Price analysis 5/4: BTC, ETH, BNB, SOL, XRP, LUNA, ADA, DOGE, AVAX, DOT

cointelegraph.com:

Investors across the world are waiting for the outcome of the Federal Open Market Committee meeting on May 4. Although markets expect a 50 basis point rate hike and an announcement by the Fed to start shrinking its balance sheet from June, it is difficult to predict how the markets will react to this trigger.

Billionaire investor Paul Tudor Jones in an interview with CNBC said that the U.S. was entering “uncharted territory” as rates were being raised when the Financial Conditions Index was tightening. Tudor Jones warned investors that it was “going to be a very, very negative situation” for both stocks and bonds. He added that the current environment was the worst for financial assets.

Due to the uncertainty, some investors seem to be reducing their crypto exposure. That led to weekly outflows of $132.7 million from Bitcoin (BTC) funds last week, the largest since June of last year, according to a report from CoinShares.

Could Bitcoin and altcoins enter a period of capitulation or will investors buy after the Fed event is over? Let’s study the charts of the top-10 cryptocurrencies to identify the critical levels to watch out for both on the upside and the downside.

The bulls have successfully defended the support line of the ascending channel for the past four days, which is a positive sign. If buyers propel the price above the 20-day exponential moving average ($39,553), it will suggest that the bears may be losing their grip.

The BTC/USDT pair could then rally to the 50-day simple moving average ($41,922). This level may again act as a resistance but if bulls overcome this barrier, the pair could rally toward the 200-day SMA ($46,924).

Contrary to this assumption, if the price turns down from the 20-day EMA or the 50-day