Price Analysis February 1st, 2024 - BTC, ETH, LINK, SOL, and BNB
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After rejecting spot Bitcoin ETF for years, the US Securities and Exchange Commission finally allowed the investment vehicle to enter the American market last week. Many expected BTC to rally following the milestone. However, that didn’t happen. In fact, the total market cap declined by nearly $5 billion in a span of five days. Moreover, the Crypto Fear and Greed Index, which had been in the “extreme greed” zone since last November, plunged to the neutral level over the weekend and has remained there as of this writing.

With speculations around spot Bitcoin ETFs out of the way, crypto investors and traders are now focusing on the macroeconomic developments. They are probably waiting for the US Federal Reserve to announce its next move. Some analysts expect the central bank to begin cutting interest rates from March. If this comes to pass, cryptocurrencies are likely to perform well.

Will Bitcoin continue to witness price correction, or will it resume its uptrend? We now explore the price charts to get some answers. Stay tuned!

Bitcoin Price Analysis

On January 14th, BTC traded below $42,000 for a few minutes after plummeting below the 20-day EMA (Exponential Moving Average) of $43,709 the previous day. The move suggested that the bears were attempting to stage a comeback. The coin is changing hands for $42,286 at press time. If it reaches $43,709 and reverses, it’ll signal a change in the market sentiment from purchasing the dips to selling on every rally. Bitcoin could then drop to $40,022 and then hit $37,897.

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The above assumption won’t be valid if BTC bulls push the digital asset above $43,709. That is because Bitcoin could grow to $44,683. Overcoming this hurdle would signal the end of the corrective phase, and the coin could continue rising towards $49,985.

Ethereum Price Analysis

Although ETH is also correcting, the bulls have succeeded in keeping the token’s price above the $2,456.83 support level. The rising 20-day Exponential Moving Average ($2,387) and the Relative Strength Index (61) show that the buyers are still in command. If ETH crosses above $2,605, the possibility of a rally to $2,719.93 could increase. Breaking above this barrier boosts the prospects of a surge to $3,003, where we predict a massive presence of the bears.

From a bearish point of view, we anticipate a sharp drop to the 50-day Simple Moving Average of $2,292 if Ethereum bulls do not guard $2,402.

BNB Price Analysis

BNB bears dragged the digital currency below the 20-day Exponential Moving Average of $302.19 on January 12th, but they couldn’t maintain the lower prices as bulls purchased the dip, pushing BNB to $317.02 as of this writing. If the buyers hold the token above this price, a move to $338.23 would seem likely. BNB could grow to $400.93 if the hurdle at $350.11 is cleared.

On the negative side, we need to watch what happens at $292.03. If BNB doesn’t rebound when it reaches here, it may depreciate to the 50-day Simple Moving Average of $270.96.

Solana Price Analysis

SOL is trading just above the 20-day Exponential Moving Average of $96.04. Although this is a bullish sign, the Relative Strength Index being at the midpoint means that a significant upward or downward move may take some time to happen. Nonetheless, in case of a downward move, a drop below $96.04 might cause Solana to retest the $73 support. A move on the upside could stall at $118.04 as we anticipate bears’ presence at this level.

Cardano Price Analysis

Despite the bulls maintaining ADA above the $0.4697093 breakout level, the token has yet to cross above the descending channel, a move that would signal the end of the downtrend. If Cardano breaks above the channel, which means growing above $0.6008493, a surge to the $0.6848352 resistance could be a reality. On the other hand, a break below the descending channel could force ADA to touch $0.4300822.

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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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