๐๐ USD Whirlwind: Trading the Dollarโs Ups & Downs ๐ช๏ธ๐
Chart #1 - Solana (SOLUSDT) 1-Day Chart
Chartist: Sheldon
(For the chart screenshot, click here.)
Over the past three days, SOL's price has declined alongside the broader crypto market. But more concerning is its breach of the daily support line dating back to January this year. Two weeks ago, SOL was trading just below $26, but it has since fallen by 26% to around $20.
It is currently trading within the $20 - $21.50 support zone, with its STOCH RSI nearing oversold levels on higher time frames, so there is a chance for a price reversal and test of the next resistance zone between $21.50 - $22.00.ย
Should the current $20 support level fail to hold, SOL will drop to test the next major support area between $17.50 - $19.00.
๐ฃ๐ฟ๐ถ๐บ๐ฒ ๐ซ๐๐ง
Sign up for a new Trading Account on Prime XBT!
Receive a deposit bonus of up to $7,000 with promo code: SheldonSniper
Chart #2 - Bitcoin (BTCUSD) 1-Day Chart
Chartist: Kyle
(For the chart screenshot, click here.)
BTCโs price is currently just above the $27,218 pivot level, providing an opportunity for a bounce as the RSI may turn upwards. However, if this level is lost, the price could face downward pressure.
Bitcoin is caught in a bullish flag pattern, which generally leads to higher prices. However, the pattern needs to complete, possibly requiring one more downward sweep towards the light blue 200-day exponential moving average (EMA).
Keep an eye on the confluence at that level for a potential bounce.
๐ฃ๐ฟ๐ถ๐บ๐ฒ ๐ซ๐๐ง
Sign up for a new Trading Account on Prime XBT!
Receive a deposit bonus of up to $7,000 with promo code: KyleDoops
โก๏ธ ENTER THE COMPETITION HERE โฌ ๏ธ
Chart #3 - U.S. Dollar (DXY) 1-Day Chart
Chartist: Kyle
(For the chart screenshot, click here.)
The dollar has been consolidating at crucial levels for several days. Although it is likely to break down eventually, it may rise first. The chart shows three potential upside targets: T1, T2, and T3.
At the very least, the dollar should reach T1 at 103.5, setting a lower high before continuing its decline. Once it reaches that level, we will reassess the chart to evaluate the momentum behind the move and determine if it could push even higher.
Claim your Bitget sign-up bonuses here (details below).
Chart #4 - TOTAL 12-Hour Chart
Chartist: Sheldon
(For the chart screenshot, click here.)
Over the past three days, the TOTAL has experienced an 8% decline, falling from just under $1.2 trillion to its current value of $1.114 trillion. This downturn has caused it to lose a crucial daily support line that dates back to early March.
Currently, the TOTAL is situated in the $1.10 trillion - $1.13 trillion support zone. With the STOCH RSI approaching oversold territory on higher timeframes, it may find support here and reverse its downtrend, testing the next resistance zone between $1.13 trillion - $1.15 trillion. If it fails to maintain the $1.10 trillion support level, there is a possibility it could decline further to test the next major support zone between $1.025 trillion - $1.06 trillion.ย
Historically, May has been a challenging month for the markets - you know, the whole โSell in May and go awayโ thesis. And recent trends suggest potential further losses in the coming weeks.
Claim your Bitget sign-up bonuses here (details below).
Chart #5 - Bitcoin Fear and Greed Index
The Bitcoin Fear and Greed Index is sitting at 51 today, Neutral.
The highest the index has been over the past seven days is 64, and the lowest is 51.
Banterโs Take
The liquidity levels outlined in previous editions of The Daily Candle have been hit, and although the prices could come down a little bit more, now is the time to start looking for areas where we could play the bounce.ย
Therefore, it's a long then short scenario. Long the bounce, then short the lower high.
Stay safe my friends!
Go to our Crypto Banter Discord here where Sheldon and Kyle give updates on the charts and trades from The Daily Candle newsletter!
Todayโs winning UIDs:
Bybit winner - 26878859
Bitget winner - 4205482070