Price Analysis January 7th, 2024 – BTC, ETH, AVAX, BNB, SOL, and ADA

The crypto market has recorded significant declines over the past few days, as a recent report suggested that financial advisors are skeptical about the US Securities and Exchange Commission approving a spot Bitcoin Exchange-Traded Fund this month.

Nonetheless, Bloomberg ETF guru James Seyffart continues to stand by his belief that an SEC approval on the long-awaited ETF is imminent. He expects the Commission to give the new investment vehicle a green light between Monday, the 8th, and Wednesday, the 10th.

Meanwhile, some crypto analysts think traders and investors will continue selling Bitcoin and altcoins even when the SEC approves an ETF. However, John Bollinger, the brains behind volatility indicator Bollinger Bands, thinks otherwise. On Saturday, he said in an X post that Bitcoin will surge massively after the US regulator approves an ETF.

With that said, let’s now analyze the price charts of various cryptocurrencies.

Bitcoin Price Analysis

Bitcoin dropped to the 50-day SMA (Simple Moving Average) of $41,201 earlier this week. The bulls succeeded in protecting the level, pushing the coin inside the ascending triangle to indicate that the bullish momentum was still alive.

BTC is now changing hands for $44,393. The buyers need to overcome the resistance at $44,688 to begin a rally to $50,093, where we expect the bears to level a solid defense. If the sellers want to take control of the market, they must pull and sustain Bitcoin below $41,201. That way, they will improve their chances of dragging the coin to the $38,043 support.

Ethereum Price Analysis

Buyers’ attempts to push ETH above the 20-day EMA (Exponential Moving Average) of $2,270.42 have yet to bear fruit. And with the Relative Strength Index dropping close to the midpoint, we are likely to witness Ethereum trading within the $2,216.40 – $2,270.42 range for a while. But if a break happens on the upper side, the second-largest token could grow to retest $2,402.30 and even rise to $2.700.20. On the other hand, a break below $2,216.40 opens room for a downward move to the $2,101.03 and $1,904.93 support levels.

BNB Price Analysis

Although BNB is still in a bullish trend, it is now consolidating. The good news is that the buyers have managed to sustain the token above crucial support levels, indicating they are in control. BNB is currently valued at $306.72. The bulls will try to propel the cryptocurrency above the $338.65 overhead resistance. After achieving this, the road to $370 will be easy since there is no major resistance.

Conversely, a fall below $300.02 would cause a negative divergence to form, signaling a weakening positive momentum. We anticipate a drop to $280.30 if that happens.

Solana Price Analysis

SOL has found it difficult to go above $100 over the last few days. It now trades below the 20-day Exponential Moving Average of $97.56. If the sellers manage to maintain Solana below this vital level, selling activity may intensify, pulling the token to the 50-day Simple Moving Average of $77.63. On the positive side, if SOL’s price exceeds $106, it will no longer be below the downtrend line, and this may motivate the buyers to start a rally to the $126.04 resistance.

Cardano Price Analysis

ADA has broken below the ascending triangle, giving the bears an advantage. If they capitalize on it to drag Cardano below the 50-day Simple Moving Average of $0.5198208, the crypto asset may correct deeper to the $0.4609913 breakout level, where a solid buying activity is anticipated.

Meanwhile, the bulls must thrust ADA above $0.6480217 to take charge of the market. If they succeed, a rally to $0.7109427 will be possible.

Avalanche Price Analysis

The barrier at the $40.03 resistance level has yet to crumble, indicating the strong presence of the bears. With AVAX now trading at $35.98, a move to the 50-day Simple Moving Average of $32.98 seems likely. However, if the buyers push the digital currency above $40.03, a surge to $44.37 could be a reality.