Bitcoin and ETH Rally Takes Break, Why WAVES Surge Isn’t Over Yet

Key Insights:

• Bitcoin started a strong upward move above $40,000.
• Ether (ETH) climbed above the $2,680 and $2,715 resistance levels.
• WAVES surged over 20% and might rise further towards $30.00.

Bitcoin

After Biden ordered the government to study digital dollar and other cryptocurrency risks, bitcoin prices increased strongly above the $40,000 resistance. BTC cleared the $41,000 resistance zone and the 21 simple moving average (H1).

The upward move was such that the price even climbed above the $42,000 resistance. Finally, it faced sellers near the $42,500 level.

It is now consolidating gains, with decent support near the $41,500. The first major support is near the $41,050 level. If the bulls fail to protect $41,050, there is a risk of a move towards $40,000. Conversely, the price might start another increase above $42,500.

Ethereum (ETH)

ETH also gained bullish momentum and cleared the $2,680 resistance level. It even surpassed the $2,715 resistance level and climbed above $2,750.

However, the bears were active above the $2,750 level. The price is now correcting gains and trading below the $2,750 level. Immediate support is near the $2,715 level. The main support is currently near $2,680.

If there is a close below $2,680, ether might slide towards the $2,625 support zone. The next major support sits at $2,580, below which there is a risk of a move towards $2,500.

WAVES

WAVES started a strong surge after it broke the $10.00 resistance zone. There was a clear move above a crucial bearish trend line with resistance near $10.00 on the daily chart.

It opened the doors for a sharp increase above $12.00 and the 21-day simple moving average. The price even surged above the 50% Fib retracement level of the downward move from the $35.50 swing high to $7.85 low.

It is now up over 25% and trading above $25.00. WAVES might soon test the 76.4% Fib retracement level of the downward move from the $35.50 swing high to $7.85 low.

The current price action even suggests a move towards the $30.00 level. If there is a downside correction, the bulls might remain active near the $22.00 and $20.00 levels.

ADA, BNB, and DOT price

Cardano (ADA) gained momentum to move above the $0.835 level. However, the price is still struggling to clear the $0.850 resistance zone.

BNB is rising and trading above the $390 level. The main barrier is now near the $400 level. A clear upside break above $400 could set the pace for a more significant increase.

Polkadot (DOT) is up 5% and trading above the $17.50 resistance. Immediate resistance is near the $18.00 level. Any more gains could send the price towards the $18.40 level.

A few trending coins are LUNA, NEAR, and XMR. Out of these, LUNA rallied further, as discussed in yesterday’s post.