Bitcoin’s (BTC) volatility has further decreased this week, and the cryptocurrency is on track to form an inside-bar pattern on the weekly chart. Bulls have struggled to overcome the $30,000 to $31,000 resistance zone, yet they have maintained their ground against bears, indicating a balanced market scenario. This state of uncertainty isn’t just limited to cryptocurrencies; the S&P 500 Index has also been range-bound over the past several days, suggesting that markets are awaiting a decisive trigger for the next directional move.
Despite the short-term uncertainty, some analysts predict a positive long-term outlook. Trader Titan of Crypto highlights a potential signal on the Bollinger Bands monthly chart, projecting a rally up to $63,500 in about a year. While many major cryptocurrencies have lost ground over the past week, there are pockets of strength that show promise for a short-term turnaround.
A minor positive for Bitcoin is that bulls have been buying the dips to the support line of the triangle, as indicated by the long tail on the day’s candlestick. If Bitcoin breaks above the triangle, it could suggest that the bulls have absorbed the supply and initiate a rally to $32,400 – a level where bears are again expected to mount a strong defense. On the contrary, a break below the triangle would suggest bears are taking control, and the BTC price could fall to $26,942 and then $25,250.
Ether (ETH) faced strong rejection above the psychological resistance level of $2,000 on May 7, indicating that bears are not yet willing to let go of the overhead resistance. ETH could remain range-bound in the near term, with boundaries between $2,000 and $1,785. A consolidation just below the local high is a positive indicator, suggesting bulls are reluctant to book profits and increasing the possibility of a break above $2,200. However, a price drop below $1,785 would indicate that bears have seized control, potentially starting a fall to $1,619.
Monero (XMR) is attempting to stay above moving averages, which could signal a comeback for the bulls. If XMR’s price breaks above the neckline of the inverse head and shoulders pattern, the advantage may tilt in the bulls’ favor, resulting in a new up-move with resistance at $181 and $187. If the price turns down or faces resistance at the neckline, it could signal bearish activity at higher levels, pushing the price down to $130.
OKB (OKB) is trading within a large symmetrical triangle pattern, where traders typically buy near the support line and sell near the resistance. If buyers can push the price above the 20-day exponential moving average ($46.87), the OKB price might extend its stay within the triangle. Contrarily, if bears lower the price below the triangle, it could hint at a reversal pattern, starting a new downtrend with a potential target of $37.
Rocket Pool (RPL) exhibits a strong performance, with bulls buying on dips and prices maintaining above moving averages. The bulls must push the price above the $53.45 resistance level, signaling that the corrective phase could be over and that the RPL price may rise to $58. However, if the price turns down from $53.45, it might start a range-bound action between the 50-day simple moving average ($46.13) and $53.45 for some time. A break and close below the 50-day SMA would indicate bearish control, opening the doors for a potential decline to $37.
Source: Cointelegraph
