Rakesh Upadhyay5 hours agoPrice analysis 3/6: BTC, ETH, BNB, SOL, XRP, ADA, DOGE, SHIB, AVAX, DOTThe sharp recovery in Bitcoin and Ether shows that the bulls remain in control, and every dip is being viewed as a buying opportunity.3458 Total views5 Total sharesListen to article 0:00Price AnalysisOwn this piece of crypto historyCollect this article as NFTJoin us on social networksBitcoin (BTC) made a new high above $69,200 on March 5 but then succumbed to massive selling, which pulled the price below $60,000. This capitulation caused $1.17 billion in cross-crypto liquidations, according to monitoring resource Coinglass.
However, the fall did not deter the investors from buying the spot Bitcoin exchange-traded funds. Data from Farside Investors shows a net inflow of $648.9 million into Bitcoin ETFs, with BlackRock’s iShares Bitcoin Trust (IBIT) ETF recording its highest inflow of $788 million. This shows a solid appetite for Bitcoin, and if it is maintained, corrections are likely to be shallow.Daily cryptocurrency market performance. Source:Coin360
When the markets are rising sharply, the traders tend to throw caution out of the window and take on too much leverage. That is a quick way of making money in the near term, but it could damage the portfolio if traders are not adept at booking losses when they are small. Therefore, traders should remain cautious and follow trading rules when using leverage for trading.
Could Bitcoin extend the uptrend, pulling the altcoins higher, or will the cryptocurrencies enter a consolidation phase? Let’s analyze the charts of the top 10 cryptocurrencies to find out.Bitcoin price analysis
Bitcoin has been in a strong uptrend for several days. Traders view the dips as a buying opportunity during an up move, and that is what happened on March 5.BTC/USDT daily chart. Source:TradingView
The bulls aggressively purchased the drop to the 20-day exponential moving average ($58,131), indicating solid demand at lower levels. Buyers are trying to resume the uptrend by pushing the price above $69,000. If they succeed, the BTC/USDT pair could start the next leg of the uptrend to $76,000 and then $80,000.
Time is running out for the bears. They will have to guard the $69,000 level and yank the price below the 20-day EMA if they want to start a correction in the near term. The pair could then witness long liquidation and nosedive to the 50-day simple moving average ($49,107).Ether price analysis
Ether (ETH) jumped above the $3,600 resistance on March 4 and tried to extend the uptrend on March 5, but the bears had other plans.ETH/USDT daily chart. Source:TradingView
Strong selling pulled the price down to the 20-day EMA ($3,233), where buyers stepped in to arrest the decline. This suggests a positive sentiment where the bulls are defending the 20-day EMA.
The bulls continued buying and are trying to maintain the price above $3,822. If they manage to do that, the ETH/USDT pair is likely to start a rally to $4,000 and thereafter to $4,150. If bears want to prevent the upside, they will have to drag the price below the breakout level of $3,600. That could deepen the pullback to the 20-day EMA, which will be in danger of breaking down.BNB price analysis
BNB (BNB) turned down from the overhead resistance of $427 on March 5 and plunged below the 20-day EMA ($387), but the bears could not sustain the lower levels.BNB/USDT daily chart. Source:TradingView
The bulls bought the dip below the 20-day EMA, as seen from the long tail on the candlestick. Buyers are trying to strengthen their position further by maintaining the price above $427 on March 6. If they do that, the BNB/USDT pair could rally to $460.
Contrary to this assumption, if the price fails to sustain above $427, it will indicate that bears are defending the level with all their might. That will increase the likelihood of a fall to the 50-day SMA ($341).Solana price analysis
Solana (SOL) reversed direction from the immediate resistance of $143 on March 5 and fell to the 50-day SMA ($105).SOL/USDT daily chart. Source:TradingView
However, the long tail on the day’s candlestick shows that the bulls are aggressively protecting the 50-day SMA. The bulls have pushed the price above $126 and will again try to overcome the barrier at $143. If they can pull it off, the SOL/USDT pair could start the next leg of the up move to $158.
