Bitcoin fell to $29,000 on July 24, signaling that the bears are trying to take control. It looks like the inability to hold at higher levels may have tempted short-term bulls to book profits and aggressive bears to initiate short positions.

Although the short-term outlook looks bearish, long-term investors remain undeterred and continue to hold onto their positions. Glassnode data shows that Bitcoin (BTC) long-term supply of the holder he made a new maximum 14.52 million bitcoins, “equivalent to 75% of the circulating supply.”

Daily cryptocurrency market performance. Source: Coin360

While cryptocurrency markets have softened in the near term, US stock markets remain on solid footing. The Dow Jones Industrial Average has got up for 10 straight days, the longest streak since 2017. However, things could change this week with a slew of key earnings reports and the Federal Reserve’s July 26 decision. The decision could also affect the US Dollar Index (DXY), which is on track for a recovery.

Could Lower Levels Attract Bitcoin Buyers To Pick Altcoins? Will Strength in US Stock Markets Limit Decline in Cryptocurrency Markets? Let’s analyze the charts to find out.

S&P 500 Price Analysis

The S&P 500 ( SPX ) is down from 4,578 on July 19, but the positive sign is that the bulls haven’t given up much. This suggests that buyers are not unwinding their positions as they expect the uptrend to continue.

SPX Daily Chart. Source: TradingView

An ascending 20-day exponential moving average (EMA) of 4,471 and a relative strength index (RSI) in overbought territory suggest that the bulls are in command. If the price rises from 4,513 or the 20-day EMA, it will indicate that the lower levels continue to attract buyers.

This raises the prospect of a break above 4,578. The index could then rise to 4,650 and eventually to 4,800.

This bullish view will be negated if the price falls below the 20-day EMA. This could open the door to a decline to the 50-day simple moving average (SMA) of 4,336.

US Dollar Index Price Analysis

The US dollar index rose sharply on July 18th and bounced back above the 100.82 level on July 20th. This suggests that a break below 100.82 may have been a bear trap.

DXY daily chart. Source: TradingView

The price has reached the 20-day EMA, which is an important level to watch out for. If the price turns sharply downwards from it and falls below 99.57, the downtrend may resume. The index may then fall to 97.50.

Instead, if the price breaks above the 20-day EMA, it will indicate that the bulls are back in play. The index can then climb to the 50-day SMA (102.66) and then to the descending trend line.

Bitcoin Price Analysis

Bitcoin bulls again pushed the price above the 20-day EMA ($29,957) on July 23, but the long wick on the candlestick shows strong selling at higher levels.

BTC/USDT Daily Chart. Source: TradingView

Selling intensified on July 24 and the price fell below the strong support at $29,500, which has held for the past few days. The BTC/USDT pair dropped to the 50-day SMA ($29,021), which is a crucial level to watch.

If the price turns around from the current level and rises above the 20-day EMA, it will indicate that the breakout may have been a bear trap. The couple can then pool for $31,000.

Conversely, if the price continues lower and breaks below the 50-day SMA, it will indicate that the bulls have given up. The pair can then drop to $27,500 and later to $26,000.

Ether price analysis

ether (ETH) bounced off the 50-day SMA ($1,852) on July 23, and the bulls tried to push the price above the 20-day EMA ($1,888), but the bears held on.

ETH/USDT Daily Chart. Source: TradingView

Bears are trying to pull back and hold the price below the 50-day SMA. If they succeed, the ETH/USDT pair could start a deeper correction towards $1,700. Such a fall will suggest that the pair may remain stuck in the $1,626-$2,000 range for a while longer. Price action within a range is likely to be random and volatile.

If the price bounces off the 50-day SMA and rises above the 20-day EMA, it will indicate a solid buy at lower levels. This may open the gates for a possible rally to $2,000. The next trend move is likely to start on a break above $2,000 or below $1,626.

