Price Analysis February 1st, 2024 - BTC, ETH, LINK, SOL, and BNB
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Last month, Bitcoin was subject to extreme volatility. On January 10th, the coin rose above $48,000 after the US Securities and Exchange Commission allowed several asset managers to issue spot Bitcoin ETFs. A few days later, Bitcoin declined to touch $38,790 as investors of Grayscale Bitcoin Trust cashed out profits.

However, the good news for the bulls is there have been signs that outflows from Grayscale Bitcoin Trust have reduced over the last few days. Blockchain intelligence company Arkham reported yesterday that about $335 million left Grayscale Bitcoin Fund on Wednesday. By comparison, investors of that ETF withdrew over $640 million on January 22nd.

Meanwhile, popular cryptocurrency trader Rekt Capital says the next dip will provide the last buying opportunity, claiming that Bitcoin is likely to start rallying a few weeks before the Bitcoin halving in April.

Now, let’s find out the key resistance levels that Bitcoin need to cross to resume its uptrend.

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Bitcoin Price Analysis

BTC went above the 50-day SMA (Simple Moving Average) of $42,901 on January 29th. However, the bulls didn’t have the capacity to push the coin to $44,670. Their failure encouraged the bears to tug Bitcoin below the 20-day EMA (Exponential Moving Average) of $42,251 yesterday. BTC, the largest cryptocurrency by market cap, is now changing hands for $42,127. If the sellers drag the coin below $40,100, a fall to $38,790 is a possible scenario.

Conversely, if the buyers sustain Bitcoin above $42,901, the digital token may grow above $44,670 to retest the $49,026 resistance.

Ethereum Price Analysis

ETH rose above the 20-day Exponential Moving Average of $2,344.90 on January 31st, but the bulls failed to propel the token further to clear the $2,401.30 hurdle. The bears have now managed to pull ETH to $2,271.97. The moving averages are relatively flat, meaning Ethereum could get into a consolidation phase in the near future. That said, the second-largest token might trade between the $2,101.20 – $2,401.30 range for the next few weeks.

However, if the hurdle at $2,401.30 is cleared, a surge to $3,000.26 seems likely. On the other hand, if the bulls give away $2,101,20, the bears will be happy to drag Ethereum to $1,900.

BNB Price Analysis

There is an ongoing battle at $300 between the buyers and the sellers. The bears have succeeded in maintaining BNB below the 20-day Exponential Moving Average of $305.04 since yesterday. They are now targeting a fall to the 50-day Simple Moving Average of $294.98, but the bulls are determined to frustrate the bears.

However, if the buyers are defeated at $300 and fail to protect $294.98, BNB will likely touch crucial support at $287.48. On the positive side, if the Binance coin starts trending upward now, it may cross above $305.04 to rally toward $335.89.

Solana Price Analysis

Despite the hype around the JUP token airdrop, Solana has failed to stay above $100. It is down 2% over the past 24 hours and now changes hands for $96.54. The good news is that the token’s price is still above the downtrend line. If SOL rebounds now and crosses above $100, we will be looking at the prospects of a surge to $107.38, a point that has been attracting sellers since last December. However, if the buyers defeat them this time, Solana could rise towards $118.09. Meanwhile, a fall to $79.41 is possible if the token plummets below the downtrend line.

Chainlink Price Analysis

LINK is up 14% over the past seven days to become one of the top performers this week. However, the token has yet to break out of the $12.78 – $17.29 range. If a breakout happens at $17.29, Chainlink could rise to retest the $22.10 key resistance level. A breakout at $12.78 could give the bears an advantage, pulling LINK to $9.5, where the bulls’ presence is anticipated. But if the buyers fail to purchase the dip, a deeper fall to $5.65 is likely.

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James Davis

By James Davis

James Davis is a prominent crypto writer and analyst at Herald Sheets, recognized for his well-researched articles and thorough analysis of the dynamic digital currency market. Holding a degree in Economics from Harvard University, James combines his academic background with a keen interest in cryptocurrency to provide readers with the latest industry insights and trends.

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