Crypto Price Analysis 7-31 BTC, ETH, SOL, MKR, AAVE, BCH, DOT, JUP

As a seasoned crypto trader who’s seen more market fluctuations than I can count, I must say that watching Bitcoin Cash (BCH) soar is a breath of fresh air. The 25% increase in just four days is impressive and shows the resilience of this coin. However, I’m keeping a close eye on its current drop towards $400, hoping it doesn’t stall at that level. If BCH can rebound, we might see another push towards $450.

After surging past $70,000, Bitcoin (BTC) has experienced a significant slowdown, causing its price to dip below $66,000 during the current trading period. This is now the third straight day of decline for BTC, suggesting that sellers are active at higher levels around $70,000.

On Monday, Bitcoin (BTC) experienced a robust upward push, pushing it towards $70,000, with buyers taking the lead initially. However, sellers eventually regained control, causing Bitcoin to plummet by nearly 2% and settle at $66,810. It’s likely that Bitcoin will go through a phase of stabilization before making its next move, which might involve another attempt at reaching $70,000.

US Senator Cynthia Lummis’s Office Shares Draft Bill

Senator Cynthia Lummis’ office has circulated a proposed bill for legislation that aims to establish a strategic Bitcoin (BTC) reserve. In this draft, it is suggested that part of the funding for acquiring Bitcoin to set up this new reserve would come from revaluing gold certificates currently managed by the Federal Reserve System. Known for her pro-Bitcoin views, Lummis intends to introduce this strategic reserve at the Bitcoin Nashville conference, where she spoke shortly after Donald Trump, who is the Republican candidate in the upcoming U.S. presidential elections.

In his address, Trump advocated for the creation of a national Bitcoin reserve using Bitcoins confiscated by the U.S. government. These Bitcoins have been obtained through legal seizures and forfeitures. The proposed legislation aims to create a decentralized system of secure Bitcoin storage sites spread throughout the United States. These locations would be chosen following a thorough risk analysis, taking into account factors such as security, accessibility, and geographical diversity. Furthermore, the bill suggests that the Treasury Secretary initiate a program to purchase up to 200,000 Bitcoins annually for five years. These Bitcoins would then be held for at least two decades and used exclusively to settle federal debts.

The proposal includes a few key changes:

Focus Shifts To Supply

Bitcoin (BTC) experienced a significant decline from its six-week peak, potentially due to speculation that the U.S. could sell seized tokens if Donald Trump wins another term in office and intends to create a strategic reserve of the asset. This follows the U.S. government transferring $2 billion worth of BTC to a new wallet address, leading analysts to suspect these coins originated from the Silk Road seizures. Spencer Hallarn, the global head of OTC trading at GSR, noted that there was an increase in short-term call buying, with option holders now looking to sell their positions, causing the prices to drop.

Prior to President Trump’s speech at the Bitcoin Conference over the weekend, there was an unusually high volume of short-term call options being bought. After the event, as option buyers sought to close their positions, the same traders who had been buying Bitcoin last week began selling it, creating resistance and potentially pushing prices down.

Bitcoin (BTC) Price Analysis

After dipping to a low of $63,846, Bitcoin (BTC) staged a strong comeback, with its 50-day Simple Moving Average serving as a crucial support level. This resurgence led to BTC gaining 0.63% on Thursday, taking it to $65,845. The momentum continued on Friday, resulting in a 3.12% increase and pushing the price to $67,899. Over the weekend, Bitcoin showed signs of volatility as traders vied for control. Despite some significant price fluctuations, BTC ultimately settled at $67,833, experiencing only a minor decrease. Attempts by sellers to push BTC below $68,000 on Sunday were unsuccessful, and buyers managed to drive the price up to $68,254 instead.

To start off this week, Bitcoin (BTC) witnessed a strong push towards $70,000 due to heightened buying activity. However, the bullish momentum faltered, causing BTC to dip back when sellers stepped in at that level. This sudden increase in selling pressure caused BTC to drop by 2.12% to $66,810. On Tuesday, sellers held the upper hand as they tried to push the price below $65,000, but the support at $65,000 prevented this from happening, allowing buyers to potentially drive BTC higher. By the end of the day, BTC closed at $66,252, representing a 0.83% decrease. Currently, in the ongoing session, BTC is showing a slight increase as buyers strive to reverse the downtrend experienced over the past few days. As you can observe from the price chart, sellers have attempted to push BTC below $65,000 again but were unsuccessful so far.

