SPX, DXY, BTC, TRUMP, ETH, XRP, BNB, SOL, DOGE, ADA, LINK

Bitcoin (BTC) hit a new high above $109,500 on January 20, with the probability of a strategic Bitcoin stock on DFi betting market Polymarket rising to 69%.

The newly launched memecoins associated with the Trump family, Official Trump (TRUMP) and Official Melania (Мелания), have also seen strong interest from the cryptocurrency business community. UN blockchain expert and author Andy Lean told Cointelegraph that the memecoin launch will usher in “a new era for memecoins and altcoins.”

Euphoric times offer many business opportunities, but they also come with risks. Vertical rallies are generally unsustainable and have sharp reversals. A deep pullback in TRUMP and Solana's (SOL) volatility suggests traders should be cautious.

Could Bitcoin begin an all-time retracement and buying into altcoins? Let's examine the charts to find out.

S&P 500 Index Price Analysis

The S&P 500 index ( SPX ) reversed strongly last week and broke above its moving averages, indicating that the break below 5,853 on January 10 may be a bear trap.

The 20-day exponential moving average (5,934) extended, and the Relative Strength Index (RSI) moved into positive territory, indicating a balance between supply and demand. Sellers are expected to strongly defend the zone between 6,050 and 6,100.

If the price declines from the above zone, the index may form a range between 6,050 and 5,853. The next trending move is expected to start with a break above 6,100 or below 5,773.

Analysis of the price of the US dollar index

The US Dollar Index took support at the 20-day EMA (108.62) on January 15, with every small dip being bought.

The RSI is showing signs of a negative divergence, which suggests that the momentum is weakening. To open the door for a deeper decline to 108 and then the 50-day SMA (107.32), sellers need to break below the 20-day EMA.

On the contrary, a break and close above 110.17 indicates the continuation of the rise. The index may increase to 113.14 and finally to 114.77. Buyers may find it challenging to clear the 114.77 barrier.

Bitcoin price analysis

Bitcoin bounced back from its 20-day EMA ($99,257) on January 20 and rose to a new all-time high of $109,588.

If buyers hold the price above $108,353, it signals the start of the next uptrend. The bulls will try to push the price to $126,706.

On the contrary, if the price cannot stay above $108,353, it indicates that the bears will strongly defend the level. To weaken the bull momentum, sellers need to push the price below the moving averages. The BTC/USDT pair could be consolidated between $109,588 and $90,000 for a few days.

Official Trump price analysis

Due to the huge popularity and volatility of TRUMP memecoin, Cointelegraph is providing short-term analysis. A 30 minute chart is used as there is little price history to look for deeper insights.

The TRUMP/USDT pair has dipped below a similar triangle pattern, with the bulls losing their grip. If the price breaks below the uptrend line, the pair could fall to $38. This is an important level to watch for in the near term as a break below it could sink the pair to $24.

On the contrary, a strong rise from the current level suggests buying at lower levels. The bulls try to push the pair back into the triangle. Buyers return to orders at the close above the downtrend line.

Ether price analysis

Ether (ETH) bulls defend the neckline of the head and shoulders pattern but are exposed to a selloff near the 50-day SMA ($3,537).

A sloping 20-day EMA ($3,362) and an RSI near the midpoint indicate a slight edge for the bears. A break and close below $3,125 could accelerate the sell-off, pulling the ETH/USD pair towards $2,850.

Buyers should press and hold the price above the 50-day SMA to signal that the selling pressure is easing. The pair could rally towards $3,745, which could act as a strong barrier.

XRP price analysis

XRP (XRP) broke above the $2.91 level on January 20, indicating that the bulls are trying to turn the level into support.

The XRP/USDT pair is likely to gain momentum after buyers push and hold above $3.40. That could initiate the next upside level towards the $4.84 pattern target.

The first sign of weakness would be a break and close below the 20-day EMA ($2.75). The pair may sink towards the 50-day SMA ($2.46). This is an important level to pay attention to, as a drop below the 50-day SMA could start a decline towards $2.

BNB price analysis

BNB (BNB) has been trading between an upside line and an overhang resistance at $745 for the past few days.

Flat moving averages and an RSI below the midpoint do not give a clear advantage to either the bulls or the bears. If the price rises above the moving averages, the BNB/USDT pair will try to rally above $745 again. If that happens, the pair could rise to $794.

Conversely, a break and close below the high line indicates that the bulls are closing their positions. That could sink the pair to the $635 support, which could attract strong buying from bulls.

Solana price analysis

Solana has been highly volatile for the past two days, indicating a strong battle between the bulls and bears.

An upward 20-day EMA ($214) and an RSI near the overbought zone suggest that buyers are in orders. A retest above $260 will improve expectations at $295. If this level is weighed, the SOL/USDT pair may rise to $300 and eventually to $375.

Contrary to this assumption, if the price declines and breaks below $229, it suggests that the bulls will rush to the exit. The pair may descend towards the 20-day EMA. A deep correction can delay the start of the next uptrend.

Related: Why Is XRP Price Rising Today?

Dogecoin price analysis

Dogecoin (DOGE) has been rising in an ascending channel pattern for the past few days, featuring buying on dips and selling on rallies.

The 20-day EMA ($0.36) is flat, and the RSI is near the midpoint, indicating a balance between supply and demand. If the price breaks below the channel, the DOGE/USDT pair may slip to the $0.27 to $0.23 support zone. Buyers are expected to aggressively defend the zone.

The bulls are back in the driver's seat at the close above the channel. That could clear the way to a rally to $0.48. Sellers are expected to strongly defend the $0.48 level as a break above it could take the pair to $0.59.

Cardano price analysis

Cardano ( ADA ) has been trading in a congruent triangle pattern, indicating indecision between bulls and bears.

The direction of the breakout is difficult to predict with certainty as the flat moving averages and the RSI above the midpoint do not give a clear advantage to either the bulls or the bears.

If buyers drive the price above the triangle, the ADA/USDT pair may pick up momentum and rally to $1.33. If this level is crossed, the rally may extend to $1.64. On the other hand, a break and close below the triangle could sink the pair to $0.80.

Chainlink price analysis

Chainlink (LINK) rose above the 20-day EMA ($22.72) on January 19, indicating that sentiment remains positive, and traders are buying on the dips.

The LINK/USDT pair rose above the $26 resistance on January 20, indicating that the bulls are under control. If the price holds above $26, the pair can retest the profit barrier at $31.

Instead, he suggests selling on rallies if the price fails to hold above $26. To signal strength, the bears need to pull the price below the 20-day EMA. That increases the risk of falling to $20.

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.