bitcoin (btc) rose above $38,000 on November 24, but the bulls were unable to take advantage of this strength. This suggests hesitation to buy at higher levels. bitcoin is on track to form a Doji candlestick pattern on the weekly chart for the second week in a row. This indicates indecision between the bulls and bears about the next directional move.
With bitcoin holding near its 18-month high, BitMEX co-founder Arthur Hayes maintained his bullish stance. In a post on X (formerly Twitter), Hayes said that US dollar liquidity was increasing, which would likely drive bitcoin higher.
Another bullish projection came from PlanB, creator of the stock-to-flow btc price model family, who said in a post on X that bitcoin may not stay at current levels for long. PlanB expects bitcoin to maintain an average price of at least $100,000 between 2024 and 2028.
Analysts have become increasingly optimistic in recent days, but traders need to be careful because any uptrend is bound to have corrections.
Could bitcoin surpass $38,000 or start a corrective phase? Let’s look at the charts of the top 5 cryptocurrencies that can outperform in the short term.
bitcoin price analysis
bitcoin‘s bull run has hit a wall near $37,980, but bulls are in no hurry to close their positions. This shows that traders expect the uptrend to continue.
Immediate support on the downside is the 20-day exponential moving average ($36,546). If the price recovers from this support, it will indicate that every minor dip is being bought. That will increase the possibility of a break above $37,980.
If that happens, the btc/USDT pair could rise to $40,000. This level may pose a strong hurdle for the bulls, but if buyers turn the $38,000 level into downside support, the rally could extend to $48,000.
On the contrary, if the price falls below the 20-day EMA, it will indicate that traders are taking profits. The pair could then fall to $34,800.
The bulls are trying to keep the price above the moving averages but are finding it difficult to clear the $37,980 hurdle. The Relative Strength Index (RSI) is just above the midpoint, indicating that the bullish momentum is weakening.
If the price falls below the 50 simple moving average, the pair may fall to the uptrend line. The bulls are expected to defend this level vigorously. On the upside, a breakout and close above $38,500 will indicate that the bulls are in the driver’s seat.
Uniswap Price Analysis
Uniswap (UNI) fell below the 20-day EMA ($5.44) on November 21, but lower levels attracted aggressive buying by bulls. That started a strong rally on November 22, which raised the price to $6.60 on November 24.
The bullish move faces selling near the overhead resistance of $6.70. The UNI/USDT pair has retraced to the 38.2% Fibonacci retracement level of $5.92, and the next stop could be the 50% retracement level of $5.71.
A strong rebound in this area will suggest that traders view dips as a buying opportunity. That may improve the prospects of a break above $6.70. Such a move will complete a double bottom pattern, which has a target of $9.60. The bullish momentum is likely to weaken below the 61.8% Fibonacci retracement level of $5.50.
The bulls tried to protect the 20 EMA, but the bears had other plans. They lowered the price below the 20 EMA, starting a deeper correction. If the price remains below the 20 EMA, the pair may fall to the 50 SMA.
If the price rises from the current level or bounces off the 50 SMA, it will suggest that lower levels are being bought. The bulls will again try to push the price towards the overhead resistance of $6.70. If this resistance is broken, the pair may shoot up to $7.80.
Immutable price analysis
Immutable (IMX) has held above the $1.30 breakout level for the past few days, suggesting that the bulls have the upper hand.
The price may retrace to the area between $1.30 and the 20-day EMA ($1.20). This zone is likely to witness a tough battle between the bulls and bears, but if the buyers prevail, the IMX/USDT pair could rise to $1.86.
Instead, if sellers push the price below the support zone, it may cause short-term stops from traders. That could accelerate selling and lead to a steeper correction to the psychological level of $1.
The 20-hour EMA on the 4-hour chart has flattened and the RSI is just below the midpoint, indicating possible consolidation in the near term. The first support on the downside is $1.30. If buyers sustain the price above this level, it will suggest that $1.30 is acting as a new floor.
On the upside, a break above $1.50 will signal the resumption of the upward movement. The pair can travel to $1.59 and then to $1.63. Contrary to this assumption, a drop below $1.20 could tilt the short-term advantage in favor of the bears.
Related: XRP price bull flag hints at 20% rally for New Year
VeChain Price Analysis
Buyers pushed VeChain (VET) above the overhead resistance of $0.023 on November 26, but are struggling to hold the higher levels, as seen from the long wick of the candle.
The sellers will try to catch the aggressive bulls and take the price to the 20-day EMA ($0.021). If the price bounces off this level, it will suggest positive sentiment. The bulls will again try to overcome the $0.023 hurdle. If they can achieve this, the VET/USDT pair could rise to $0.027 and then try to reach the pattern target of $0.031.
On the contrary, if the bears sink the price below the 20-day EMA, it will indicate that the pair may remain stuck within a wide range between $0.014 and $0.023 for a while longer.
The pair has fallen back below the breakout level of $0.023, indicating that the bears have not given up and are selling at higher levels. The pair could reach the 20 EMA next, which is an important level to pay attention to.
If the price bounces off the 20 EMA, the bulls will make another attempt to push the price above $0.023 and begin the next leg of the rally to $0.027. On the other hand, a break below the 20-day EMA could initiate a deeper correction to $0.020.
Algorand Price Analysis
Algorand (ALGO) reached the overhead resistance of $0.14 on November 25, where the bears are expected to mount a strong defense.
If the bulls do not give up much ground from the current level, it will suggest that traders are holding their positions, waiting for an upward move. That increases the probability of a rally above the $0.14 to $0.15 resistance zone. If that happens, the ALGO/USDT pair will complete a cup and handle pattern. This reversal setup has a pattern target of $0.20.
If the bears want to avoid the bullish move, they will have to drag the price below the critical support of $0.12. If this level gives way, the pair may fall to $0.11 and then to $0.09.
The 4-hour chart shows the pair oscillating within the range of $0.12 to $0.15 for some time. In a range, traders typically buy near support and sell near resistance. It is difficult to predict the direction of the breakout with certainty; Therefore, traders may consider waiting for the breakout before placing large bets.
If the price breaks above $0.15, the pair is likely to begin the next leg of the upward movement. The pair may rise first to $0.18 and then to $0.20. This positive view will be invalidated if the price declines and falls below $0.12.
This article does not contain investment advice or recommendations. Every investment and trading move involves risks, and readers should conduct their own research when making a decision.
