Top 4 cryptocurrencies to watch this week : BTC , LUNA , FTM , ATOM

In the first few days of the New Year, Bitcoin (BTC) has remained below the psychological level of $50,000, signalling a lack of aggressive buying by traders. The flight of Chinese traders who had until December 31 to quit Chinese exchanges, according to former BTCC CEO Bobby Lee, may have pushed prices lower through the year-end.

President Nayib Bukele of El Salvador, the first government to recognise Bitcoin as legal tender, believes the cryptocurrency might reach $100,000 this year. In addition, President Bukele stated that in 2022, two more countries will accept Bitcoin as legal cash.

BTC/ USDT

For the previous two days, Bitcoin has been trading between the 20-day exponential moving average ($48,720) and firm support at $45,456. This shows that at greater levels, buying dries up.

Bears have the upper hand as both moving averages are trending down and the relative strength index (RSI) is in the negative zone. The bears will aim to push the price below $45,456 if the price drops below the 20-day EMA. If they succeed, the next leg of the downturn, which may take them to $42,000 and then $40,000, could begin.

In contrast to this notion, the BTC/USDT pair might advance to the 50-day simple moving average ($52,332) if the price breaks above the 20-day EMA. A break and closure above this level might signify the start of a new uptrend, with the 61.8 percent Fibonacci retracement level of $58,686 as a target.

The pair is range-bound between $45,456 and $51,936.33 on the 4-hour chart. The price has recovered from $45,456, and if bulls can take the pair above the 50-SMA, accumulation at lower levels is likely. This might push the cost up to $51,936.33.

In the event that the price falls below the 50-SMA, the bears will seek to push the pair below $45,456 once more. If they succeed, the pair’s downturn might resume, with the next target at $38,975.67.

The pair is range-bound between $45,456 and $51,936.33 on the 4-hour chart. The price has recovered from $45,456, and if bulls can take the pair above the 50-SMA, accumulation at lower levels is likely. This might push the cost up to $51,936.33.

In the event that the price falls below the 50-SMA, the bears will seek to push the pair below $45,456 once more. If they succeed, the pair’s downturn might resume, with the next target at $38,975.67.

LUNA/USDT

The Terra LUNA token is attempting to restart its upward trend, but the bears have drawn a line near $93.81.

The positive RSI and upsloping moving averages signal that buyers have a tiny advantage. If the price bounces back off the 20-day EMA ($82), it indicates that bulls are still buying on dips.

After that, the LUNA/USDT pair will try to break through $93.81 and challenge the all-time high of $103.60. If this barrier is broken and closed above, the following leg of the uptrend to $135.26 might begin.

In contrast, if the price falls below the 20-day EMA, it indicates a change in the short-term trend. The price of the pair may then fall to $65.15.

Between the 50 percent Fibonacci retracement level at $92.35 and the 61.8 percent retracement level at $95.01, the bounce from $81.11 is facing selling. The bears will now attempt to lower the stock below the 20-EMA and uptrend line.

If they do, the pair may fall to $84 and ultimately to $81.11. A break and closing below this support level could indicate that the bears have re-entered the fray.

Buyers will try to push the pair over $95.01 and retest the overhead barrier at $103.60 if the price bounces off the current level or the uptrend line.

FTM/USDT

Fantom (FTM) has retreated from the $2.67 overhead resistance level, indicating that bears are defending this level aggressively.

The FTM/USDT pair might drop to the 20-day exponential moving average, which could act as a solid support. A fast comeback from this support level will indicate that buyers are piling in on dips.

The 20-day EMA ($2.03) is increasing, and the RSI is above 68, indicating that the path of least resistance is up.

Bulls will be back in the game if they break and close over $2.67. The duo may then begin their ascent northward toward $3.17 and then $3.48. To invalidate the bullish attitude, the bears will have to pull the price below $2 and keep it there.

A rounding bottom formation can be seen on the 4-hour chart, which will complete on a break and close over the overhead resistance at $2.67. If the price bounces off the 20-EMA, the bulls will try to break over the $2.67 barrier once more. If that occurs, the upward trend may commence.

If the price breaks below the 20-EMA, however, it indicates that the short-term bullish momentum is fading. The pair could then fall to the 50-SMA and subsequently to $2, which is solid support.

ATOM/USDT

On January 1, Cosmos (ATOM) broke through and closed above the overhead barrier at $34. The moving averages have completed a bullish crossover, implying that bulls are in control.

If the price stays above $34, the bullish trend will continue, and the ATOM/USDT pair will increase to $38, then $43.28. The moving averages have completed a bullish crossover, and the RSI is in the positive zone, indicating that bulls have the upper hand.

If the price breaks and closes below $34, the bears are aiming to trap the aggressive bulls, contrary to popular belief. The pair could then drop to the 20-day exponential moving average ($28).

The bulls will try one more time to break through the overhead hurdle if the price bounces off this level, but if the pair breaks below the moving averages, the decline might extend below $25.

The RSI is in positive territory, and both moving averages are trending up, indicating that bulls have the upper hand. If the price bounces off the 20-EMA, it means that traders are buying on dips and sentiment is still favourable.

On a break, the uptrend might resume and close over $37. Bears pulling the price below the 20-EMA, on the other hand, may cause short-term traders to book profits. This might push the price down to the 50-day moving average.