China has tried to stifle the growth of the crypto sector at various times over the past 12 years, but the long-term growth of the cryptocurrency has not changed as it has banned blankets in crypto-commerce, eliminating minor problems. It shows that no single country, even the world’s second largest economy, can stop the rise and growth of cryptocurrencies.
Deutsche Bank analyst Marion Labour said in an update on the bank’s website that Bitcoin (BTC) is likely to be “extremely volatile in the near future” because most people buy it for investment or speculation rather than using it as a medium of exchange.
However, Laboure believes that Bitcoin could become the “digital gold of the 21st century” and that this trend could continue for centuries without any major government control.
At Morningstar’s annual investment conference, Dennis Lynch, head of asset management at Counterpoint, compared Bitcoin to Kenny, a cartoon character from South Park. Lynch says: “I mean, like Kenny in Bitcoin’s South Park – he dies every episode and comes back again.”
As the impact of the China FUD diminishes, let’s study the lists of top-5 cryptocurrencies that could remain strong in the short term.
BTC / USDT
Bitcoin has again closed the 100-day simple moving average ($ 41,002), saying bulls are aggressively trying to defend this level. Bulls will now try to raise prices above the 20-day moving average ($ 45,178).
A 20-day EMA in the negative territory and a decrease in the Relative Strength Index (RSI) suggest that the bear has an upper hand. If prices fall below the 20-day EMA, the likelihood of a break below the 100-day SMA will increase.
Such a move would complete the bearish head and shoulder pattern, targeting $ 32,423.05.
To open the door to $ 52,920 for a possible rally, the bulls would have to push the price above the overhead resistance to $ 48,843 and hold on. A break above this level and a closed uptrend could signal a resumption.
The BTC / USDT pair witnessed a tough fight between bulls and bears near the neckline. The Bulls have pushed prices above the 20-EMA and will try to overcome the overhead barrier at পরবর্তী 45,200 next time.
If they can pull it off, the pair could rise to 49,000. Conversely, if prices fall below current levels, bears will try to pull prices below the critical support zone of $ 41,000 to $ 39,600. Violations of this region may indicate the onset of a downtrend.
AVAX / USDT
Avalanche (AVAX) is trading inside an ascending channel pattern. The long tail of today’s candlesticks indicates that bulls are aggressively buying dips at the 20-day EMA ($ 61).
RSI indicates benefits for buyers in the rising moving average and positive territory. The AVAX / USDT pair can now try the all-time high of. 79.80. This is an important level to watch because a break above it could signal a resumption of the uptrend.
This pair can then assemble at the resistance line of the channel and if this obstacle is exceeded the bullish speed may increase.
Conversely, if the price falls below the current level or overhead resistance and moves below 60.04, it would suggest starting a deep correction at the 50-day SMA ($ 45).
The pair has turned off the 100-SMA and the bulls are trying to keep prices above the 20-EMA. If they are able to do so, the pair could start its northward journey to $ 79.80 where the bears could build up tough resistance again.
On the downside, the critical level of viewing is the channel’s support line. A break below this support and closing would be the first indication that the bulls are losing their grip. If the price goes below 60 60.04, the decline could be $ 55.
Some / USDT
Algorand (ALGO) is trading below the 20-day EMA ($ 1.77) but the long tail of today’s candlestick says bulls are trying to maintain support at $ 1.51.
If the bulls drive and keep prices above the downtrend line, it would suggest that the short-term correction may be over. The ALGO / USDT pair could then be $ 2.15 and then $ 2.55.
Alternatively, if the price drops to 8 1.84, the pair could fall to $ 1.51 again. If the bulls maintain this support, the pair could be limited to between $ 1.84 and $ 1.51 for a few days.
A break below $ 1.51 would signal a potential change in the bearish trend. The pair could then slide into the next support at 1.15.
The pair is trying to bring back strong support at ১ 1.51 but the recovery is a moving average and then could again break the downtrend line.
If the price falls from the overhead resistance, it will indicate that the attitude remains negative and traders are selling at the relief rally. This would increase the likelihood of a break below $ 1.51.
This negative outlook will be negative if prices rise and remain above the downtrend line. The Bulls will make one more attempt to resume progress again.
Related: Derivatives data says Solana has reached a short-term peak
XTZ / USDT
The Tezos (XTZ) bounced back sharply from the breakout level to 47 47.47 on September 22, indicating aggressive buying on the dip. The bulls raised prices above the 20-day EMA (6.10) on September 23 and have held the level ever since.
The moving averages are becoming opaque and the RSI is in positive territory, saying bulls have upper hand. Buyers can challenge the overhead resistance zone from $ 8.03 to $ 8.42.
A breakout above this area and a close uptrend will signal the start of the next leg. The pair could then earn a psychological mark at 10.
Contrary to this assumption, if the price falls below the current level or overhead resistance and breaks below the 20-day EMA, the pair could fall to 4.47.
The pair is trying to close the 20-EMA, indicating that attitudes have been positive and traders are buying dips. The bulls will now try to push the price to হে 7.50 towards overhead resistance.
If this level is scaled, the pair could rise to 8.03 where bearish resistance is likely. If the bulls don’t give too much space from this resistance, the chances of a break above it will increase.
This bullish view will become invalid if prices fall and break below the moving average. Such a move could result in $ 5.50 and then drop to 47 4.47.
EGLD / USDT
Elrond (EGLD) surpassed the 50-day SMA (18 181) but failed to overcome the overhead barrier at 24 245.80. This suggests that bulls are buying with dives and bears are selling at gatherings.
The 20-day EMA ($ 220) has flattened and the RSI is just above the midpoint, indicating a balance between supply and demand.
Buyers are trying to keep the EGLD / USDT pair above the 20-day EMA. If they are able to do so, the bulls will try to push the pair above $ 245.80 again. If they manage to do this, the pair could rise to 303.03.
Conversely, if the bears lower prices from current levels, it is possible to re-examine the 50-day SMA. A break below this support and a close could open the door for further declines in the 100-day SMA ($ 132).
The pair has come out of the uptrend line, indicating that traders are buying with dives. The Bulls will now try to raise and keep prices above the downtrend line. If they succeed, the pair could resume and rally to $ 277.88 and then $ 303.03.
Contrary to this notion, if prices fall below the downtrend line, bears will try to take advantage by dragging prices below the uptrend line. Such a move could pave the way for a deeper correction.
The opinions and opinions expressed herein do not necessarily reflect the views of the author and of course Cointelegraph. With every investment and trading move involving risk, you should conduct your own research when making decisions.