Bitcoin Price Support at $30K Opens the Door to Profits from UNI, ARB, AAVE and MKR

Bitcoin (BTC) attempted to break away from its boring sideways price action on July 13 following Ripple’s legal victory at the United States Securities and Exchange Commission, but the euphoria proved short-lived. Sellers pulled the price back into the range on July 14, indicating that they remain active at higher levels. However, a positive sign is that the bulls have kept bitcoin price above $30,000.

Market observers are expected to closely follow the review process of various exchange-traded fund (ETF) proposals for the spot bitcoin ETF, with BlackRock’s proposal leading the way. Interestingly, only one of BlackRock’s 550 ETF applications has been rejected, according to Eric Balchunas and James Seifert of Bloomberg Intelligence.

Many altcoins are seeing solid buying even as bitcoin consolidates awaiting its next catalyst. This has pulled bitcoin’s market dominance below 50%, suggesting that the focus may shift to altcoins in the near term.

Can bitcoin start a trending move in the near term or will it stay range bound? Which are the altcoins that are looking strong on the charts? Let’s study the chart of top-5 cryptocurrencies that could be on traders’ radar in the next few days.

bitcoin price analysis

Bitcoin closed above $31,000 on July 13, but it proved to be a bullish trap as bears pushed the price below July 14 levels. This suggests that the bears are fiercely defending the area between $31,000 and $32,400.

The price action of the past few days has created a bearish divergence on the RSI. This indicates weakening of the bullish momentum. The bears will try to extend gains by pulling the price below the 20-day exponential moving average ($30,187). If they succeed in doing so, the BTC/USDT pair could decline further to the 50-day simple moving average ($28,631).

If the bulls want to stop the decline, they will need to quickly push the price above $31,000 and hold it. The pair could then climb up to $32,400. A break and close above this level would potentially pave the way for a move towards $40,000 as there is no major resistance in between.

The pair has declined below the moving averages on the 4-hours chart, which indicates a decrease in demand at higher levels. The bears will need to drop and sustain the price below $29,500 to start a deeper correction. The pair could then decline to $27,500.

Alternatively, the bulls need to push and sustain the price above $31,000 to start a move towards $32,400. If the price declines below $32,400 but rebounds above $31,000, it will suggest that the bulls have turned the level into support. After that the pair can start a rally towards $40,000.

Uniswap Price Analysis

Uniswap (UNI) is taking support at the 20-day EMA ($5.41) during the pullback which indicates that the sentiment has turned positive and traders are buying on the downside.

The bulls will try to buy the current decline and push the price above the immediate resistance at $6.16. If they can accomplish this, the UNI/USDT pair could rise to $6.50. This level could again act as a strong resistance but if the bulls do not give up more ground, the pair could reach $6.70.

The key support to watch on the downside is the 20-day EMA. A break and close below this level would signal that the bears are back in play. The pair could then decline to the 50-day SMA ($5) and later to the important support at $4.72.

There is a correction to the 20-EMA on the 4-hours chart. This is the first important support worth looking at. If the price rises above this level, the pair is likely to retest the overhead resistance at $6.17. Above this level, the pair may climb to the resistance line of the ascending channel.

Conversely, if the price turns below the 20-EMA, it would suggest that short-term traders can book profits. This could lead to a drop in the price to the support line of the channel. If this level breaks, the pair may drop to $5.08.

arbitrum price analysis

Arbitrum (ARB) broke out and closed above a symmetrical triangle pattern on July 15, indicating that the bulls have overcome the bears.

The 20-day EMA ($1.16) has moved up and the RSI is approaching the overbought zone, indicating that the path of least resistance is to the upside. There is a minor resistance at $1.36 but if that level is surpassed, the ARB/USDT pair could continue to rise towards $1.50. This level could again pose a strong challenge but if the bulls overcome it, the rally could extend towards $1.70.

This positive outlook will be invalidated in the near term if the price turns down and breaks below the support line of the triangle. This could trap several aggressive bulls, which could result in a massive drop to $0.90.

The bulls successfully retested the breakout level from the symmetrical triangle, indicating that lower levels are attracting buyers. The bulls will try to build on this strength by pushing the price above $1.36. If they’re successful, the pair could build on the momentum.

Conversely, if the price turns down from the current level or $1.36, the bulls will again try to pull the pair back into the triangle. If they do, it would suggest that the recent breakout could be a bull trap. The pair could then decline to the 50-SMA and then to the support line of the triangle.

Connected: Buying Dip? Bitcoin Supply Record 3.8% Last Moved To $30.2K

awe price analysis

Aave (AAVE) broke and closed above a descending channel pattern on July 3. The bulls successfully retested the breakout level on July 6 and again on July 10. This shows that the bulls turned the resistance line into support.

The rising 20-day EMA ($72) and the RSI in the positive zone suggest that the bulls are in control. If the price gains from the current levels or bounces off the 20-day EMA, it will increase the chances of a rally above $84.50. After that the AAVE/USDT pair could rally to $95.

Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, it would suggest that the bulls are losing their grip. The bears will again try to drag the price down.

The 4-hours chart shows that the bulls pushed the price above the overhead resistance at $84.50, but they could not sustain the breakout. The bears sold the higher levels and dragged the price below the 20-EMA.

Both the moving averages have flattened out and the RSI is near the midpoint, indicating a balance between supply and demand.

If the price breaks below the 50-SMA, profits may shift in favor of the bears. The pair could then decline to $68. The gains will shift in favor of the bulls if the price sustains above $84.50.

producer price analysis

Maker (MKR) broke the downtrend line on July 2 and successfully retested the level on July 14. The bounce off this support indicates strong demand at lower levels.

The 20-day EMA ($878) and the RSI in the positive zone suggest that the bulls are in control. The buyers are attempting to resume the uptrend, but they may face a stiff resistance near the $1,100 level. If the bulls overcome this barrier, the MKR/USDT pair could continue to rise towards $1,200.

Conversely, if the price declines below $1,080, it would suggest that the bears will continue selling on the rallies. The pair could then decline towards the 20-day EMA. A break below this level will signal that the bears are attempting a comeback.

The 4-hours chart shows that the bulls have pushed the price above the resistance line, indicating that the short-term correction may be coming to an end. The price is likely to decline towards the resistance line, which is an important level to keep an eye on.

A strong bounce off this level would signal that the bulls have turned the resistance line into support. This will improve the chances of a break above $1,080.

This positive outlook could be invalidated in the near term if the price turns down from the moving averages. This may cause the pair to sink to $831.