The Fed interest rate decision, which Bitcoin, DOGE and the entire crypto market have been eagerly waiting for, has been announced. The Fed said in a statement that it raised interest rates by 50 basis points. Billionaire investor Paul Tudor Jones said in an interview with CNBC that the US has entered “unknown territory.”
What awaits BTC, DOGE and major altcoins this week?
Due to uncertainty, some investors seem to be reducing their crypto exposure. According to a report by CoinShares, this led to a weekly outflow of $132.7 million from Bitcoin (BTC) funds last week. Could BTC, DOGE and major altcoins enter a period of capitulation, or will investors start buying after the FED raises 50 basis points? What are the critical levels to watch out for, both upstream and downstream? As Kriptokoin.com, we convey analyst views and price analyzes for BTC, DOGE and these 8 altcoins.
Bitcoin (BTC) and Ethereum (ETH)
Bitcoin bulls have successfully defended the support line of the ascending channel for the past four days, which is a positive sign. If buyers push the price above the 20-day exponential moving average (EMA) ($39,553), this suggests that the bears may be losing control. The BTC/USDT pair could then rise to the 50-day simple moving average (SMA) ($41,922). This level could act as resistance again, but if the bulls break through this hurdle, the pair could rally higher towards the 200-day SMA ($46,924). Contrary to this assumption, if the price drops from the 20-day EMA or the 50-day SMA, it will indicate that the bears continue to sell in the rallies. Paite could then retest the support line of the channel. A break and close below the channel could open the way for more declines to $34,300 and later to $32,917.
Ethereum (ETH) tried to break above the 20-day EMA ($2.920) on May 2 but failed. It can be considered as a positive point that the bulls do not give up and try to overcome the general obstacle again. If the buyers push the price above the 20-day EMA, the ETH/USDT pair could rise to the 50-day SMA ($3,069). The bulls will have to push and sustain the price above this level to signal a change in the short-term trend. The pair could then rise to the 200-day SMA ($3,441). A break and close above this level could indicate the start of a new uptrend. On the other hand, if the price drops from the 20-day EMA, it will show that the bears are not willing to give up their advantage. This could increase the likelihood of a break below the uptrend line. If this happens, the pair could drop to $2,450.
BNB and Solana (SOL)
BNB has been trading below $391 support for the past four days, but the bears failed to develop this advantage and lower the price to $350. This indicates a lack of sellers at lower levels. The bulls are attempting to push the price above the $391 resistance. If they do, the BNB/USDT pair could rise to the 50-day SMA ($412). A break and close above this resistance could signal an advantage for buyers. The pair could then rise to the 200-day SMA ($468). This positive sentiment could be invalidated in the short term if the price breaks down from overhead resistance and sinks below $375. This will indicate a renewed sell-off and could push the pair to $350.
Solana (SOL) finds buying support around $82, but the bulls failed to push the price above the 20-day EMA ($96). This indicates that demand is declining at higher levels. If the price fails to break above the 20-day EMA, the bears will attempt to push the SOL/USDT pair below the strong support at $75. This is an important level to watch because if the support is broken, the pair could resume its downtrend. The next support on the downside is at $66. Contrary to this assumption, if the bulls push the price above the 20-day EMA, it suggests that selling pressure may decrease. The pair could then rally to $111 and then extend its stay inside the wide range of $75 to $143.
Ripple (XRP) and Terra (LUNA)
Ripple (XRP) has been stuck in a wide range between $0.55 and $0.91 for the past few days. The price bounced back from $0.56 on April 30 and the bulls are trying to keep the hurdle above $0.62. If the price stays above $0.62, the recovery could reach the 20-day EMA ($0.67). This level can act as a stiff resistance again. If the price breaks from the 20-day EMA, the bears will try to push the XRP/USDT pair down to the critical support at $0.55. A break and close below this support could push the pair towards the $0.50 psychological level. Contrary to this assumption, if the bulls push the price above the 20-day EMA, the pair could rally to the 50-day SMA ($0.75). Such a move suggests that the pair may spend some more time in the wide range.
LUNA climbed to the 20-day EMA ($87) on Wednesday, but shows it continues to be sold on rallies. Sellers will now try to pull the price into the strong support zone between $75 and the 200-day SMA ($71). If this zone gives way, the LUNA/USDT pair will complete the bearish “shoulder to head” pattern, signaling a potential trend reversal. The pair could then start its downward journey towards $50. Alternatively, if the bulls push the price above the downtrend line and sustain it, the short-term correction may end. The pair could rally to the psychological resistance at $100. A break and close above this level could open the way for a possible retest of the all-time high at $119.
Cardano (ADA) and Dogecoin (DOGE)
Cardano (ADA) has been trading close to the critical level of $0.74 for the past few days, but the bears failed to break the support. This indicates that the bulls are defending the support aggressively. The ADA/USDT pair could now slide back to the 20-day EMA ($0.86), where the bears could form strong resistance again. If the price drops from the 20-day EMA, the sellers will again try to push the pair below $0.74. If they do, the pair could start the next leg of the downside move at $0.68. Conversely, if the bulls push the price above the 20-day EMA, the pair could attempt a rally to the overhead resistance at $1. A break and close above this level could indicate that the bulls are back in the game.
Dogecoin (DOGE) has been trading below the moving averages for the past few days but the bears have failed to challenge the $0.12 support. This indicates a lack of sellers at lower levels. DOGE bulls will now try to push the price above the 20-day EMA ($0.13). If they do, the DOGE/USDT pair could rally to $0.15 and then attempt a rally to the stiff overhead resistance at $0.17. This is an important level for the bears to defend, as a break and close above it could mark the start of a new uptrend. Conversely, if DOGE price drops from the 20-day EMA, the bears will try to push the pair below $0.12. If this happens, the pair could slide to the psychological support at $0.10.
Avalanche (AVAX) and Polkadot (DOT)
Avalanche (AVAX) is trading in a wide range from $51 to $99. The bulls bought the low to $55 on April 30, but they were unable to push the price above the $65 breakout level. If the price drops below $65, it will indicate that sentiment remains negative and the bears are selling on rallies. The bears will then make another attempt to push the AVAX/USDT pair below the strong support at $51. If successful, the pair could initiate the next leg of the downtrend, resulting in a drop to $32. This negative view could be invalidated in the short term if the bulls sustain the price above the 20-day EMA ($68). The pair could then rise to the 50-day SMA ($80).
Polkadot (DOT) is range-bound in downtrend. The bulls defend the support at $14 while the bears sell at $16 on rallies. This narrow-term trade is unlikely to continue for long. If buyers push the price above $16, the DOT/USDT pair will attempt to break above the 20-day EMA ($16.86). The pair could then rise to the overhead resistance of $19, where the bears could try to stop the recovery again. Alternatively, if the price breaks through overhead resistance, the pair could spend some more time in the range. The bears will have to push and sustain the price below the $14 support to indicate the resumption of the downtrend.
