Bitcoin has been catching its breath over the past few days, but the powerful rally it has experienced recently has not gone unnoticed. A survey conducted among US financial service companies by crypto firm Paxos shows that 99% of the firms are focusing more on crypto projects this year compared to previous years. What are the vital support levels that can stop the decline in Bitcoin and altcoins? We are examining the three most popular altcoins for this purpose.
BNB Chart Analysis
Investors are struggling to push BNB above the general resistance level of $260. The gradually rising 20-day EMA level of $240 and a positive RSI in the buying territory indicate an advantage for buyers. If the price turns up from the current level or rebounds from the 20-day EMA, investors may try to pull the price back to the neckline of the inverse head and shoulders formation.
On the contrary, if the price falls below the moving averages, the bulls may lose control. Moreover, BNB could then drop to the strong support level of $223 in the following period, which would indicate a movement constrained to the region between $223 and $260.
XRP Chart Analysis
XRP continues to witness a tough battle between bulls and bears at the moving averages. Accordingly, the 20-day EMA level of $0.63 and an RSI near the midpoint suggest a balance between supply and demand. If the price closes below the moving averages, the XRP/USDT pair could fall to $0.56. A break below this level could send the pair to $0.46.
Alternatively, if the price recovers from the moving averages, XRP will try to rise above $0.67 again. If this scenario materializes, XRP could climb to $0.74. Analysts expect the bears to mount a strong defense at this level.
Solana Chart Analysis
Solana jumped to the 20-day EMA level of $66 on December 13th and surpassed the overall resistance level of $78 seen on December 15th. If buyers can sustain the breakout, the SOL/USDT pair could potentially leap to the psychological level of $100.
Upward-sloping moving averages signal an advantage for the bulls, but a negative divergence in the RSI level warns that the upward momentum could weaken. An important support level to watch on the downside is the 20-day EMA. A break and close below this level could trigger a pullback towards the 50-day SMA level of $55.