Instead, if the price turns down from the current level or the overhead resistance, it will suggest that the bears are not willing to give up. The pair may then again slide to the 50-day SMA.XRP price analysis
XRP (XRP) turned down from $0.67 on March 5, indicating that the bears are fiercely defending the level.XRP/USDT daily chart. Source:TradingView
The price rebounded off the 50-day SMA ($0.55), signaling that the bulls continue to buy on sharp dips. The XRP/USDT pair will make one more attempt to clear the overhead hurdle at $0.67 and start the journey to $0.74.
On the other hand, the bears will again try to defend the $0.67 level. If they do that, it will indicate a range-bound action in the near term. The pair may swing between the 50-day SMA and $0.67 for a few days.Cardano price analysis
Cardano (ADA) turned down from $0.80 on March 4 and plummeted to the 50-day SMA ($0.56) on March 5.ADA/USDT daily chart. Source:TradingView
However, the bulls aggressively bought the dip near the 50-day SMA and the price recovered to close above the breakout level of $0.68. This shows a bullish sentiment among traders. If the price rises from the current level, the ADA/USDT pair could reach the overhead resistance of $0.80.
This positive sentiment will be invalidated if the price turns down and closes below the 20-day EMA ($0.65). The pair could then slump to the 50-day SMA.Dogecoin price analysis
Dogecoin (DOGE) rose above the $0.16 resistance on March 4 but could not sustain the breakout on March 5, indicating profit booking at higher levels.DOGE/USDT daily chart. Source:TradingView
The bulls are again struggling to maintain the price above $0.16, indicating continued selling on rallies. If the price turns down from the current level or the overhead resistance, the DOGE/USDT pair may slump to the 20-day EMA ($0.12), where buyers are likely to step in.
Contrarily, if buyers sustain the price above $0.16, the pair could gradually retest the local high at $0.20. A break and close above this level could signal the start of the next leg of the uptrend to $0.30.
Related:Bitcoin price hits $72K in South Korea as ‘Kimchi premium’ returnsShiba Inu price analysis
Shiba Inu (SHIB) has been in a strong bull run for the past few days. The bulls propelled the price to $0.000045 on March 5 but could not sustain the higher levels, as seen from the long wick on the candlestick.SHIB/USDT daily chart. Source:TradingView
That started a wave of selling, which pulled the price down to $0.000025. A minor positive in favor of the bulls is that the lower levels were purchased aggressively. This shows solid demand on dips.
After the large range day, the SHIB/USDT pair may remain range-bound for a few days. The boundaries of the range could be $0.000025 on the downside and $0.000045 on the upside. The deeply overbought level on the RSI also warns of a possible correction or consolidation in the near term.Avalanche price analysis
The failure of the bulls to start an uptrend after completing the inverse head-and-shoulders pattern in Avalanche (AVAX) could have led short-term traders to dump their positions on March 5.AVAX/USDT daily chart. Source:TradingView
The AVAX/USDT pair plummeted below the 50-day SMA ($37.04), but a minor positive is that the bears could not sustain the lower levels. Solid buying started a recovery, and the bulls are trying to push the price back above the overhead resistance of $42. If this level is cleared, the bulls may again face stiff resistance near $44.
A break and close above $44 will be the first indication that the bulls are back in the driver’s seat. The pair may then retest the psychological resistance at $50. The 50-day SMA and $35 are the two crucial supports to watch on the downside.Polkadot price analysis
Polkadot (DOT) soared to $10,76 on March 5, where profit booking set in, as seen from the long wick on the day’s candlestick.DOT/USDT daily chart. Source:TradingView
The bears pulled the price below the 20-day EMA ($8.57), but the long tail on the candlestick shows that lower levels continue to attract buyers. The bulls have pushed the price above the breakout level of $9.59. If they can sustain the higher levels, the DOT/USDT pair could rise to the overhead resistance of $10.80.
Generally, an increase in volatility is followed by a period of low volatility. The pair may consolidate between the 20-day EMA and $10.80 for a while.
This article 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.# Bitcoin# Dogecoin# Cryptocurrencies# Altcoin# Ethereum# Bitcoin Price