While Bitcoin endures steadfast opposition at $31,000, underpinning macroeconomic characteristics might gradually give the bulls an edge. This bullish sentiment could receive a lift from the United States inflation report, showing signs of abating. Economists predicted a year-on-year consumer price index surge of 3.1%, but June’s print comes at a surprising 3%, suggesting that the Federal Reserve’s rate hikes might be having the desired effect. This could limit future rate hikes by the Fed, setting an intriguing stage for Bitcoin’s performance.
Macro-nourished, institutional investors appear to grow optimistic with regard to cryptocurrencies, Bitcoin most notably, as evidenced by a CoinShares report showing an inflow to digital investment products to the tune of $136 million in a single week. This puts the total three-week inflow at $470 million, cautiously implying a sunny outlook.
Notwithstanding, bears have a succinct opportunity to reassert control by pulling the price below $29,500. That could initiate a decline to the 50-day simple moving average of $28,312. On the flip side, Ethereum has been showing signs of resilience, bouncing off the 50-day SMA, suggesting that the bulls are stoutly securing this level. However, strong selling efforts from the bears are expected at the $2000 overhead resistance level.
Another fascinating take on major altcoins includes BNB, while the bullish and the bearish remain indecisive, forming a symmetrical triangle, setting the stage for a potential trend reversal. Meanwhile, Dogecoin struggles to rise above the 20-day EMA but doesn’t concede ground to the bears.
Solana faces resistance at $22.30, yet the bulls have primarily held their positions. This hints at an anticipated rally, backed by the upsloping 20-day EMA and the RSI in the overbought territory. The next leg of the up-move could be started by a break and close above $22.50.
Conversely, technical analysis of Litecoin suggests that buyers must surpass the barrier at the psychological level of $100 to signal the start of a sustained recovery. A failure to sustain the 20-day EMA may bring about a drop to the 50-day SMA of $89, perhaps delaying the next run.
In essence, the discourse on digitals assets, Bitcoin and altcoins, suggests a mixed potpourri of indicators. While certain coins show signs of bullish runs backed by optimistic macroeconomic factors, others suspend in an indecisive state, with the balance of strength to shift either way in a moment’s notice. A keen eye on market movements, aligned with a prudent investment strategy, continues to remain the guiding beacon for digital asset enthusiasts.
Source: Cointelegraph
