Bitcoin’s recent sideways movement has opened up opportunities for altcoins such as UNI, ARB, AAVE, and MKR to potentially experience upward movement. Despite attempts to break away from the range, Bitcoin remains under pressure from sellers. However, the fact that Bitcoin’s price has been maintained above $30,000 is a positive sign. Market observers are closely following the review process for spot Bitcoin ETF proposals, which could have an impact on market dynamics.
Altcoins are gaining attention as Bitcoin’s dominance falls below 50%. Traders are looking for potential trending moves in the short term and focusing on strong altcoins. Let’s analyze the charts of the top 5 cryptocurrencies that traders should keep an eye on in the coming days.
Bitcoin (BTC) Price Analysis:
Bitcoin’s price closed above $31,000 but quickly retreated below that level, indicating that bears are defending the zone between $31,000 and $32,400. A weakening bullish momentum is evident from the bearish divergence on the RSI. Bears will aim to push the price below the 20-day EMA to potentially target the 50-day SMA. Bulls need to sustain the price above $31,000 to trigger an upward move towards $32,400 and potentially $40,000.
Uniswap (UNI) Price Analysis:
UNI has shown support at the 20-day EMA during pullbacks, suggesting positive sentiment among traders. Bulls will attempt to push the price above immediate resistance at $6.16, which could lead to a rise towards $6.50 and $6.70. However, breaking below the 20-day EMA may indicate bearish pressure, with potential support levels at the 50-day SMA and $4.72.
Arbitrum (ARB) Price Analysis:
ARB has broken above a symmetrical triangle pattern, indicating bullish strength. There is potential for the price to surge towards $1.50 and $1.70 if minor resistance at $1.36 is overcome. A drop below the support line of the triangle could invalidate this positive view, potentially leading to a sharp decline to $0.90.
Aave (AAVE) Price Analysis:
Breaking out of a descending channel pattern, AAVE has formed a bullish trend. The rising 20-day EMA and positive RSI indicate that bulls are in control. A rally above $84.50 may lead to further gains towards $95. On the downside, a break below the 20-day EMA could signal weakening bullish momentum.
Maker (MKR) Price Analysis:
MKR has shown strong demand at lower levels after breaking above a downtrend line. Bulls aim to resume the upward move with resistance expected near $1,100. Clearing this hurdle may result in a surge towards $1,200. However, a downturn from $1,080 could suggest continued selling pressure by bears.
Disclaimer: This article does not provide investment advice or recommendations. Readers should conduct their own research before making any investment decisions. The views expressed here are the author’s alone and do not necessarily reflect the opinions of Cointelegraph.