Bitcoin and Ether Dip Attracts Buyers, LUNA Reaches Key Support

Bitcoin

In the past two days, bitcoin price saw a bearish reaction below the $42,200 support zone. BTC declined sharply below $41,500 and the 21 simple moving average (H1).

The bears gained strength and there was a spike below the $40,000 level. However, there was a strong buying interest noted near the $39,500 zone. As a result, bitcoin price climbed higher and formed a bullish candle.

On the upside, the price is facing resistance near $40,500, above which bitcoin may perhaps rise towards $41,400. The next major hurdle for the bulls is near the $42,200 level. If there is a fresh decline, the price could test the $38,800 support in the coming sessions.

Ether (ETH)

Ether attempted a recovery wave from the $3,000 zone, but there was no real momentum. The price topped near the $3,200 level and started a fresh decline.

There was a break below a key bullish trend line with support at $3,165 on the hourly chart. The price declined heavily below the $3,080 and $3,000 levels. Ether tested the $2,940 level and retreated higher.

However, the price is now facing resistance near the $3,040 and $3,050 levels. The bulls need to clear the $3,100 level and a connecting bearish trend line to continue higher. If not, there could be a fresh decline towards the $2,800 level. The next key support is near $2,750.

Terra (LUNA)

LUNA started a major downside correction after a strong rally towards $100. There was a drop below the $85 and $80 support levels. The price declined below the 50% Fib retracement level of the upward move from the $40 swing low to $104 swing high.

Besides, there was a move below a major bullish trend line with support near $75 on the daily chart. The price settled below the $80 level and the 21-day simple moving average.

However, it found a strong support near the $63.50 zone. It is near the 61.8% Fib retracement level of the upward move from the $40 swing low to $104 swing high. An immediate resistance is near the $72 level.

The next major resistance is near the $78.00 level. A close above the $78.00 may perhaps send the price towards the $85.00 level. If not, there is a risk of a larger decline towards $60.

ADA, BNB, and DOT price

Cardano (ADA) is down over 5% and there was a break below the $1.132 support. If the bears remain in action, the price could test $1.10. Any more downsides might send the price towards $1.08.

Binance Coin (BNB) declined below the $432 support level. It is now approaching the USD 400 support zone. If there is a downside break below USD 400, the price could decline towards the USD 380 level.

Polkadot (DOT) is down 5% and there was a move below the $25.00 level. The next major support is near the $23.20 level, below which the price could decline towards the $21.20 level.

A few trending coins are NEAR, ZEC, and ICP. Out of these NEAR is up over 8% and it cleared the $14.50 resistance zone.