If sustained selling prevails, Bitcoin (BTC) might fall below $65,000, suggesting a growing bearish sentiment. In this case, it’s possible that BTC could slide down to $60,000. Despite this, the broader market maintains its bullish outlook, as traders remain optimistic about BTC reaching a new record high in 2021. A temporary phase of sideways movement is anticipated for BTC in the near future before regaining momentum.

Ethereum (ETH) Price Analysis

Ethereum Exchange-Traded Funds (ETFs) have encountered various difficulties, registering substantial outflows despite an impressive initial debut, garnering $106 million in net inflows. Similarly, ETH itself is navigating turbulent waters, showing sideways movement and failing to break through the $3,500 resistance. However, it has a robust support level around $3,000 that has maintained its price stability. This strong support suggests high demand at lower prices. Another vital support level can be found at $2,850. On the upside, ETH faces resistance at $3,400 and $3,500, with the 20-day Simple Moving Average (SMA) acting as a dynamic obstacle. Important resistance levels lie beyond this at $3,800 and $4,000.

Over the past few days, Ethereum (ETH) has been steadily increasing after hitting a low of $3,009 on Thursday. It managed to rebound from its support levels and reached a high of $3,330, but then fell back to $3,250 due to selling pressure. This was a significant drop of almost 5%. However, it recovered slightly on Friday with a rise of 3.20% to $3,277. On Saturday, ETH tried to push above its 20-day Simple Moving Average (SMA) but failed and later dropped to $3,201 due to more selling pressure. Yet, it managed to bounce back on Sunday with an increase of 0.68% and moved up to $3,272. On Monday, buyers made a strong attempt to push ETH over $3,400 but faced resistance at that level, resulting in a minor increase of only 1.42%.

On Tuesday, bears dominated the market, causing Ether (ETH) to reach its daily low of $3,196. Despite this, demand at lower prices allowed ETH to climb back up to $3,280, resulting in a 1.17% drop for the day. Currently, ETH is increasing by 1.41% as buyers aim to push beyond the 20-day Simple Moving Average (SMA). So far, buyers have successfully protected ETH’s support levels at $3,200 and $3,000. For a lasting recovery, ETH needs to surpass both the 20 and 50-day SMAs and close above $3,400. If it achieves this, it could prepare itself for a possible move towards $3,500 and beyond.

Solana (SOL) Price Analysis

Over the past week, Solana (SOL) increased by more than 5%, but its upward momentum seemed to falter when it dipped below $180 on Tuesday. However, SOL rebounded strongly after hitting a low of $165 on Thursday, gaining 6.56% on Friday and breaking through the $180 barrier. On Saturday, there was significant price fluctuation as sellers tried to drive the price back below $180. Despite this, buyers managed to hold their ground, resulting in a small increase for SOL at the end of the day. The volatility decreased on Sunday, and SOL saw a 0.60% rise, surpassing $185.

As a seasoned cryptocurrency trader with several years of experience under my belt, I have seen countless price fluctuations and market shifts. This week, I was initially optimistic about Solana (SOL) as it started off strong, surging past $190 to $194.07, with many investors anticipating a break above $200. However, my excitement was short-lived as sellers defended this level aggressively, causing SOL to lose momentum and slip into the red.

The price of SOL should hold steady at around $170. If it falls below this point, it might drop down to $150, another strong support level. But if the bulls manage to push the price past $185 and $190, they could potentially take another run at $200. However, there will be strong resistance at these levels, so the sellers will try hard to prevent this from happening.

Maker (MKR) Price Analysis

Starting from July 16, Maker (MKR) experienced a significant upward trend after hitting a low of $2,043. This surge continued until MKR reached over $3,000 on July 17, settling at $3,045. However, following this peak, the price started to decline and by July 25, it had dropped to $2,641, dipping below the 20-day Simple Moving Average (SMA). On Friday, MKR tried to rebound above the 20-day SMA, reaching a high of $2,783. Yet, the buyers failed to maintain the momentum, and the price fell back to $2,652, resulting in only a slight increase. The weekend was relatively quiet for MKR, with a minor decrease on Saturday and a minor rise on Sunday, despite some market volatility.

On Monday, I observed a significant rise in MKR‘s value due to demand around the $2,600 mark. Consequently, MKR soared by approximately 7% and moved beyond its 20-day Simple Moving Average (SMA), settling at $2,824. Unfortunately, on Tuesday, there was a dip, with MKR sliding to $2,779 following a decrease of 1.58%. However, it’s encouraging to note that MKR bounced back from the 20-day SMA and is currently trading at $2,877, marking an increase of 3.54%. If the buying momentum continues, MKR might regain the $3,000 level. On the flip side, a potential reversal could lead to a drop in price, possibly down to $2,700 or even $2,500.

