Bitcoin’s strong recovery to $49,000 has increased bullish sentiment and it may provide further incentive for LUNA & ATOM to short term rally. The sentiment in the crypto markets can change swiftly as evident from the Crypto Fear and Greed Index, which has risen from levels of extreme fear to neutral today. The sentiment may improve further if Bitcoin breaks out and sustains above the level at $50,000.
BTC
Bitcoin broke above the 50-day simple moving average of $46,633 but the bears are attempting to stall the recovery near the resistance of $48,843.20. A positive sign is that the bulls have not allowed the price to dip below the 50-day SMA.
The 20-day exponential moving average of $45,141 has turned up and the relative strength index (RSI) is on the positive side, this shows an advantage to the bulls. If buyers push the price above $48,843.20, BTC could rally to $52,920.
LUNA
Terra protocol’s LUNA token broke over the downtrend line and bulls followed up with a break above the all-time high at $45.01. However the long wick on today’s candlestick indicates that bears are attempting to defend the $45.01 level aggressively. If the price turns down from the current level but rebounds off the downtrend line, it shows that sentiment remains positive and traders are buying on dips.
The bulls will then attempt to push the price above the $45.01 to $46.17 resistance zone and start the next stage of the uptrend. LUNA may rally to $65.
ATOM
ATOM effectively held the breakout level of $32.32 which suggests that sentiment remains positive and bulls are buying on dips. The bulls pushed the price above the 20-day EMA of $35.88 on September 30th but the energy has failed to pick up. This suggests that bears have not given up yet and are selling on rallies. The bulls will have to push and sustain the price above $44.80 to signal the continuation of the uptrend.
The views and opinions expressed here are solely those of the author and do not reflect the views of Crypto News. Every investment and trading move involves risk and the reader should conduct their own research when making a decision.
