Bitcoin’s Range-Bound Action: Spotlight on NEAR, AR, CORE, and BONK

Bitcoin (BTC) attempted to start a relief rally this week but faced strong selling pressure around the $67,000 mark. As a result, the cryptocurrency is on track to end the week with a minor loss of about 2%. Analyst Rekt Capital believes that Bitcoin has entered a risky zone where it could see further declines in the next two weeks. Net outflows from spot Bitcoin exchange-traded funds have also negatively impacted the market. These ETFs saw a net outflow of $218 million on April 25, following a $120 million outflow the previous day.

When the price of Bitcoin trades within a wide range, it becomes difficult to predict the direction of the breakout. Traders can either buy near the support and sell at the resistance by setting a suitable stop loss or wait on the sidelines until a breakout occurs. The big question now is whether Bitcoin and other altcoins will stay above their respective support levels and initiate a relief rally. Let’s take a look at the top five cryptocurrencies that appear strong on the charts and may begin a recovery.

Bitcoin has been trading in a range between $59,600 and $73,777, indicating a lack of direction between the bulls and the bears. Typically, traders buy near the support and sell close to the resistance in such situations. The $59,600 level is expected to see aggressive defense from the bulls, as a break below it could lead to a deeper correction towards the 61.8% Fibonacci retracement level of $54,298. Conversely, if the price bounces from the current level or the $59,600 support, it suggests that the bulls are still active at lower levels. In this case, the BTC/USDT pair may rise to $67,250 and eventually reach the overhead resistance of $73,777, signaling the start of the next uptrend.

Near Protocol (NEAR) recently broke above a descending channel pattern, indicating a potential end to the downtrend. The bears are selling near the immediate resistance at $7.70, creating a possible bull trap. If the price falls back into the channel, it could drop to $5.90. Breaking above $7.70 would suggest that the bulls are taking charge, potentially leading to a rally towards $9. Both moving averages are sloping up, and the positive RSI indicates a slight advantage for the bulls. Selling pressure is expected between $7.70 and $8.10.

Arweave (AR) has risen above both moving averages, which signals a comeback by the bulls. The price dipped briefly but was quickly bought up by the bulls near the 20-day exponential moving average (EMA). This change in sentiment from selling on rallies to buying on dips suggests a shift in momentum. The next minor resistance level is at $40, with a potential rally towards the strong overhead resistance of $47.52. The bears will need to quickly push the price back below the 20-day EMA to prevent the rally. If successful, the price could drop to $22. There is also the formation of an inverse head-and-shoulders pattern, which would complete on a breakout and close above the neckline, potentially leading to a rally towards $50.

Core (CORE) has found support at the 20-day EMA and could experience a bounce if it breaks above $2.91. This would indicate that the bulls are back in control and may push the price towards $4. If the price falls below the 20-day EMA, it suggests that the bears are not giving up. The pair may then drop to the 50-day simple moving average (SMA) at $1.72. In the short term, the pair is range-bound between $1.83 and $2.91. The moving averages and RSI do not provide a clear advantage to either side, but a break above the moving averages may give the bulls an advantage.

Bonk (BONK) has shown signs of a potential end to its corrective phase. Although the bears attempted to pull the price below the moving averages, the bulls held their ground. This suggests that the bulls are trying to turn the moving averages into support. If the price breaks above $0.000030, an inverse head-and-shoulders pattern will be complete with a target of $0.000048. If the bears succeed in pushing the price below the moving averages, the pair may drop to $0.000019 and then $0.000015. In the short term, the bulls face resistance at $0.000030, while the bears aim to push the price below the moving averages and complete a head-and-shoulders pattern. A break above $0.000030 would indicate strength from the bulls and could lead to a rally towards $0.000036.