The cryptocurrency market buzzes with activity. Investors are closely watching the Bitcoin price as it consolidates near key levels. This stability often sets the stage for broader market movements, particularly within the altcoin sector. Many analysts are now turning their attention to Ethereum, BNB, Chainlink, and Uniswap, which show promising signs of extending the current rally. Understanding these dynamics is crucial for anyone navigating the volatile crypto landscape.
Bitcoin Price Navigates Key Resistance
The Bitcoin price recently faced strong rejection near its all-time high of $123,218. This indicates that bears are actively defending this crucial resistance zone. Sellers successfully thwarted attempts by buyers to push BTC to a new all-time high on Monday. Consequently, this failure led to pullbacks in several altcoins. However, some have since bounced back sharply, demonstrating underlying market resilience.
Select analysts have expressed caution regarding BTC following Monday’s rejection. For instance, ZAYK Charts suggested on X that the Wyckoff method might indicate BTC has entered a distribution phase. A confirmation of this pattern could potentially sink the Bitcoin price toward $95,000. Therefore, traders remain vigilant for further price action. The flattish 20-day simple moving average ($116,779) points to a balance between supply and demand. Nevertheless, the Relative Strength Index (RSI) remains in positive territory, suggesting that momentum still favors the bulls.
If the price maintains above the 20-day SMA, bulls will likely attempt another push above $123,218. Should they succeed, the Bitcoin price could potentially skyrocket toward $135,000. Conversely, a drop below the 20-day SMA would signal profit-booking by short-term traders. This scenario could see the pair decline to the 50-day SMA ($114,366), indicating a possible range formation. Sellers must tug the price below $110,530 to seize control of the market. The pair has already bounced off the 20-SMA on the 4-hour chart. Upsloping moving averages and a positive RSI further indicate an advantage for buyers.
BTC/USDT daily chart. Source: StockPil/TradingView
If the $123,218 resistance breaks, the pair could soar to $127,735, then potentially to $135,000. However, sellers have different plans. They will try to pull the price back below the downtrend line. If this occurs, the Bitcoin price could range between $123,218 and $111,920 for some time.
Ethereum’s Surge and Institutional Demand
In comparison to Bitcoin’s consolidation, Ethereum (ETH) has shown remarkable strength. According to Farside Investors’ data, Spot ETH exchange-traded funds (ETFs) recorded their highest-ever net inflows on Monday, totaling an impressive $1.01 billion. This suggests robust institutional demand for Ethereum. Ether began its next leg of the uptrend on Tuesday after buyers successfully pushed the price above $4,366. This strong performance highlights growing confidence in the asset.
ETH/USDT daily chart. Source: StockPil/TradingView
Upsloping moving averages and an RSI in the overbought zone indicate that the path of least resistance remains upward. Buyers will likely strengthen their position by pushing the ETH/USDT pair toward $4,868. The $4,094 level serves as crucial support on the downside. A break and close below $4,094 would signal profit-booking at higher levels. Consequently, Ether’s price could then plunge to the 20-day SMA ($3,833). The recent pullback from $4,366 found support at the 20-SMA on the 4-hour chart, reinforcing positive sentiment. The pair could rally to $4,500, then to $4,868, where bears are expected to pose a substantial challenge.
A break and close below the 20-SMA could pull the pair to $4,094. Nevertheless, a solid bounce off $4,094 suggests bulls are attempting to flip this level into support. This increases the likelihood of the uptrend continuing. A deeper pullback would likely start if the $4,094 support cracks significantly.
BNB and Chainlink Eye Further Upside
BNB Price Prediction
BNB (BNB) has recently traded in a tight range between $792 and $827 for the past three days. This suggests indecision between bulls and bears. If the price breaks above $827, the BNB/USDT pair could surge to $861. Sellers are expected to fiercely defend the $861 level. However, if buyers bulldoze their way through, the BNB price could soar to $900. Bears must pull the price below the 20-day SMA ($787) to signal a deeper correction. This could lead to $761, and later to the strong support at $732.
BNB/USDT daily chart. Source: StockPil/TradingView
Buyers are expected to defend the $732 level with considerable might. A break below this point may signal a potential trend change for BNB. Both moving averages are sloping up on the 4-hour chart. However, the RSI shows signs of forming a bearish divergence in the near term. Sellers will gain the upper hand if they sink the BNB price below the 50-SMA. Conversely, a break and close above $827 signals the resumption of the upward move. The pair could then climb to the overhead resistance of $861, where bears are expected to step in.
