I’m seeing opportunities to catch the dips on these ongoing crypto rallies!
Here are the pullback levels on my radar.
Bitcoin (BTC/USD) seems to have completed a shallow pullback and is now setting its sights higher again!
Price bounced off the 38.2% Fib we were eyeing last week, as bulls have been eager to charge again. After all, a bullish moving average crossover took place and Stochastic is turning higher without reaching the oversold region.
Applying the Fibonacci extension tool shows the upside targets buyers are aiming for. Price is already closing in on the 38.2% level that lines up with the swing high, but stronger bullish momentum could take BTC up to the $70,000 handle near the 50% extension.
If bitcoin bulls are up for it, they could even shoot for new all-time highs at the 76.4% extension close to the $80,000 mark!
Cardano (ADA/USD) is in correction mode, and price is hovering at an area of interest spanned by several inflection points.
Buyers might jump back in around the 61.8% Fib that’s right smack in line with a rising trend line that’s been holding since the start of the year. This also coincides with a former resistance zone and the 200 SMA dynamic support.
Stochastic is still heading lower, so better wait for the oscillator to reflect exhaustion among sellers before attempting to catch the uptrend!
Polygon (MATIC/USD) has been cruising higher lately, but price is hitting a wall at the top of its ascending channel visible on the daily time frame.
Could a pullback be in order?
Using the handy-dandy Fib tool on the latest swing low and high shows that the 38.2% to 50% levels span the mid-channel area of interest where buyers might be hanging out.
A larger pullback could reach the 61.8% Fib just slightly above the $1.5000 mark and the channel bottom. Stochastic has plenty of room to head south before reaching the oversold region anyway.
Still, the 100 SMA is above the 200 SMA to confirm that the longer-term uptrend is more likely to resume than to reverse.
Dogecoin (DOGE/USD) is also in the middle of a pullback, as price got rejected at the rising channel resistance and has retreated to the middle.
If this holds as support, price could climb right back up to the channel top at $0.3500. A larger correction, on the other hand, could reach the channel bottom around $0.2250.
Stochastic is heading down and has plenty of room to head south before indicating oversold conditions.
Also, the 100 SMA is below the 200 SMA to suggest that the path of least resistance is to the downside. In other words, support levels are more likely to break than to hold.
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If this is your first time checking out crypto charts, keep in mind that there is a considerable amount of risk in trading cryptocurrencies due to their inherent volatility and sensitivity to headlines. Be careful out there!