Although prices have fallen across the ecosystem, bear markets at least offer attractive opportunities for long-term investors. To take advantage of this opportunity, venture capital firm Seven Seven Six, co-founder of Reddit, aims to raise $177.6 million for a crypto investment fund. Along the same lines, former executives from Galaxy Digital and Genesis are looking to raise $500 million.
Although the near term seems uncertain, long term investors may be looking for bottom fishing opportunities. Could Bitcoin and Major Altcoins Stay Above Immediate Support Levels? Let’s study the charts of the top 10 cryptocurrencies to find out.
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BTC / USDT
Bitcoin turned lower from the downtrend line on August 30th but the small positive is that the bulls bought the dip near $19,500. The bulls are once again trying to push the price above the downtrend line on August 31st.
BTC/USDT daily chart. Source: TradingView
If they succeed, the BTC/USDT pair could rise to the 20-day exponential moving average ($21,325), which is an important level to watch. If the price drops from this level, the bears will attempt to pull the pair to the strong support area from $18,910 to $18,626. A breakout and a close below this area could open the doors for a retest of the important support at $17,622.
Conversely, if the bulls push the price above the 20-day moving average, the pair could rise to the 50-day simple moving average (SMA) ($22,333). If the bulls cross this hurdle, the pair could gain momentum and push towards the upper resistance at $25211. Bulls must overcome this barrier to indicate that the bottom may be in place.
ETH / USDT
Ether (ETH) surged from $1,422 on August 29 and rose again above the neckline of the head and shoulders pattern. This suggests that the crash on August 26 may have been a bear trap.
ETH/USDT daily chart. Source: TradingView
Bulls are trying to push the price above the moving averages. If they succeed, ETH/USDT could rise to the general resistance at $1,700. This is an important level to watch because a breakout and a close above it could open the door to a potential rally to $2000.
This bullish view will be invalidated if the price drops from the upper resistance level and breaks below $1,422. Such a move would suggest that the recovery may be over. The pair could then fall to $1,280 and later to $1,050.
BNB / USDT
BNB rebounded from the strong support at $275 on August 29, indicating that the bulls are aggressively defending this level.
BNB/USDT daily chart. Source: TradingView
The bulls attempted to push the price above the 20-day moving average ($292) on August 30 and 31, but the bears held out. If the price breaks and closes below the $275 support, the BNB/USDT pair will complete a bearish head and shoulders pattern. That could start down to $240 and later to the pattern target at $212.
Conversely, if the price bounces below $275 and breaks above the 20-day moving average, the pair could rise to $308. A breakout and a close above this resistance could clear the way for a rally to $338.
XRP / USDT
Buyers have been defending the $0.32 level for the past three days but failed to make a strong recovery. This indicates a lack of demand for Ripple (XRP) at higher levels.
XRP/USDT daily chart. Source: TradingView
The 20-day sloping Exponential Moving Average (EMA) and the Relative Strength Index (RSI) are in negative territory, indicating that the bears have a slight advantage. If the price breaks below the current level or the 20-day moving average and breaks below $0.32, the XRP/USDT pair may slide to the vital support level at $0.30.
