Bitcoin (BTC) is facing a rejection rate of around $50,000, which indicates that the bears are not ready to give up without a fight. Many analysts expect the price of bitcoin to rise in the last quarter of the year, with stock-to-fly model maker Plan B saying that the “worst case scenario” for bitcoin will be $63,000 in October and $98,000 by November.
Plan B is not alone in its bullish outlook. Twitter commentator TechDev, using the Bitcoin Relative Strength Index (RSI) over four years, notes that the second phase of bullfighting in 2021 may just begin. The trader expects the Bitcoin peak price to be around $200,000.
Daily cryptocurrency market indicators. Source: Coin360
While historical estimates may suggest a pick in the last quarter, growth may not be linear. According to Sam Stovall, investment analyst at CFRA, volatility in the US stock market in October was 36% higher than the average for the remaining eleven months. Given Bitcoin’s significant correlation with the S&P 500, traders may find themselves on a quick trip in October.
Could Bitcoin Follow Historic Priority and Move Up? Will altcoins join the party? Let’s take a look at the top 10 cryptocurrency charts to find out.
BTC / USDT
On October 3, the bulls pushed Bitcoin towards air resistance at $48,843.20, but the long wick of today’s candle indicates that the bears are aggressively defending the level. The price fluctuated between the 50-day single moving average (SMA) ($46,667) and $48,843.20 over the past two days.
BTC/USDT daily chart. Source: TradingView
If the bulls keep the price above air resistance, the BTC/USDT pair could pick up speed and build up to $50,000 and then to $52,920.
The 20-day Exponential Moving Average ($45,478) came out and the RSI was in positive territory, indicating an upward path with less resistance.
Contrary to this assumption, if the bear pulls the price below the 50 day simple moving average, the pair may fall to the 20 day moving average. Refusal of this support may be a positive sign and the bulls will make another attempt to remove this obstacle.
Bears will benefit if the price breaks and stays below the 20 day moving average. Then the pair may drop to the 100-day moving average ($41,935).
ETH / USDT
On October 1, the bulls pushed Ether (ETH) past the downtrend line and moving averages, but the bears have yet to react. The sellers are trying to stop the rally near $3,500 and bring the price back below the 50-day moving average ($3297).
ETH/USDT daily chart. Source: TradingView
If they succeed, ETH/USDT could drop to the 20-day moving average ($3,194). This is an important support to protect the bulls as a break below it may attract more selling. After that, the pair may drop to the psychological level of $3000 and then to the 100-day simple moving average ($2841).
Alternatively, if the price is behind the moving averages, the bulls can make another attempt to push the price above $3,500. If the price remains above this resistance, the pair could rise to $3676.28 and then to $4000.
BNB / USDT
Binance Coin (BNB) encountered a strong resistance to break the $433 resistance, but on the positive side, the bulls have not given up much of the area. This indicates that buyers are holding on to their positions, anticipating a move up.
BNB/USDT daily chart. Source: TradingView
The 20-day moving average ($395) came out and the RSI was in positive territory, indicating a slight advantage for the bulls. If buyers keep the price above $433, the BNB/USDT pair could rise to $518.90.
Contrary to this assumption, if the price falls below the current level, the pair may fall to the 20-day moving average. If the price returns from this level, the bulls will try to push the pair above $433 again. A breakout and expiry of the 20-day moving average may keep the pair within the range for several days.
ADA / USDT
The bulls pushed Cardano (ADA) towards the 20-day EMA ($2.25) for the past two days in a row, but failed to sustain higher levels. This indicates that sentiment remains negative and that traders are defending the 20 day moving average.
ADA/USDT daily chart. Source: TradingView
The price dropped from the 20-day moving average on October 4 and now the bears will try to reduce the ADA/USDT pair to a critical support at $1.94. If this level falls, the pair could witness a violent sell-off and drop to $1.60.
This negative prediction will become invalid if the price breaks above the current level or returns to the $1.94 support and rises above the 20-day EM.