By Frank Martin (MoneyAmped.com)
Bitcoin rose to $123,000 at the start of the week, but increased profit-taking at that price has pulled the coin back to $118,434 as of this writing. The good news is that buyers are still defending the $115,000 major support level, suggesting an imminent resumption of the uptrend.
As short-term traders book profits, investors in Bitcoin ETFs (Exchange-Traded Funds) are pouring massive capital into these investment products. Data from Farside Investors shows that over $1.5 billion has been injected into ETFs since last Thursday.
Meanwhile, Strategy, the largest institutional BTC holder, continued its Bitcoin purchases on Monday, with a document submitted to the US Securities and Exchange Commission showing that the software company added 4,225 coins to its BTC treasury, which now holds 601,550 Bitcoin.
It is worth mentioning that BTC’s rally to $123,000 pushed its dominance in the crypto market to 66% before reversing to 63% at press time. Historically, an altcoin season begins after Bitcoin’s dominance touches and reverses from 70%. Popular crypto researcher Rekt Capital is optimistic that history will repeat itself when BTC reaches the said level.
So, where will Bitcoin likely meet resistance if it crosses $123,000? Let’s look at the charts to find out.
Bitcoin Price Analysis
BTC bulls overpowered the bears last week, thrusting the coin above the 20-day Exponential Moving Average of $111,842 to set a new all-time high. If this level and the support at $115,000 at not violated, Bitcoin’s chances of rising above $123,000 would surge significantly. As such, the next leg of the bullish run could be toward $150,000, where we anticipate profit booking.
Conversely, a fall below $115,000 could fuel bearish momentum, with sellers targeting the 50-day Simple Moving Average of $107,612.
Ethereum Price Analysis
Although the long-wicked candle on the daily timeframe suggests that bears are taking profits at higher prices, Ethereum has shown strength, rising to $3,172 at the time of publishing. With the $3,015 resistance flipped to a major support level, there is a good chance that ETH will rally to $3,389.
On the other hand, if Ether crosses below $3,015, it would mean that the bullish momentum is weakening. In that case, the bears might drag the coin below the $2,862 support and pull it toward the 20-day Exponential Moving Average of $2,708.
XRP Price Analysis
Sellers let their guard down on Friday, allowing buyers to thrust XRP above $2,65, a vital resistance level. The coin has now reached $2.95, a few cents away from reclaiming $3. If that happens, the bulls could push XRP further, targeting the $3.21 resistance and later $3.40, the all-time high.
From the bearish point of view, increased profit booking at $3 would put the $2.66 support at risk of collapsing, with the bears aiming to pull XRP toward the 20-day Exponential Moving Average of $2.46 and then to the 50-day Simple Moving Average of $2.27.
BNB Price Analysis
BNB, which marked its eighth anniversary on Monday, has failed to cross and remain above $700, suggesting rising selling pressure at higher prices. Nonetheless, the bulls have shown determination to maintain the coin above key support levels to improve their chances of triggering a rally to $730.
However, if the 20-day Exponential Moving Average of $667 gives way, we can assume that the bears have overpowered the bulls and are looking to force a move to the 50-day Simple Moving Average of $654.
Dogecoin Price Analysis
Like many other meme coins, Dogecoin has not attracted significant buyers in the latest market-wide rally as investors seem to be focused on utility tokens. However, renewed investor interest in DOGE could cause the $0.2178 resistance level to crumble, leading to a massive surge toward $0.30, a price last reached in January.
On the contrary, if the bears overpower the bulls at $0.2178, then we may witness a price correction toward the 20-day Exponential Moving Average of $0.1804 and later to the $0.16 support.
