Bitcoin, spot ETFs and the bull market – why ETH, SOL, OKB and INJ could prosper in 2024
The cryptocurrency markets have made a strong comeback in 2023. Bitcoin (BTC) and most altcoins have risen sharply from their 52-week lows, but are still falling well below their respective all-time highs. This marks the beginning of a bullish movement that is yet to come.
In the year One of the most important triggers for the crypto bull market in 2024 is the approval of a bitcoin exchange-traded fund by the United States Securities and Exchange Commission. If one or more Bitcoin ETFs get the green light in January, it's bound to boost sentiment and set the stage for a bull run to begin.
In a wonderful situation, market participants pay little attention to negative news, but every positive development is happy to raise the price. Additionally, the bullishness can spread to altcoins as well. So, if Bitcoin goes up, many altcoins can go up.
Predicting which coins will outperform in the next bull phase is always difficult because every bull market has its own leaders. However, it is sometimes observed that coins can take the markets out of a bear phase and hold on to the gains that they have made to perform well.
The selected indicators have risen sharply from their 52-week lows, indicating strong bullish interest. Let's look at their target objectives on the upside and critical support levels on the downside.
Bitcoin price analysis
Bitcoin has rebounded sharply from its November 2022 low of $15,460, signaling the start of a new uptrend. The momentum was lifted after buyers pushed the price above $32,000.
Both moving averages are trending higher, and the Relative Strength Index (RSI) is in the overbought zone, indicating that the bulls remain in command. Buyers will try to push the price to $48,000 and then to $52,100. This zone may serve as a formidable resistance in the near term, but if the bulls do not allow the price to drop below the 20-week moving average ($34,000), the rally may continue.
A rally above $52,100 completes the round bottom pattern. This setup has a target of $88,740. However, before the BTC/USD pair reaches this level, the bears hold a strong position at the current high of $69,000.
On the upside, the 20-week EMA is an important support to watch out for. If this level gives way, the pair could drop to the 50-week simple moving average ($28,566).
Both moving averages are trending up, and the RSI is in positive territory, indicating that bulls are in the driver's seat. Buyers will try to drive the price above $45,000 and start the next phase of activity. If they do that, the pair could rise to $48,000 and then $52,100.
Instead, if the price declines and breaks below the 20-day EMA ($41,306), it signals the initiation of a reversal. The pair may descend to the 50-day SMA ($38,079) and later to the critical support at $32,000. The deeper the retreat, the longer the time required to start the next leg up.
Ether price analysis
Ether (ETH) is slowly trying to recover after a major decline during the last bear market. The price has risen sharply from the June 2022 low of $880, indicating that the bulls are back.
The price action of the past few days has formed an ascending triangle pattern, which ended with bulls pushing the price above $2,143 above the overhead resistance. The target for this bullish setup pattern is $3,406. Sellers may strongly defend the $3,406 to $3,582 zone, but if the bulls lose, the ETH/USD pair may rise to $4,000 and later to $4,868.
The first sign of weakness will be a break below the moving averages. This indicates significant bear selling. If the pair falls below the triangle high line, the trend is in favor of the bears. Failure of a crash pattern is a negative sign and may lead to further failure.
A resurgence of the $2,143 breakout level indicates that the bulls are trying to turn the level into support. A break and close above $2,403 would signal a resumption of the uptrend. Then the pair can cost around $3,000.
Meanwhile, sellers may have other plans. They will try to lift the price below $2,143. If this happens, it suggests that higher levels are seen as a selling opportunity. The pair may drop to the strong support at $1,900. That keeps the pair stuck in the triangle for quite some time.
Solana price analysis
Solana (SOL) has performed very well over the past few months. It has risen from a low of $8 in December 2022 to its current level.
The 20-week EMA ($43) has begun to come up, and the RSI is in overbought territory, indicating a potential trend reversal. Although it is unlikely to fall to the 20-week EMA, the dips can be bought.
The SOL/USD pair has a small resistance at $95, but if this level is crossed, the next stop could be $143. This level can attract strong selling by bears because if the bulls overcome the resistance of $143, the rally can be extended to $200.
If the bears want to prevent an upside, they need to drag the price below the 20-week EMA. That may trigger a range-bound action for some time.
The pair has been rising steadily for the past few days, and the reversals are finding support at the 20-day EMA ($66). This shows the positive sentiment that traders see dips as a buying opportunity.
A small risk for the continuation of the rally in the near term is that the RSI is showing a negative divergence, which indicates a weakening momentum.
If the price declines and breaks below the 20-day EMA, it indicates that the bulls are losing their grip. The pair may dip to the 50-day SMA ($55) and later to the psychologically important level at $50.
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OKB price analysis
OKB (OKB) is one of the few signs that broke above the 2021 highs, indicating that the coin is in a long-term uptrend.
The bulls are trying to move the price above the resistance of $59 to $38. If they manage to do that, the OKB/USDT pair could start the next leg of the upward trend. The pair may rise to $80 and then to $100. The upward moving averages and the RSI near the overbought zone indicate that the bulls are in command.
Sellers may have other plans. They will try to push the price below $54 and the pair will stay stuck in the range for more time. A break below $38 would indicate that the bears are back in the game.
The bulls and bears are seeing a tough battle at the $59 level. If the bears break out of the top and enter the price below $54, the pair may gradually enter the support at $38. That could keep the pair together for a while.
However, the 20-day EMA ($58) is trending higher, and the RSI is in positive territory. This indicates that the path of least resistance is up. If buyers overcome the barrier at $65, the pair can start the next level of development.
Injection price analysis
Injectable (INJ) broke above the April 2021 high of $25.30, indicating a resumption of the upside. The previous prime shows high intensity and attracts buyers.
The uptrend of the past few weeks has pushed the RSI into deeply overbought territory, indicating that the rally will be overbroadened in the near term. That may initiate a corrective phase or consolidation.
The first strong support on the downside is at $25.30. If buyers turn this level into support, it signals the start of the next leg of the uptrend. The INJ/USDT pair may rise to $43 and then to the psychological level of $50.
Alternatively, if the price breaks below $25.30 and holds, the bulls suggest aggressive profit booking. That could sink the price to the 20-week EMA ($14).
The long wick on the December 12 candlestick shows that the bulls tried to stop the rally at $25.30, but the bulls held firm. On December 13, they continued to buy and raised the price. That sent the RSI into deeply overbought levels, warning of a near-term correction.
The pair may retest the $25.30 breakout level. If this level continues, it increases the possibility of resuming the rise. On the contrary, if the price falls below $25.30, the pair may drop to the 20-day EMA ($22). This remains a key level for the bulls to defend as a break below it could begin to decline to $14.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
