U.S. 10-year Treasury bond yield surge On October 3, the stock price rose more than 4.8%, reaching its highest level since 2007.DoubleLine Capital CEO Jeffrey Gundlach said in a report postal X (formerly Twitter) said the spread between 2-year and 10-year Treasury bond yields has narrowed to 35 basis points from 109 basis points a few months ago. He warned that this “should serve as a recession warning for everyone”.
Arthur Hayes, the former CEO of cryptocurrency exchange BitMEX, warned in a recent Short term interest rate ratio – will cause the company to fail. Some investors believe this could spark a cryptocurrency bull run.
Institutional investors also appear to be warming to cryptocurrencies. CoinShares’ latest weekly digital asset flow report shows that $21 million has flowed into digital asset investment products for the first time in six weeks.
In this uncertain macro environment, let’s take a look at the charts to determine the potential next move.
Bitcoin Price Analysis
Bitcoin (BTC) rose above $28,143 on October 2, but the long shadow on the candlestick suggests that bears are selling aggressively at higher prices. On October 3, the bears tried to extend their advantage, but the bulls held on at $27,160.
The rising 20-day exponential moving average ($26,903) and the relative strength index (RSI) in positive territory suggest that bulls have the upper hand. Buyers will once again try to clear the overhead resistance at $28,143.
A close above this level would complete a short-term double bottom pattern with a target of $31,486.
This positive view will be invalidated if the price pulls back from overhead resistance again and falls below the 20-day EMA. This could push the price to $26,000. The BTC/USDT pair is likely to continue to consolidate between $24,800 and $28,143 for some time.
Ethereum price analysis
Ethereum (ETH) fell sharply from the overhead resistance at $1,746 on October 2, indicating that bears are fiercely guarding this level.
The 20-day EMA ($1,640) is flattening and the RSI is near the midpoint, indicating a balance between supply and demand. If the price recovers from current levels, bulls will once again try to overcome the $1,746 hurdle. If they are successful, the ETH/USDT pair will complete a double bottom pattern with a target of $1,961.
On the other hand, if the price continues lower and breaks below the moving averages, it means that the pair may stay in the $1,531 to $1,746 range for some time.
BNB price analysis
BNB (BNB) jumped above the $220 resistance on October 2, but the bulls were unable to sustain the breakout, as seen by the long shadow on the candlestick that day.
The failure of the bulls to sustain prices above the 20-day EMA ($214) is a negative sign. This suggests traders are scrambling to exit. The BNB/USDT currency pair is likely to drop towards the uptrend line next.
If the price rebounds from this level, the bulls will once again try to push the pair above $220. A close above this resistance could signal the start of a price increase towards $235 and then towards $250. Conversely, if the price breaks below the uptrend line, the pair may drop towards the strong support at $203.
Ripple Price Analysis
On September 29, buyers pushed XRP (XRP) above a symmetrical triangle pattern before thwarting multiple attempts by bears to pull the price back into the triangle.
Bulls will next attempt to break above the overhead resistance at $0.56. If they succeed, this will mark the beginning of a new uptrend. The XRP/USDT pair may start heading towards this pattern at $0.66.
Conversely, if the price declines from $0.56 and breaks below the uptrend line, it would indicate that bulls are taking profits. This is likely to keep the pair range-bound between $0.56 and $0.41 over the next few days.
Solana Price Analysis
Solana (SOL) has been trading within a wide range between $14 and $27.12. Price action over the past few days has led to the formation of a potential inverse head and shoulders pattern.
Although settings formed within a certain range tend to be unreliable, they should still not be ignored. If the price rises and breaks the neckline, the SOL/USDT pair may attempt to rebound towards $27.12 and eventually reach the pattern target of $32.81.
The key support to watch on the downside is the 20-day EMA ($20.95). If the price falls below this level, it means the bulls have given up. This could open the door for a possible drop to $17.33.
Cardano Price Analysis
Cardano (ADA) started declining from $0.27 on October 2 and hit the 20-day EMA ($0.25) on October 4. This is an important level to watch in the near future.
If the price rebounds from the 20-day EMA, it will indicate a shift in market sentiment from selling on the highs to buying on the dips. The bulls will then try to push the price above $0.27 and start a rise towards $0.29 and then $0.32.
If the bears want to stop the rally, they will have to drag the price below the 20-day EMA. The ADA/USDT pair may once again fall towards the important support level of $0.24. Bulls are likely to defend this level vigorously.
Dogecoin Price Analysis
On October 2, bulls pushed Dogecoin (DOGE) above the 50-day moving average ($0.06), but failed to sustain higher levels. This suggests that bears are selling on every minor relief rally.
The DOGE/USDT pair has reached strong support at $0.06. Repeatedly retesting support over a short period of time tends to weaken it. If the $0.06 level breaks, the pair could fall to the next major support level at $0.055.
A small advantage in favor of buyers is that the RSI has formed a bullish divergence. This suggests that bears may be losing control. These indicators do not clarify next steps. Therefore, it is better to wait for the price to close above the 50-day moving average or fall below $0.06 before placing a directional bet.
related: Bitcoin traders hope $27,000 holds as BTC price ignores USD moves
Coin price analysis
Toncoin (TON) fell below the 20-day EMA ($2.09) on September 30, with bears thwarting bulls’ attempts to regain this level on October 1.
The bears attempted to consolidate their position by driving the price down to the 50-day moving average ($1.86). This level could lead to a rebound and possibly a sell-off at the 20-day EMA.
If the price pulls back from this resistance level, it means that market sentiment has turned bearish and traders are selling on the rally. This would increase the likelihood of a break below the 50-day moving average.
On the contrary, if the price rises and breaks above the 20-day EMA, it means that the market has rejected the lower levels. Subsequently, the TON/USDT pair is likely to rise towards $2.32, where bears will once again try to halt the rise.
Polkadot price analysis
Polkadot (DOT) fell sharply from the 50-day EMA ($4.24) on October 2 and fell below the 20-day EMA ($4.10) on October 3.
On October 4, bears challenged the important support level at $3.91, but the long tail on the candlestick showed strong buying at lower levels. The RSI has formed a bullish divergence, indicating that sellers may be losing control.
If the bulls push the price above the 20-day EMA, it would suggest that the DOT/USDT pair could extend its stay in the $4.33 to $3.91 range. The bears must sink the price below $3.91 to start the next leg of the decline to $3.50.
Polygon Price Analysis
Polygon (MATIC) rebounded on October 4 after witnessing an intense battle between bulls and bears near the moving averages, indicating that buyers are trying to take control.
Bulls are trying to consolidate the momentum and push the price above the overhead resistance at $0.60. If they succeed in doing so, it will mark the beginning of a sustained recovery. The MATIC/USDT pair may then rise towards $0.70.
Contrary to this assumption, if the price declines and falls below the 20-day EMA, it would indicate that bears are active at higher levels. The pair may then retest the key support at $0.49. This level is likely to attract heavy buying from the bulls.
This article does not contain investment advice or recommendations. Every investment and trading activity involves risks, and readers should do their own research when making decisions.
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