Bitcoin's (BTC) massive drop in May 2021 is among its worst monthly performances, according to data from Bybt. The decline has divided the crypto community, with long-term investors considering the fall as a buying opportunity while short-term traders are dumping their positions out of fear.

Glassnode data suggests that long-term HODLers and miners are using the current weakness to accumulate Bitcoin. This transfer of Bitcoin from weaker hands to stronger hands is a positive sign because long-term investors are unlikely to panic and dump their holdings on every bear market correction.

Dagelijkse marktprestaties van cryptocurrency. Bron: Coin360

In april, de V.S.. personal consumption expenditures price index soared by 3.1% compared to a year ago, the biggest increase over 12 months since July 1992. This indicates that inflation is knocking on the doors. Several institutional investors may use the current correction to add Bitcoin to their portfolios as it is an uncorrelated asset and many consider it as a good hedge against inflation.

Daarom, a sharp plunge below $30,000 looks unlikely. Echter, that does not mean a new bull market will start in a hurry. The price is likely to remain volatile and range-bound before the start of a sustained uptrend.

Let’s analyze the charts of the top-10 cryptocurrencies to spot the critical support and resistance levels.

BTC / USDT

Bitcoin is in a downtrend. The downsloping moving averages and the relative strength index in negative territory suggest the bears have the upper hand. Echter, the bulls have other plans as they are trying to start a relief rally.

BTC / USDT dagelijkse grafiek. Bron: TradingView

The BTC/USDT pair has formed a symmetrical triangle pattern. If the bulls push and sustain the price above the resistance line of the triangle, the pair could start a move to the 50% Fibonacci-retracementniveau op $44,750 en vervolgens naar het 50-dagen eenvoudig voortschrijdend gemiddelde ($50,161). Such a move will suggest that the downtrend could be over.

In tegenstelling tot deze veronderstelling, if the price turns down from the resistance line of the triangle, het paar zou zijn verblijf in de driehoek nog een paar dagen kunnen verlengen. A breakdown and close below the support line of the triangle will indicate the resumption of the downtrend.

The bears could then pull the price down to $30,000 and if this level cracks, the selling may intensify and the pair could drop to $28,000 en toen $20,000.

ETH / USDT

Ether (ETH) has rebounded sharply off the support line of the symmetrical triangle as traders attempt to put a higher low. The price could now challenge the resistance line of the triangle where the bears are likely to mount a stiff resistance.

ETH / USDT dagelijkse grafiek. Bron: TradingView

If the bulls push the price above the triangle, the ETH/USDT pair could rally to the 61.8% retracementniveau op $3,362.72. Zo'n stap suggereert sterk kopen op lagere niveaus. Een pauze hierboven $3,362.72 may signal an end of the downtrend.

Echter, het is onwaarschijnlijk dat de beren het gemakkelijk zullen opgeven. De aflopende EMA van 20 dagen ($2,756) and the RSI just below the midpoint suggest the sellers have a minor advantage.

If the price turns down from the resistance line of the triangle, the bears will try to sink the price below the support line of the triangle. Als ze slagen, the pair may retest the May 23 panic low at $1,728.74.

BNB / USDT

Binance-munt (BNB) slipped below the $306.61 support on May 29 but the bears could not sustain the selling pressure at lower levels. The altcoin quickly bounced back above $306.61 op mei 30, suggesting accumulation on dips.

BNB / USDT dagelijkse grafiek. Bron: TradingView

The bulls will now try to push the price to the 20-day EMA ($400), which is likely to act as a stiff resistance. Als de prijs lager wordt dan de 20-daagse EMA, it will suggest the sentiment remains negative and traders are selling on rallies.

The bears will then try to pull the price down to $211.70. Integendeel, if the bulls thrust the price above the 20-day EMA and the $428 weerstand, the BNB/USDT pair could rally to the 50-day SMA ($512).

ADA / USDT

Cardano (ER BESTAAT) dipped below the 50-day SMA ($1.51) op mei 29 but the bears could not capitalize on the breakdown. The altcoin bounced back above the 50-day SMA on May 30, met vermelding van kopen op lagere niveaus.

ADA / USDT dagelijkse grafiek. Bron: TradingView

De platte 20-daagse EMA ($1.61) and the RSI near the midpoint suggest a balance between supply and demand.

This balance will tilt in favor of the buyers if they can push and sustain the price above the downtrend line. The ADA/USDT pair could then rally to $1.94 en als dit niveau wordt overschreden, the next stop could be a retest of the all-time high at $2.47.

Aan de andere kant, als de prijs daalt vanaf de neerwaartse trendlijn, the bears will once again try to break the $1.33 ondersteuning. Als ze slagen, het paar zou kunnen dalen tot $1.24 en toen $1.

