Key Takeaways:
- The crypto market’s rally on July 6 failed to sustain.
- However, some altcoins, such as FET, STORJ, MATIC, ADA, and FLOKI, failed to rally.
NEW DELHI (CoinChapter.com) — The crypto markets rallied on July 6 before dropping back as Bitcoin prices failed to hold above $31,000. Several altcoins, including FET, STORJ, MATIC, ADA, and FLOKI, saw their prices drop. However, BCH price spiked 13% before bears paired gains.
BTC price rallied to a high of $31,500, marking a new one-year high, before bears took control over the token’s price action. Christian Hazim, a research analyst at Global X, told CoinChapter that the renewed institutional interest in the crypto sector was a sign of positive market momentum.
About a Bitcoin bull run, Hazim stated that the upcoming halving might result in increased volatility for the prime crypto.
Bitcoin has demonstrated significant strength since it rebounded from the lows we saw back in November 2022. That said, on analysis of previous market cycles, the year leading into a halving event is often characterized by volatility both to the upside and the downside.
Christian Hazim told CoinChapter.
However, Hazim noted that institutional interest in the token, evidenced by multiple Bitcoin ETF applications, along with a committed user base, might help BTC price in the long term. However, for the short term, the analyst predicted choppy times for Bitcoin prices.
FET Price Drops Over 13% In Under 3 Days
Fetch.AI, a blockchain-based AI automation tool, saw its prices lose their gains in July after dropping 13.6% since July 3 to form a daily low near $0.216 on July 6.
Should the downtrend continue, the FET price could see a retest of the support level near $0.204, a price level the token last saw in June this year. Moreover, breaching the immediate support level could force FET price to drop to the support near $0.17 before recovering.
However, the hype around AI-based projects has not died down, which means the token could derive bullish cues from developments in the sector. As such, announcements or partnerships could attract buyers to the market, helping FET price rally to the 50-day EMA (purple wave) resistance near $0.236.
Moreover, breaking and consolidating above the immediate resistance might help the Fetch.AI token price challenge the 100-day EMA (blue wave) and 200-day EMA (green wave) resistance confluence near $0.265.
The RSI for FET remained neutral, clocking at 46.59 on the daily charts.
STORJ Price Forms A Bullish Wedge Pattern
Blockchain-based decentralized storage platform Storz’s nStorz’s token has formed a bullish technical pattern called the ‘Falling ‘edge.‘
One key feature of the pattern is that volumes usually decline as the trendlines converge. The upside target for the breakout is equal to the maximum distance between the falling wedge’s lower trendlines.
If the falling wedge pattern pans out, STORJ price might rise 176% to reach $1.03.
STORJ Price Rally Does A 180
Despite the bullish cue from the wedge pattern, STORJ price dropped nearly 40% from July 5’s high $0.608. The token’s rally helped it reach its highest level since Aug 2022. However, the recent downtrend erased most of the gains from STORJ price’s on June 4.
It seems the Storj token’s rally attracted bears who started booking profits. If the downtrend continues, STORJ price might drop to the 200-day EMA support near $0.35. Failure of the immediate support might result in the token price testing the 50-day EMA support near $0.3 before recovering.
On the other hand, a sustained uptrend would require STORJ price to break above the resistance near $0.403 before targeting the resistance near $0.46.
The RSI for the Storj token was neutral, clocking at 58.42 on the daily timeframe.
MATIC Price’s Falters
Ethereum scaling platform Polygon’s token MATIC price rallied 18% since June 29 to reach a daily high of $0.721 on July 3. However, the upside move broke down, with MATIC slipping 7.9% in under three days to form an intraday low near $0.649 on July 6.
However, long wicks on both sides of the daily candle suggest market participants remained undecided on MATIC’s aspects. Should buyers enter the market, the Polygon token might rally to the resistance near $0.705.
Moreover, breaking and consolidating above the immediate resistance might help the Polygon token price challenge the 50-day EMA resistance near $0.75.
But, if the Bears gain the upper hand, MATIC price might drop to the support near $0.647. Furthermore, breaching the immediate support near $0.606 before recovering.
The RSI for MATIC remained comfortably neutral, with a value of 47.29 on the daily charts.
ADA Price Fails To Move Above $0.3
Cardano’s token ADA continued to crab below the $0.3 price level. The token’s recent relief rally faltered on July 3, along with the wider market. ADA would need some more bullish cues in order to mount a strong rally.
The thin body and long wicks on both sides of the candle suggest traders are waiting for a decisive move on either side for the token before entering the market.
If the bearish pressure against the Cardano token increases, ADA price might drop to the support level near $0.27. Failure of immediate support might force ADA price to test the support near $0.25 before recovering.
On the other hand, should the bulls gain control over the Cardano token’s price action, ADA price might rise to the resistance near $0.3. Breaking and consolidating above the immediate resistance could help ADA price challenge the 100-day EMA resistance near $0.33 before retreating.
The RSI for ADA price remained neutral, clocking at 44.51 on the daily charts.
BCH Price Becomes Victim Of Profit Booking
Bitcoin Cash, a fork of Bitcoin, painted its highest monthly gains in June 2023 since Nov 2017, spiking nearly 262% before some of the gains. However, bears started to book profits as the token entered July.
BCH price rally took cues from the launch of EDX Markets, a crypto exchange that has the backing of Wall Street giants Fidelity Investments, Citadel Securities, and Charles Schwab.
BCH was one of the four tokens among the top 20 crypto assets to register gains on July 6, rising over 13% to form a daily high near $303.5. However, bears pared gains, with long upper wicks on recent daily candles highlighting the bearish pressure against the token.
The RSI for BCH was overbought, clocking at 72.94 on the daily charts. Traders consider the occurrence a bearish cue since overbought RSI levels have often preceded a bearish trend reversal in prices. If the selling pressure against the token increases, BCH price might face a drop to the support near $255.
Failure of immediate support might result in Bitcoin Cash price testing the 20-day EMA support near $221 before recovering.
However, should the rally continue, BCH price might break above the immediate resistance near $303 before challenging the resistance near $360.
FLOKI Price Faces More Bearish Risks
Meme token Floki Inu price has been on a downtrend since entering July, dropping over 20% in the first six days to form an intraday low near $0.00002446 on July 6.
The downtrend has resulted in forming a bearish pattern called the ‘Death Cross,’ with the token’s 200-day EMA (green wave) crossing below the 50-day EMA (purple wave).
The pattern might increase the bearish pressure against the meme coin, resulting in FLOKI price dropping to its support near $0.00002313.
Failure of the immediate support level could result in FLOKI price testing support near $0.0000205 before recovering.
On the other hand, bulls would need to break above the immediate resistance near $0.000026 to target the 100-day EMA (blue wave) resistance near $0.0000297 before downside corrections pare gains.
The RSI for FLOKI remained neutral, clocking at 44.48 on the daily charts.
