Crypto Frontline

Weekly Crypto Analysis June 27 – July 3, 2022

Weekly Crypto Analysis June 27 – July 3, 2022
June 26
15:00 2022

BTCUSD (Coinbase)

BTCUSD technical analysis
Source: TradingView

In line with our last week’s expectations, Bitcoin managed to recover and it is now up 23% from the lows established on June 18th. The price broke above the 4h chart 20 EMA and is now treating it as support, suggesting there might be scope for further buying as the month ends.

The next resistance stands around $23k and if buyers manage to break above it, then the May low at $23.5k would turn into a target. We suspect the market is bound to revisit that level, given bear market rallies are very impulsive and most of the time will overshoot, exceeding even the most optimistic expectations.

On the way down, $20k is a key psychological area and a place where buyers should step in if sellers start to pressure the price lower next week. All options are on the table but we think bulls are the ones in control, at least until a new confidence hit will resume the bear rally.

ETHUSD (Kraken)

ETHUSD technical analysis
Source: TradingView

Positive moods reverberate across the crypto space and even ETH is now posting some decent gains. Although the price broke below $1000, a key psychological, buyers emerged impulsively around $900 and now are threatening to breach above $1250, a short-term resistance.

Also, an ascending trend line can be noted and as long as the price manages to stay above it, the sentiment would be in favor of buyers. If this counter-trend move continues to extend higher, profit-taking might start to occur near $1,500, where the 4h chart 200 SMA is located.

Above that, the May low at $1,700 stands as a key role reversal level and buyers might have a hard time breaking above it. In the long run, ETH remains in a structural downtrend, but at least for the near future, we might see the rebound extending, given the extreme oversold conditions on higher timeframes.


SOLUSD technical analysis
Source: TradingView

Solana is one of the top performers out of all major cryptocurrencies, up over 30% during the past 7 days. From a technical perspective, the price broke above a falling trend line and also above the daily 20 EMA, developments suggesting there is a short-term shift in the order flow.

Looking toward the end of June, short-covering might continue to support the price and the first upside target for Solana is $50. Above that, sellers should get active near $60, and on a break higher, $80 becomes the place where the struggle between bulls and bears is set to continue.

The bigger challenge would be to break above the daily 200 SMA. Now trading around $100, SOL buyers have a lot of work to do even to get close to it. As long as the price stays below, the long-term prospects remain bearish.

In terms of support levels to watch in the near term, $35 and 25$ are notable. Failure to keep the price above them will mean the bear market is bound to extend lower. From peak to trough, Solana lost more than 90% of its value, a severe loss of confidence that will take time to restore.


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