After forming successive Doji candlestick patterns on the weekly chart for the past three weeks, Bitcoin (BTC) is on target to end the week on a positive note. This is an early sign that the uncertainty between the bulls and the bears is resolving to the upside.
Although the recovery is still in its early stages, the Federal Open Market Committee meeting on Sep. 20 could boost volatility. The majority of the market participants expect the Federal Reserve to maintain a status quo on rates but surprises could arise during Fed Chair Jerome Powell’s press conference following the rate decision.
Bitcoin’s recovery from the strong support near $24,800 has ignited buying interest in select altcoins, which are providing trading opportunities. For these altcoins to continue their upward trajectory, Bitcoin needs to maintain above $26,500.
Could Bitcoin’s relief rally pick up momentum, triggering buying in select altcoins? Let’s study the charts of top-5 cryptocurrencies that are showing promise in the near term.
Bitcoin rose above the 20-day exponential moving average ($26,303) on Sep. 14, indicating that the selling pressure is reducing. Since then, the bulls thwarted several attempts by the bears to yank the price back below the 20-day EMA.
Buyers will try to build upon their advantage and drive the BTC/USDT pair to the 50-day simple moving average ($27,295). This level may act as a minor hurdle but if overcome, the pair is likely to reach $28,143. The bears are expected to defend this level with vigor.
If bears want to maintain the upper hand, they will have to sink the price below the 20-day EMA. That may trap the aggressive bulls and open the doors for a potential retest of the pivotal support at $24,800.
The price has been tradingRead more on cointelegraph.com