Risky assets have been on a roll for several days. The S&P 500 Index has notched five successive weeks of gains, and Bitcoin (BTC) also rose more than 13% this week, indicating aggressive buying by the bulls.
BitMEX Research data shows $2.7 billion in inflows into the nine Bitcoin exchange-traded funds (ETFs) on Feb. 9, while outflows from Grayscale Bitcoin Trust (GBTC) reduced to $51.8 million. The total assets under management of the ETFs have soared to $10 billion.
Crypto market data daily view. Source: Coin360
Bitcoin’s sharp rise has boosted positive sentiment, but Material Indicators’ CEO and co-founder Keith Alan cautioned in a X (formerly Twitter) post that Bitcoin is likely to face stiff resistance between the current level and $50,000.
While Bitcoin continues to garner all the limelight, select altcoins have started to make their move. Let’s look at the charts of the top 5 cryptocurrencies that may outperform in the near term.
Bitcoin price analysis
Bitcoin’s rally has reached the stiff overhead resistance at $48,970, which is likely to witness a tough battle between the bulls and the bears.
BTC/USDT daily chart. Source: TradingView
The upsloping 20-day exponential moving average ($44,164) and the relative strength index (RSI) in the overbought zone indicate that the path of least resistance is to the upside. If bulls drive the price above $48,970, the BTC/USDT pair may accelerate toward $52,000. If this level is surmounted, the rally could reach $60,000.
Conversely, if the price turns down sharply from the current level, it will indicate a possible consolidation between $44,700 and $48,970 for a few days. The short-term trend will weaken on a break below the 20-day EMA.
BTC/USDT 4-hour chart. Source: TradingView
The sharp up move pushed the RSI into the overbought zone on the 4-hour chart, indicating that a correction is possible in the near term. The bears will have to drag the price below the 20-EMA to signal the start of a deeper pullback toward the 50-simple moving average.
On the contrary, if the price turns up from the current level or rebounds off the 20-EMA, it will suggest aggressive buying…
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