Chainlink Price Prediction
Chainlink (LINK) picked up significant momentum after breaking above the $18 overhead resistance on Thursday. This indicates aggressive buying by bulls. Bears attempted to stall the upward move at $22.70. Nevertheless, bulls surpassed this resistance on Tuesday, demonstrating their strength. The LINK/USDT pair could surge to $27, where bears are expected to mount a strong defense. However, if buyers overcome the barrier at $27, the rally could extend to $30.
LINK/USDT daily chart. Source: StockPil/TradingView
This optimistic view will be negated if the price turns down sharply. A tumble below $20.83 could sink the Chainlink price to $20, and further down to the strong support at $18. The pullback recently bounced off the 20-SMA on the 4-hour chart. This indicates buying interest on every minor dip. Both moving averages are sloping up, and the RSI is in the overbought zone, indicating continued buyer control. The first support on the downside is the breakout level of $22.70, followed by $21. A break and close below $21 suggests bulls are rushing to exit. The next stop on the downside would be the 50-SMA.
Uniswap (UNI) Poised for Growth
Uniswap (UNI) bounced off the 50-day SMA ($9.05) on August 3. This indicates solid buying at lower levels. The upward move currently faces selling pressure at $12. However, a positive sign is that bulls have not ceded much ground to bears. This suggests that bulls anticipate the upward move to continue. If buyers drive the price above $12, the UNI/USDT pair could surge toward $15. The first support on the downside is at the 20-day SMA ($10.19). If this level cracks, the Uniswap price could drop to the 50-day SMA.
UNI/USDT daily chart. Source: StockPil/TradingView
A short-term trend change would be signaled if bears tug the pair below the 50-day SMA. The pair turned down from the $12 overhead resistance. Nevertheless, a positive sign is that bulls are trying to defend the 20-SMA on the 4-hour chart. Buyers will again attempt to drive the price above $12. If they succeed, the pair could rally to $14, and then to $15. Sellers are likely to have other plans. They will try to pull Uniswap’s price below the 50-SMA. If they do that, the pair could descend to $10, and later to $9.50. This scenario could signal a range formation between $8.50 and $12 for some time.
The cryptocurrency market remains dynamic, with Bitcoin price consolidation paving the way for potential altcoin surges. While Bitcoin navigates crucial resistance, Ethereum, BNB, Chainlink, and Uniswap demonstrate strong individual momentum. Investors should monitor key support and resistance levels closely. This analysis does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Frequently Asked Questions (FAQs)
What is the current outlook for Bitcoin price?
The Bitcoin price is currently consolidating near $118,000, facing strong resistance around $123,218. Bulls aim to break above this level, potentially targeting $135,000. However, a drop below $116,779 could signal a range-bound period or a deeper correction towards $95,000, according to some analyses.
Why is Ethereum showing such strong institutional demand?
Ethereum recently saw record Spot ETH ETF inflows of over $1 billion in a single day. This significant institutional interest is driven by factors like its robust ecosystem, upcoming developments, and increasing utility in DeFi and NFTs. Furthermore, the approval of Ethereum ETFs has opened new avenues for traditional investors.
What are the key price levels to watch for BNB?
BNB is trading in a tight range between $792 and $827. A breakout above $827 could see it target $861 and potentially $900. Conversely, a drop below the 20-day SMA ($787) or $732 could signal a deeper correction. The $732 level is crucial for bulls to defend.
Has Chainlink (LINK) broken out, and what are its targets?
Yes, Chainlink (LINK) recently broke above the $18 and $22.70 resistance levels, indicating aggressive buying. Bulls are now aiming for $27 and potentially $30. Key support levels to watch on the downside are $22.70, $21, and the 50-day SMA.
What factors could influence Uniswap (UNI)’s price movement?
Uniswap (UNI) bounced off its 50-day SMA, indicating strong buying at lower levels. The current resistance is at $12, with a potential rally to $15 if broken. Key supports include the 20-day SMA ($10.19) and the 50-day SMA. A break below these could signal a range formation between $8.50 and $12.
