It was a wild week for Bitcoin (BTC), which rose to an all-time high of $73,777, but quickly gave back all of its gains and fell to nearly $64,500. At the time of publication, Bitcoin is expected to end the week with a slight decline of about 1% compared to the previous week’s closing price.
Analysts believe that a drop in Bitcoin levels will attract solid buying from investors in spot Bitcoin exchange traded funds (ETFs), predicting a shallow correction. Thomas Farrar, CEO of Apollo, a review portal specializing in cryptocurrencies, told X that the fall was a “bear trap.”
By looking at the strength of the rebound, you can easily tell whether or not the correction has been completed. The weak recovery indicates continued selling pressure from the bears. This increases the likelihood of a deeper pullback. On the other hand, a strong pullback indicates aggressive buying at lower levels and increases the likelihood that the uptrend will resume.
Will Bitcoin’s correction stall and some altcoins start to recover? Let’s take a look at the top five cryptocurrencies that are looking strong on the charts.
Bitcoin price analysis
Bitcoin corrected sharply from $73,777 on March 14th and fell below the support line of the ascending channel pattern on March 16th.
The bulls are trying to halt the decline at the 20-day exponential moving average ($65,564), but are likely to face resistance at the breakdown level from the channel. Downside risk increases if prices decline sharply from current levels.
If the 20-day EMA breaks, the BTC/USDT pair could fall to $59,000 and then to the 50-day simple moving average ($55,303).
If the bulls want to prevent the downside, they will need to push the price back into the channel. This would indicate solid buying at lower levels. A break and close above $73,777 would signal a resumption of the uptrend. After that, the pair could rise to $80,000.
Although the moving averages have completed a bearish crossover, the relative strength index (RSI) has risen sharply, suggesting that selling pressure may be easing. The 20-EMA is likely to witness a tough battle between bulls and bears.
If the price drops sharply from the 20-EMA, it would indicate that the bears have rebounded and are selling. The pair could fall to the strong support at $64,500. If this level breaks, the pair could plummet to $59,000.
The first sign of strength is a breakout and close above the channel’s support line. Thereafter, the pair could rise to $70,650 and then $72,420.
Near Protocol Price Analysis
Near Protocol (NEAR) has bucked its uptrend, indicating profit-taking by short-term traders.
A positive sign in favor of the bulls is that the NEAR/USDT pair has found support near the 50% Fibonacci retracement level at $6.28. If the pullback holds, it is likely to retest the overhead resistance at $9.01. If this level expands, the uptrend could resume. The next upside target is $10.50.
Contrary to this assumption, if the price falls from the overhead resistance, it suggests that traders are selling on a rally. After that, the pair could fall to the 20-day EMA ($6.18). This is an important support to watch for, as a break below could signal the start of a deeper correction.
The bulls are trying to keep the price above the moving average on the 4-hour chart, suggesting solid buying at lower levels. If the price remains above the 20-EMA, it would suggest that the correction may be over. Thereafter, the pair is likely to retest $9.01. A break above the overhead resistance line indicates a continuation of the rally.
Conversely, if the price falls below the 20-EMA, it indicates a strong sell on the uptrend. The pair may then fall to the strong support at $6.50.
Aptos price analysis
Aptos (APT) has fallen sharply from $15.70 on March 16, but the bears were unable to push the price below the 20-day EMA ($12.90), suggesting a buy at lower levels.
A rising 20-day EMA ($12.83) and RSI in positive territory indicate that the bulls have the upper hand. If buyers sustain and maintain the price above $15.70, the APT/USDT pair will signal the start of the next leg of the uptrend. The pair could rise to $16.75 and then $18.69.
Instead, if the price falls below the 20-day EMA, it would indicate that all relief rallies are being sold. This signals the start of a correction phase and could hit the 50-day SMA ($10.73).
The moving average on the 4-hour chart has flattened and the RSI is just above the midpoint, suggesting a possible range-bound move in the short term. It is likely to fluctuate between $15.81 and $12 for a while.
A close above the range indicates that the bulls have absorbed supply. That could start the next leg of the climb. On the other hand, if the price declines below $12.92, the pair could start to consolidate to $12 and then $11.50.
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rendering price analysis
Lender (RNDR) corrected to the 20-day EMA ($10.02), but the bulls were able to defend the support, indicating that momentum remains positive and traders are buying the dip.
The bulls pushed the price above the $12.78 resistance on March 17th, marking the beginning of the next uptrend. If buyers sustain the price above $12.78, the RNDR/USDT pair can jump to $16.81.
The first sign of weakness would be a fall below the solid support at $12. The bears will then see an opportunity to start a correction. A close below the 20-day EMA could accelerate the selling and send the price down to the 50-day SMA ($7.09).
The 4-hour chart shows that the bears’ failure to move lower and sustain the price below $10 may have attracted solid buying by the bulls. The price gained momentum after closing above the overhead resistance at $12. The uptrend is likely to continue if the price sustains above $12.
Meanwhile, the Bears likely have other plans. They will try to bring the price back below $12. If they do, it would indicate that the break above $12.78 may have been a bullish trap. After that, the pair could drop to $10.
Manufacturer price analysis
Manufacturer (MKR) resumed its uptrend on March 17 after consolidating for several days, showing that the bulls are still in control.
The MKR/USDT pair is likely to rise to $3,580 and eventually $4,000, and the bears are expected to mount a strong defense. However, unless the bulls make significant concessions from $4,000, the uptrend could continue.
The first sign of weakness will be a break below $2,976. That would indicate that the market has rejected the higher standard. The pair could fall to the 20-day EMA ($2,525), which is an important level to watch. A break below this support will favor the bears.
The 4-hour chart shows that the bulls are trying to sustain the pair above the ascending channel pattern. If it is successful, the pair could gain momentum and rally towards $3,725.
On the other hand, if the price fails to sustain above the channel, it indicates a possible bullish trap. The pair may then slide back into the channel. If the price rebounds from the 20-EMA, the bulls will make another attempt to push the pair above the channel. Otherwise, it may fall to the support line.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk and readers should conduct their own research when making decisions.
