- Bears successfully defended the 20-day EMA ($27,414), but could not bring the Bitcoin price down to the critical support level of $25,250.
- For the past few days, Ethereum has been trading around the 20-day EMA ($1,833).
- Bulls failed to break above the downtrend line of XRP, but a small positive point was that they held the 20-day EMA support ($0.45).
Bitcoin has been trading within a limited price range for the past few days. Narrow ranges usually follow wide ranges after strong trend movements. Glassnode stated on May 22 that Bitcoin’s 7-day price range is comparable to those before significant market movements such as January 2023 and July 2020.
Another impressive factor could be the macroeconomic data that will provide information about the possible actions of the United States Federal Reserve (Fed) at its next meeting on June 13 and 14. The FedWatch Tool currently predicts a 72% chance of the Fed pausing its interest rate hikes.
What are the important support and resistance levels to determine the beginning of a new trend movement in Bitcoin and major altcoins?
Bitcoin (BTC) Price Analysis
Bears successfully defended the 20-day EMA ($27,414), but could not bring the price down to the critical support level of $25,250. This shows that bulls continue to buy on small dips.
BTC/USDT Daily Price Chart
If Bitcoin stays above the nearby support level of $26,361, bulls will continue to push the price towards the symmetrical triangle model. If successful, they will show that the markets reject lower levels.
This could increase the likelihood of a rally towards the resistance line. However, this level could still be a major obstacle for bulls. Conversely, if the price falls below $26,361, it will show that supply exceeds demand. The BTC/USDT pair could then fall to the critical level of $25,250.
Ethereum (ETH) Price Analysis
For the past few days, Ethereum has been trading around the 20-day EMA ($1,833). Bears have successfully defended this level, but bulls continue to increase pressure. This increases the likelihood of a break above the 20-day EMA.
ETH/USDT Daily Price Chart
If this happens, the ETH/USDT pair could rise towards the resistance line of the falling wedge model. This level could again serve as a strong barrier, but if bulls break through it, the pair could start rising towards $2,000 and then $2,141.
On the other hand, if the price falls below $1,771, the pair could fall towards the support line. This is an important defense level for bulls because a break below this level could result in a drop to $1,600.
Dogecoin (DOGE) Price Analysis
Dogecoin fell below the 20-day EMA ($0.07) on May 21. However, bulls continue to support the price by buying dips and keeping it above the $0.07 level.
DOGE/USDT Daily Price Chart
Bears will try to strengthen their position by bringing the price below the $0.07 level. If successful, the DOGE/USDT pair could drop to $0.06, where buyers will try to stop the decline.
On the other hand, if bulls push the price above the 20-day EMA, it will show that buyers have solved the range in their favor. The pair could first reach the 50-day SMA ($0.08) and then try to rise towards $0.10.
XRP Price Analysis
Bulls failed to break above the downtrend line of XRP, but a small positive point was that they held the 20-day EMA support ($0.45). This shows that buyers are increasing and dips are being bought.
XRP/USDT Daily Price Chart
The 20-day EMA has started to rise slowly, and since the RSI is in the positive zone, it shows that the least resistant path is upwards. If buyers push the price above the 50-day SMA ($0.47), the XRP/USDT pair could gain momentum