AAVE Price Analysis

Over the past week, Aave (AAVE) has bucked the trend and climbed nearly 15%, indicating a robust optimism among investors regarding the token. The asset skyrocketed following its low of $85.82 on Friday, with buyers managing to counteract the downward momentum, pushing the price to a peak of $97 before settling at $92.89, marking a 3.31% rise. On Friday alone, AAVE experienced a 5.34% surge, crossing above its 20-day Simple Moving Average (SMA) and reaching $97. However, the bulls’ attempt to push the price above $100 was met with resistance from sellers, causing the price to retreat back to $97 on the chart.

On Saturday, AAVE reached $101 following a 3.43% growth, reclaiming the $100 level and surpassing its 200-day Simple Moving Average (SMA), indicating a positive trend. However, on Sunday, there was a slight retreat as AAVE dipped to $98. Bullish sentiments resurfaced on Monday with an over 6% surge to $104. Tactics by sellers to drive the price below $100 on Tuesday were unsuccessful. Instead, AAVE experienced a minor increase of 0.26%. As we speak, bulls are back in charge, pushing the price up by 2.31% and trading at $107.

Bitcoin Cash (BCH) Price Analysis

Bitcoin Cash (BCH) has been a notable performer in the cryptocurrency market, experiencing a substantial 25% growth within a four-day span. The upward trend commenced on Friday and gained momentum over the weekend, propelling it beyond the Simple Moving Averages (SMAs) of 20, 50, and 200 days to surpass $400 on Sunday, settling at $417 after a rise of $6.17%. The new week started with BCH peaking at $459 as buyers aimed to maintain levels above $450. However, the price encountered strong selling pressure at this level and dipped back to $439. Despite this decline, Bitcoin Cash still recorded an impressive growth of 5.28%.

Several experts anticipated that Bitcoin Cash’s surge might slow down when the Relative Strength Index (RSI) neared the overbought region. True to prediction, BCH experienced a decline by 1.49% on Tuesday. Furthermore, in the ongoing session, BCH is trading below the mark as sellers strive to drive the price towards approximately $400. If the selling pressure persists, BCH might fall to $400, where the 200-day Simple Moving Average (SMA) could potentially serve as a support. Should it recover from this level, there’s a possibility of retesting $450 once more.

Polkadot (DOT) Price Analysis

Over the last week, Polkadot’s (DOT) price dropped by approximately 8%, signifying ongoing difficulties. Furthermore, user demand for DOT has been consistently decreasing since July, adding more pressure on the price. Since mid-June, DOT has been trading within a range of $6.40 and $5.50, but with increasing bearish sentiment, there’s a growing likelihood that it might fall below the $5.50 support level. Activity among Polkadot users on its main Relay Chain and associated parachains has also dropped to levels not seen since the start of this year, reflecting reduced interest in the platform.

Looking at the price graph, Polkadot (DOT) has been on a downward trend since the weekend following its peak at $5.87 on Friday. Despite attempts by buyers to propel it towards $6 on Monday, these efforts were met with resistance from sellers. By Tuesday, DOT dipped to $5.53, hovering slightly above the crucial support level of $5.50. If the bulls cannot hold this level, DOT may plummet to $5 or potentially lower, even reaching a yearly low if it falls below $4.91. The Relative Strength Index (RSI) suggests bearish momentum but is nearing the oversold region, hinting at a potential rebound. If there is a recovery, DOT will likely encounter substantial resistance at $6. In case it manages to break through this barrier, $6.50 and $7 present formidable resistance levels.

Jupiter (JUP) Price Analysis

In a remarkable resurgence following its dip on July 4, the cryptocurrency known as Jupiter (JUP) has soared by approximately 34% over the past month. On Friday, it regained the $1 mark, spiking by almost 13% to reach $1.07. Over the weekend, JUP climbed even higher, reaching a daily high of $1.18 on Saturday. However, the price dipped from this level and closed at $1.09, representing a rise of 1.86%. On Sunday, buyers continued to push up JUP’s value, taking it to $1.12. On Monday, buyers made a determined effort to push JUP towards $1.20, peaking at $1.21. Unfortunately, sellers intervened, causing JUP to drop back down to $1.09. As the market sentiment shifted bearish, JUP experienced a nearly 3% decline.

On Tuesday, JUP struggled to stay above water, as traders tried to push the value down below $1. Yet, they were unsuccessful, resulting in a closing price of $1.04 – a drop of 4.35%. Interestingly, during the current session, JUP has seen an upturn, with a 3.31% increase. Now, it’s trading at $1.07.

2024-07-31 15:07