XRP Price Analysis

After failing to hold above $0.83 on July 19 and 20, XRP (XRP) reversed towards the 20-day EMA ($0.67).

XRP/USDT Daily Chart. Source: TradingView

If the bulls want to keep the uptrend intact, they will need to protect the 20-day EMA with vigor. If the price rebounds from this level with strength, the XRP/USDT pair may form a range in the near term.

The range limit could be $0.66 on the downside and $0.86 on the upside. The first sign of strength will be a break and close above the $0.86 overhead resistance.

Conversely, if the price breaks below the 20-day EMA, it will indicate that the bulls are rushing for an exit. This could attract further selling and the pair may collapse to the $0.56 level.

BNB price analysis

Bulls failed to drive BNB (BNB) above the 20-day EMA ($243) in the last few days. This has attracted heavy selling by bears who are trying to push the price below the symmetric triangle support.

BNB/USDT daily chart. Source: TradingView

If they succeed, it will indicate that the uncertainty between bulls and bears has resolved in favor of sellers.

The BNB/USDT pair could then drop to the critical support at $220. This level is likely to attract aggressive bull buying. If the price rebounds from $220 with strength, it will indicate that the pair may remain range-bound for a while.

Another possibility is that the price bounces off the triangle support line. In this case, the couple can extend their stay inside the triangle by a few days. Buyers will need to move the price above the triangle to signal a pullback.

Cardano price analysis

Cardano (ADA) witnessed a fierce battle between bulls and bears near the 20-day EMA ($0.31).

ADA/USDT Daily Chart. Source: TradingView

The flattening 20-day EMA and RSI near the middle do not give a clear advantage to either buyers or sellers. This uncertainty will tilt in favor of the bears if the price falls below $0.30. This could sink the price to an upward line.

Conversely, if buyers drive the price above $0.33, it will mean the bulls are back in play. The ADA/USDT pair could then rise to the July 14 intraday high of $0.38. The Bears will likely defend this level with vigor.

Related: Bitcoin Whale Exchange Share Hits Year High – Over 40%

Dogecoin Price Analysis

Bears tried to pull dogecoins (DOGE) back below the $0.07 breakout on July 22, but the bulls held on.

DOGE/USDT Daily Chart. Source: TradingView

The 20-day EMA ($0.07) has started to rise and the RSI is in the positive zone, indicating that the path of least resistance is up. There is minor resistance at $0.08 where the bears are expected to form a strong defense.

If buyers do not allow the price to fall below the 20-day EMA, the probability of a rally to $0.10 increases. This bullish outlook will be invalidated in the near term if the price falls and sustains below $0.07.

Salana price analysis

Solana (SALT) profits continue to be booked by short-term traders. This pulled the price below the 20-day EMA ($23.73) on July 24.

Daily chart of SOL/USDT. Source: TradingView

The bulls will try to stop the move down to $22.30. If the price rebounds from this support, the bulls will again try to break the overhead barrier at $27.12. If they succeed, the SOL/USDT pair may retest the July 14 high of $32.13.

On the other hand, if the price drops below $22.30, it will indicate that the break above $27.12 may have been a bull trap. The pair could then fall to the 50-day SMA ($19.80). Such a move will suggest that the pair may remain within a large range between $14 and $27.12 for some time to come.

Polygon pricing analysis

polygon (MAT) has been trading near the 20-day EMA ($0.74) in recent days. This shows that the bulls are protecting the level but have failed to initiate a recovery. This suggests that the bears are maintaining their pressure.

MATIC/USDT daily chart. Source: TradingView

The 20-day EMA is leveling off and the RSI has dropped below 50, indicating a balance between supply and demand. This balance could tilt in favor of the bears if the price falls below the 50-day SMA. The MATIC/USDT pair could then drop to $0.60.

Conversely, if the price turns around from the current level and rises above $0.80, it will signal a solid buy at the lower levels. The pair may then retest the local high at $0.89. A break above this level could indicate a resumption of the uptrend.