While the price of Bitcoin (BTC) tries to stay at $ 43,000, sharp declines are seen in the altcoin market.
The direction in which the prices of Ether (ETH), Cardano (ADA) and Binance Coin (BNB), the three largest altcoins by market capitalization, will move will provide insight into the broader market. Cointelegraph analyst Rakesh Upadhyay shared a price assessment and technical analysis for the top 3 altcoins.
ETH / USDT: Ethereum technical analysis
Ether (ETH) price bounced off the observed support at $ 3,377.89 as of September 18, but the bulls were unable to sustain the price above the 20-day exponential moving average (EMA) ($ 3,359). This indicates that traders are closing their positions at higher levels.
ETH / USDT daily chart. Source: TradingView
If the price breaks below $ 3,000 and closes there, the ETH / USDT pair will complete the downtrend. The objective of this model can reach up to 1,972.12 dollars.
The 20-day EMA has started to decline and the Relative Strength Index (RSI) is below 42, which suggests that a downside move is likely.
On the other hand, if the bulls aggressively defend the $ 3,000 level, the pair could rise again towards the overhead resistance at $ 3,377.89. The bears are likely to defend this level, but if the bulls break this resistance, it will indicate that the correction may be over.
ADA / USDT – Cardano Price Analysis
The bulls defended the 50-day simple moving average (SMA) ($ 2.32) on September 18, but were unable to rally. The continued selling pushed the Cardano (ADA) price below the 50-day SMA on September 19.
ADA / USDT daily chart. Source: TradingView
On September 20, selling increased and the ADA / USDT pair fell to the critical support at $ 1.94. The strong recovery of this level indicates that the bulls are accumulating to the lows.
If the buyers continue to bounce, the pair could gradually climb towards the overhead resistance at $ 2.47. The bears are likely to sell towards the 20-day EMA ($ 2.42). If the price breaks out of this resistance, the pair could fall back to $ 1.94.
A breakout and close above the 20-day EMA will be the first sign that sellers are losing control and signaling optimism.
BNB / USDT – Binance Coin Technical Analysis
The price of Binance Coin (BNB) fell below the 50-day SMA ($ 423.5) on September 17, after which the bulls’ attempts to regain that level failed. This shows that the bears are selling out on every little rally.
BNB / USDT daily chart. Source: TradingView
The sell gained momentum on September 20 and the BNB / USDT pair fell close to the critical support at $ 340. Then the price fell to an important level that the bulls had to defend. Because a break below this can cause a decline to $ 300 and then $ 250.
The moving averages (MA) are bearish and the RSI is in negative territory. So from now on, the steering wheel is in the hands of the bears.
If the price rises above $ 340, the pair could rally to the 20-day EMA. This level is likely to act as a stiff resistance. The bulls will have to push the price above $ 422.80 and get closer there to show that the correction may be over.
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