the supply of Bitcoin held by short-term Bitcoin holders (STH), or investors who have held the coin for 155 days or less, has increased by more than in over a decade. Said to be the least.
In the short term, uncertainty about Bitcoin’s next direction may be holding traders back. This could be one of the reasons why the price movements of some large altcoins have been subdued. However, it is not all negative overall. Some altcoins are showing signs of recovery in the short term.
Could Bitcoin come out of its slumber and start a bullish move in the short term? Will it act as a catalyst for the rise of altcoins? Let’s take a look at a chart of the top 5 cryptocurrencies that could see their fees even higher.
Bitcoin price analysis
Although the bulls managed to sustain the price above the 20-day exponential moving average ($26,523), they were unable to initiate a strong rebound. This indicates a lack of demand at higher levels.
A flat 20-day EMA and Relative Strength Index (RSI) near the midpoint indicate a state of equilibrium between buyers and sellers. A break below the 20-day EMA will shift the advantage in favor of the bears. Thereafter, the BTC/USDT pair could fall to the strong support at $24,800.
Alternatively, if the price rises from current levels and climbs above the 50-day simple moving average ($26,948), it would signal that buyers are back in the driver’s seat. Thereafter, the pair may attempt a rally to the overhead resistance level at $28,143.
Although BTC is trading below the moving average on the 4-hour chart, the bears have not been able to initiate a decline. This suggests that selling will dry up at lower levels. Bulls will try to push Bitcoin price above the moving averages. If that happens, the pair could rally to $27,400 and then $28,143.
If the bears want to take control, the BTC price needs to fall and sustain below $26,200. This could lead to a pullback first to $25,750 and then to the support at $24,800.
Chainlink price analysis
Chainlink (LINK) soared above the downtrend line on September 22nd, indicating a possible short-term trend change.
The moving averages have completed a bullish crossover and the RSI is in positive territory, indicating that buyers have the upper hand. If there is a correction, bulls are likely to buy the dip to the 20-day EMA ($6.55). A strong rebound from this level would signal a change in sentiment from selling on the uptrend to buying on the downtrend.
After that, the bulls will try to extend the rally to $8 and ultimately $8.50. If the bears want to halt the rally, the LINK/USDT pair needs to sink and sustain below the 20-day EMA.
On the 4-hour chart, both moving averages are rising and the RSI is in the positive zone. Bulls are buying the dip to the 20-EMA, indicating positive sentiment. If LINK price rebounds from the 20-EMA, $7.60 will be a notable upside target.
If, contrary to this assumption, Chainlink price continues to decline and dips below the 20-EMA, it will signal profit-taking by the bulls. LINK may then retest the breakout level from the downtrend line. The bears will need to drop below $6.60 to regain control.
Manufacturer price analysis
Manufacturer (MKR) broke back from the overhead resistance at $1,370 on September 21, indicating that the bears are attempting to defend that level.
The 20-day EMA ($1,226) provides support on the downside. If the price rebounds from this level, it would suggest that lower levels continue to attract buyers. The bulls will then make another attempt to push MK price above the overhead resistance. If it is successful, the MKR/USDT pair could accelerate towards $1,759.
On the other hand, if the bears push the price below the 20-day EMA, it would signal that bullish momentum has weakened. This could keep the price in the $980-$1,370 range for several days.
The moving average on the 4-hour chart has flattened and the RSI is just below the midpoint, indicating that supply and demand are in balance. If buyers push the price above $1,306, MKR price could surge towards $1,370.
Rather, if the price declines below $1,264, it would signal increased selling pressure. This could pave the way for further decline to $1,225. A break below this support could tilt the short-term advantage in favor of the bears.
arbitrage price analysis
Arbitrum (ARB) is on a downward trend. The bears are selling on the pullback to the 20-day EMA ($0.85), but the positive sign is that the bulls are not conceding much. This suggests that the bulls are looking to maintain their positions in anticipation of an upswing.
The RSI is above 40, indicating that momentum is gradually turning positive. If buyers push the price above the 20-day EMA, it would signal the beginning of a sustained recovery. The ARB/USDT pair could initially rise to the 50-day SMA ($0.95) and then rise to $1.04.
Downside support is $0.80 and then $0.78. Sellers will need to push the ARB price below this zone to make room for a retest of the support near $0.74. A break below this level signals a resumption of the downtrend.
The 4-hour chart shows that the bears are selling the bulls to the downtrend line. Although the bears pushed the price below the moving average, they were unable to push the ARB price below the immediate support at $0.81. This suggests that the bulls are attempting to form higher lows.
Buyers will once again try to push the price above the downtrend line. If it is successful, Arbitrum price is likely to start a strong recovery towards the psychological level of $1. On the other hand, if it falls below $0.81, the ARB price could fall to $0.78 and then to $0.74.
Theta Network Price Analysis
Theta Network (THETA) soared above the 20-day EMA ($0.61) on September 23, indicating that the bulls are absorbing supply and trying to make a comeback.
The bears have pushed the price below the 50-day SMA ($0.64), while the bulls are expected to defend the 20-day EMA. If THETA price rises from current levels and breaks above the 50-day SMA, a retest of $0.70 will become more likely.
If this expands, the THETA/USDT pair could reach $0.76, so this is an important level to watch. This positive view will be invalidated in the short-term if the price declines and breaks below the 20-day EMA. This opens the door to a possible retest of $0.57.
The 4-hour chart shows that the bears are holding the overhead resistance at $0.65. If buyers want to maintain the bullish momentum, THETA price should rise above $0.65. If this happens, the pair is likely to start a new rally towards $0.70.
The 20-day EMA is an important support to watch on the downside. If the bears drop the price below this support, it would indicate that the bulls are closing out their positions. After that, the pair may fall towards the support at $0.58.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk and readers should conduct their own research when making decisions.
