For the past three years The U.S. Securities and Exchange Commission has denied multiple applications for an exchange-traded Bitcoin (BTC) fund (ETF). This thwarted the hopes of many investors who believed that the price of Bitcoin would continue to rise if an EFT was approved.
Although investors no longer associate the future of BTC with the existence of an ETF, lRegulators could possibly adjust their “anti-crypto” position in the future.
In an interview for Cointelegraph, the SEC commissioner, Hester Peirce said the regulator needs to adapt to innovation as more people seek advice from both the crypto space and traditional financial institutions.
The latest newsletter from Bloomberg on cryptocurrencies predicts that a Bitcoin ETF could see the light of day if Democratic Party’s presidential candidate Joe Biden is elected as the next president of the United States. The author believes that changing the command can create regulatory clarity to make more investments in the world of digital assets.
Daily look at the cryptocurrency market. Source: Coin360
However, Even if President Donald Trump is re-elected, Bloomberg expects Bitcoin to expand its upward trend during his second term. The digital asset is being driven by a rising debt ratio, quantitative easing and hash rate of Bitcoin.
Even if Bitcoin only rebounds at half the speed of its 1,400% gain from 2016 to 2020, would reach $ 80,000 by 2024.
The long-term projections are encouraging, as are the short-term charts. Let’s take a look at the top five cryptocurrencies that can get the best results in the short term.
BTC / USD
The symmetrical triangle breakout on October 8th attracted buyers who pushed the price above the overhead resistance at $ 11,178 on October 10th. The bears are still not throwing in the towel, however, as they sold at $ 11,482.44 during the Sept 10th run.
Daily chart of the BTC / USD pair. Source: TradingView
The bulls took advantage of the buying decline and did not lower the price below $ 11,178. This suggests that sentiment has shifted from selling on the run to buying on drops.
Moving averages on the verge of a bullish crossover and the Relative Strength Index (RSI) above the 64 level indicate that the advantage is currently on the cops’ side.
If buyers can push the price above the $ 11,500 overhead resistance, the next target for the BTC / USD pair could be $ 12,000 and then $ 12,460.
This bullish view will be invalidated if the pair drops from its current level and falls below the 20-day exponential moving average ($ 10.853). Such a move suggests that the current breakout was a bullish trap.
BTC / USD 4 hour chart. Source: TradingView
The trend on the 4 hour chart became bullish as the moving averages rose and the RSI was in the overbought territory. Buyers will try again to push the price above $ 11,500 and if successful the momentum could accelerate.
However, if price deviates from the overhead resistance, it could consolidate in a narrow range between $ 11,468.98 and $ 11,178 for some time. A break below $ 11,178 is a sign of short-term weakness.
XRP / USD
The bears defended $ 0.26 overhead resistance on October 10 but failed to sustain selling pressure today. This shows that the bulls buy on every small dip and are currently trying to push the XRP above $ 0.26.
Daily chart of the XRP / USD pair. Source: TradingView
A breakout and close (UTC time) above $ 0.26 completes a reverse head-and-shoulder setup with a target of $ 0.300288. The moving averages on the verge of a bullish crossover and the RSI near the 60 level suggest an advantage in the bulls.
Contrary to this assumption, if the XRP / USD pair deviates from current levels and falls below the 20-day EMA ($ 0.246), This indicates that the bears are aggressively selling to $ 0.26 during the rallies.
4-hour chart of the XRP / USD pair. Source: TradingView
The bears are looking to defend the resistance at $ 0.26. but they failed to bring the price below the 20 EMA. This suggests that the bulls are piling up during the dips.
The rising moving averages and the RSI near the 60 level suggest that the bulls will have the upper hand in the short term.
A break below the 20-EMA is the first sign of weakness and the benefit will pass to the bears if they can pull the price below the $ 0.24 support.
Vice versa, If the bulls can push the price above $ 0.26, expect a new uptrend. The pair could face resistance at $ 0.266 and then $ 0.28, but the trend will remain bullish as long as the price stays above the neck of the pattern.
ADA / USD
The fact that the bears didn’t stop Cardano (ADA) below $ 0.90 between October 7th and 9th attracted aggressive buying from the bulls, which then pushed the price above the moving averages.
Daily chart of the ADA / USD pair. Source: TradingView
Moving averages on the verge of a bullish crossover and an RSI near the 62 level suggest buyers have the upper hand. If they can push the price above their neck, a reversal setup will complete with the target set at $ 0.1331.
This bullish view will be invalidated if the ADA / USD pair deviates from current levels and is below the moving averages. Such a move suggests that the breakout above $ 0.104044 was a bullish trap.
4-hour chart of the ADA / USD pair. Source: TradingView
The jump above the immediate support at $ 0.1040440 suggests sentiment has turned positive as the bulls see a perfect opportunity to buy.
However, if the bulls fail to take the price behind their necks, the bears will try again to bring the pair below $ 0.1040440 and the 20-EMA. If they find their way, the pair could drop to the 50-day SMA and below that to $ 0.90.
Conversely, if the pair bounces off the 20 EMA, it will indicate strength and increase the possibility of a breakout above the figure’s neck.
XMR / USD
Monero (XMR) is in an uptrend with rising moving averages and the RSI in the overbought zone. The bulls will now try to extend the pull to $ 140 and above to $ 150.
Daily chart of the XMR / USD pair. Source: TradingView
In a strong upward trend Corrections typically take one to three days, and bulls view breaks into the 20-day EMA ($ 105.96) as a great buying opportunity. because it offers a low risk entry point with a good risk / reward ratio.
However, If the XMR / USD pair drops from its current levels and drops back below $ 121,427, the bears will try again to pull the price towards the 20-day EMA. A break below this support is the first sign of weakness.
4-hour chart of the XMR / USD pair. Source: TradingView
The ascending triangle pattern was completed with the breakout and close (UTC time) above USD 113,211. This bullish setup targets at $ 132,739. Right now, buyers are trying to keep the price above $ 121,427.
If successful, it suggests that the USD 121.427 level is now acting as solid support. Even if the price falls back below this level, the bulls will try to buy again during the break into the 20-EMA.
When the pair bounces off this support, it indicates strength and The possibility of resuming the uptrend will increase.
ATOM / USD
Cosmos (ATOM) rose and closed over the neck of the inverted head and shoulders pattern (UTC time) on October 10. On that breakout, more was bought earlier today and the bulls pushed the price above the $ 5,877 resistance.
ATOM / USD daily chart. Source: TradingView
The ATOM / USD pair could now start a pull that can climb to $ 7.40 and then to $ 8,877. The 20-day EMA ($ 5.17) began to appear and the RSI rose into positive territory, indicating a possible trend reversal.
Contrary to this assumption, if the pair deviates from current levels, the bears will seek to lower the price below the cutout and the 20-day EMA.
In this case, it will indicate that the current outbreak was a trap. The trend will reverse in favor of the bears if the pair drops below the right shoulder at $ 4,549.
4-hour chart of the ATOM / USD pair. Source: TradingView
The bulls pushed the price above the overhead resistance of $ 5,877, which could trigger a new uptrend. The rising moving averages and the RSI in positive territory suggest that the upside is for the bulls.
This positive assessment will be invalid if the bulls fail to defend the breakout level on the next test. If the price is positioned below the figure’s neck, it is a sign of weakness.
The views and opinions expressed here are those of the author only and do not necessarily reflect the views of Cointelegraph. Every investment and business move is associated with risks. You must do your own research when making a decision.