Crypto price analysis 7/29: Bitcoin could soon reach $ 14,000 if breaks $ 11,700 plus ETH, XRP, BCH
Bitcoin price eventually woke up to a new high in 2020, but when it soared past $ 10,000, some traders seemed to have opened excessively long positions. This effect becomes more noticeable when the rate of funding for permanent contracts reaches the second-highest level this year at 12.4% per month.
Bitcoin fees have risen much larger in recent days, soaring to a two-month high of $ 3.80 per network transaction. Cryptocurrency asset fees have skyrocketed 590% since June 14, and mempool size has increased dramatically.
Meanwhile, on-chain data shows that bitcoin’s breakout above $ 11,000 makes 93% of the circulating supply profitable. Also, seven-day figures show that Bitcoin’s “realized price” has recovered from a low that took place on March 12.
The Bitcoin price has stabilized in the region below $ 11,000, which seems to indicate that it is preparing for a higher upward push in the near term.
Overnight, King Coin faced some turbulence as the bears pushed it to as low as $ 10,500, but the support here proved to be significant. The strong reaction to $ 10,500 is an extremely important development because it shows that the bulls are tightly controlling BTC – even after being rejected at $ 11,400.
Analysts are now claiming that the protection of this level is an extremely active technical development because it shows that the bulls can make a support flip in the textbook – open the door for BTC to see growth in the near future.
The main resistance level that analysts are currently watching closely is at $ 11,700.
While talking about this level, an analyst noted that it was the most important level across the chart, adding that a breakout on it could be enough to make Bitcoin fly higher.
Source: Teddy / Twitter
Economist Alex Krüger explained that Bitcoin has just posted a significant buy signal on its daily chart.
This same signal has only appeared twice in the past few years. Once at the end of 2017, just before Bitcoin’s uptrend turned parabolic, and once in 2019, right before it rises from $ 4,000 to a high of $ 14,000.
Source: Alex Krüger / Twitter
If the price action seen after this signal appears the same as seen in the past, that could mean Bitcoin is about to follow the parabolic path.
According to blockchain analysis firm Santiment, there are some signs that ETH’s ongoing rally may soon stop.
- Ethereum mentions on social media have skyrocketed to unprecedented levels since July 2019. This may be seen as an increase, but the company notes that the socially volatile volume in history coincides with the peak.
- This recent stream of social media is largely positive. The extremely positive social sentiment towards Ethereum has shown the formation of a short-term high on many occasions over the past year.
- Crypto exchanges have just experienced the largest ETH stream since the price spiked in early June. This is not a downward trend unless you think these coins will soon be sold to fiat or altcoin.
This latest analysis by Santiment comes as soon as the company points to another figure showing ETH may retrace.
“With $ETH peaking at $316 yesterday, the DAA vs. Price YTD model shows that the surplus of daily active addresses transacting has finally been equalized by its price. For the first time since June 17th, there is now a deficit of DAA, which indicates the potential of a short-term pullback.”
The techniques totally agree with the bearish prospects that the on-chain indicators and social trends draw on.
Trader “il Capo of Crypto” explained that Ethereum is trading on a discounted conditioning model that will lead to it headed at $ 380. What the analyst expects to follow this top is a drop under $100 early in 2021.
Source: il Capo of Crypto / Twitter
XRP gained momentum above the $0.225 resistance area. The XRP price broke a major hurdle near $ 0.232 and 100-hour SMA.
It has risen to $ 0.235 and reached new monthly highs at $ 0.241. It is currently consolidating the upside, and the initial support on the downside is near $ 0.238. It is close to the Fib 23.6% retracement of the recent rally from the $0.217 low to $0.241 high.
The first major support is near $ 0.235 (recent breakout area). The next major support level is near the $ 0.23 level or the Fib 50% retracement of the recent rally from the $0.217 low to $0.241 high.
There is also an important uptrend line forming with support near $ 0.226 on the hourly chart of the XRP / USD pair. On the positive side, the pair can struggle to clear the $ 0.242 resistance level.
A successful break above $ 0.242 can open the door for another leg higher. In the case mentioned, the price will probably return to $ 0.25 in the near future.
Over the past few days, BCh prices have risen sharply above $ 250. BCH even traded above the $ 260 and 100 SMA spindle levels (4 hours).
Finally, there was a break above the $ 280 resistance level. The price traded close to $ 300 and reached a new monthly high at $ 297. It is currently consolidating near the $ 290 level and testing the Fib 23.6% retracement of the recent rally from the $265 low to $297 high.
It looks like there is a short-term contact triangle forming with resistance near $ 295 on the 4-hour chart of the BCH / USD pair. Below the triangle support, there is major support formed near $ 280.
The Fib 50% retracement of the recent rally from the $ 265 low to $ 297 high can also act as strong support. On the upside, prices are facing barriers near $ 295 and $ 300.
A successful break above the triangle resistance and then $ 300 can open the doors for a bigger rise. In the case mentioned, the price could rise to $ 320 in the near future.
- XRP price recent break above $0.22 has opened the gates to see a moonshot rally that sends it significantly higher
- A crucial trend indicator suggests that Bitcoin price will move higher on a macro scale