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The previous week witnessed a downturn in the altcoin market, with top altcoins experiencing significant declines after failing to sustain higher levels. Despite the initial bullish sentiment and buying opportunities brought by Ripple’s victory, it appears that the majority of traders have now pivoted towards bearish positions. As a result, prominent altcoins, including Ripple’s XRP, Binance Coin (BNB) and Litecoin (LTC), are heading toward a make-or-break moment next week.
The past week saw the crypto market experiencing extreme fluctuations, with prices soaring to unexpected highs only to drop to distressing lows within a matter of hours. Furthermore, Bitcoin was unable to sustain the optimism of bullish investors as its price sharply fell below the psychological $30K threshold. However, if Bitcoin continues to hover below the $30.5K mark in the coming week, a significant shift is anticipated. This could prompt investors to redirect their investments towards altcoins, potentially driving up their prices.
Bullish investors managed to drive XRP beyond the key resistance level of $0.85 but failed to maintain this momentum.
This situation tempted short-term bulls to cash in their profits, while aggressive bears started opening short positions. The bears will aim to drag the price towards the 50-day EMA support level at $0.74.
If the price bounces back from this level, the XRP price could continue to fluctuate within the $0.75 to $0.85 range for a while.
A successful break and closure above $0.85 might pave the way for a potential retest of $0.93. Conversely, a fall below $0.74 could plunge the price to $0.55.
BNB remains within the confines of the symmetrical triangle pattern, indicating a state of uncertainty between bullish and bearish traders.
The symmetrical triangle is generally seen as a continuation pattern, but there are instances where it can act as a breakout pattern. The relatively flat 20-day EMA and the Relative Strength Index (RSI) hovering around the midpoint do not provide an advantage to either the bulls or the bears.
If the buyers manage to push the price above the triangle, the BNB price could ascend to the next resistance at $285. This resistance level is crucial to monitor as surpassing it could pave the way for a potential surge to $300.
For the bears to take control, they would need to pull and maintain the price below the triangle. If the $235 support level collapses, the selling pressure could intensify to $220.
Litecoin’s price has been fluctuating within the moving averages, indicating market uncertainty. Despite buyers’ attempts to push the price above the 100-day EMA, sellers have resisted, aiming to establish this as a resistance level.
If the LTC price falls below the crucial support of $89, selling pressure could intensify, potentially driving the LTC price down to $81. However, if the price surpasses $96, a relief rally of up to $106 could occur.