XRP / USDT

The bears pulled XRP below the $0.88 support on May 29 but they could not sustain the lower levels. The altcoin bounced back above $0.88 op mei 30, indicating strong buying by the bulls.

XRP / USDT dagelijkse grafiek. Bron: TradingView

If the buyers can propel the price above the 20-day EMA ($1.08), it will suggest that a short-term bottom has been made at $0.65. The XRP/USDT pair could then rally to the 50-day SMA ($1.32) and later to the downtrend line.

This positive view will invalidate if the price turns down from the 20-day EMA. Als dat gebeurt, the bears will try to pull the price back below $0.80. Als het ze lukt om dat te doen, the pair may challenge the $0.65 ondersteuning.

HOND / USDT

The volatility in Dogecoin (DOGE) has reduced due to lack of aggressive buying or selling by traders. The moving averages have completed a bearish crossover and the RSI is in the negative territory, indicating the bears have the upper hand.

DOGE / USDT dagelijkse grafiek. Bron: TradingView

If the price turns down from the 20day EMA ($0.36), the bears will try to pull the price below the critical support at $0.21. Als ze slagen, the DOGE/USDT pair will complete a bearish head and shoulders pattern. Het paar zou dan kunnen corrigeren $0.10 en toen $0.05.

Omgekeerd, if the bulls push the price above the 20-day EMA, the pair could rise to the overhead resistance at $0.47. A breakout of this resistance could result in a rally to $0.59.

DOT / USDT

Stip (PUNT) is trying to rebound off the support at $17.50. This is a positive sign as it shows that the bulls are not waiting for a dip to $15 kopen. The altcoin could rise to the $26.50 niveau, which is likely to act as a stiff resistance.

DOT / USDT dagelijkse grafiek. Bron: TradingView

The downsloping moving averages and the RSI below 40 suggest the bears have the upper hand. Als de prijs omlaag gaat van $26.50, the DOT/USDT pair could extend its stay inside the range for a few more days.

The next bullish move could start if the buyers push the price above $26.50. That could result in a rally to $31.28 and then to the 50-day SMA ($33). alternatief, the next leg of the downtrend could start if the bears sink the price below $15.

UNI / USDT

Uniswap (UNI) is in a downtrend but the bulls are trying to form a higher low at $21.50. The price rebounded off this support on May 30 and the bulls will now try to push the price above the 20-day EMA ($28.27) and the overhead resistance at $30.

UNI / USDT dagelijkse grafiek. Bron: TradingView

Als ze slagen, it will suggest the downtrend could be over in the short term. The UNI/USDT pair may then rally to the 50-day SMA ($33.94). This level may act as stiff resistance but if the bulls can clear the hurdle, het paar zou kunnen stijgen $38.15.

The downsloping 20-day EMA suggests the bears have the upper hand but the RSI above 44 suggests the bulls are making a comeback.

This positive view will nullify if the price turns down from the 20-day EMA and breaks below $21.50. Such a move could result in a decline to the May 23 laag bij $13.04.

ICP/USDT

Internetcomputer (ICP) broke below the $120 naar $168 range on May 28 but the bears have not been able to pull the price below the immediate support at $103.71. The price is stuck between $103.71 en $120 voor de afgelopen drie dagen.

ICP/USDT daily chart. Bron: TradingView

This tight-range trading indicates indecision among the bulls and the bears. Als de onzekerheid naar de keerzijde verdwijnt, the ICP/USDT pair could challenge the May 19 laag bij $86.01. A break below this support could pull the price down to $60.

Aan de andere kant, als de bulls de bovenstaande prijs pushen en ondersteunen $120, it will suggest a lack of sellers at lower levels. The pair could then gradually move up to $168. Een ontsnapping en dichtbij hierboven $168 could start a relief rally that may reach the 38.2% Fibonacci-retracementniveau op $243.08.

BCH / USDT

Bitcoin Cash (BCH) is attempting to rise above $685.36. If bulls sustain the price above this overhead resistance, the altcoin could rise to the 20-day EMA ($821), which is likely to act as a stiff resistance.

BCH / USDT dagelijkse grafiek. Bron: TradingView

Als de prijs lager wordt dan de 20-daagse EMA, it will suggest the sentiment remains negative and traders are selling on every minor rally. Als de beren zinken, is de prijs hieronder $600, the BCH/USDT pair could fall to $468.13.

Integendeel, if the bulls drive the price above the 20-day EMA, it will suggest that demand exceeds supply. That could start a rally to the 38.2% Fibonacci-retracementniveau op $919.60 en vervolgens naar de 50% retracementniveau op $1,059.07.

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