A sideways Bitcoin price could lead to breakouts in ETH, XRP, LDO, and RNDR

Altcoin prices plunged after the US Securities and Exchange Commission (SEC) announced lawsuits against Binance and Coinbase early in the week. Aside from the action against the two largest crypto exchanges, investors seem nervous as the SEC labeled 23 cryptocurrencies as securities in the two lawsuits. That brings the total number of cryptocurrencies designated as securities by the SEC to 67.

Among the chaos, one small positive is that Bitcoin (BTC) and Ether (ETH) have held up relatively well. This suggests that institutional investors should not panic and dump their positions. Due to their outperformance, Bitcoin’s dominance has risen to a year-to-date high of 47.6% and Ether’s to 20%.

The near-term uncertainty is likely to keep several investors on the sidelines. During this period, the cryptocurrencies that have done well generally do well when market sentiment improves.

Let’s take a look at the top 5 cryptocurrencies that are trying to stay above their respective support levels and try to start an uptick. What are the important support and resistance levels to watch?

Bitcoin price analysis

Bitcoin fell again to the crucial support of $25,250 on June 10, indicating that the bears are keeping the pressure up. The repeated retesting of a support level within short intervals tends to weaken it.

The falling moving averages and relative strength index (RSI) in negative territory indicate that the bears are in control. If the support zone crumbles between USD 25,250 and USD 23,896, the BTC/USDT pair could witness panic selling. The pair could then fall to the psychologically vital level of $20,000. Buyers are expected to protect this level with all their might.

If bulls want to avoid a sharp drop, they will need to quickly push the price above the 20-day exponential moving average ($26,721). Such a move will indicate strong demand at lower levels. The pair may rise first to the 50-day simple moving average ($27,464) and then to the channel’s resistance line. Buyers will need to kick the price above this level to signal the resumption of the upward movement.

The 4-hour chart shows that the recovery from the $25,250 support is related to selling on the 20-EMA. This indicates that the bears are not giving the bulls a chance to come back. The bears will need to drop the price below $25,250 to further solidify their position.

On the contrary, if the price rallies and breaks above the 20-EMA, the pair could rally towards the 50-SMA. If this level is knocked out, the pair will likely move to $27,400.

Ether Price Analysis

Ether has been in a corrective phase for the past few days. The bears pulled the price below the 50% Fibonacci retracement level of $1,755 on June 10, but the bulls avoided a collapse as they defended strong $1,700 support.

The bulls will try to start a relief rally that could reach the 20-day EMA ($1,835). This is an important level to watch out for, as a break and close above it will suggest that the ETH/USDT pair could stay between $1,700 and $2,000 for some time.

Rather, sellers will try to slow the recovery and drag the price below the $1,700 support. If they succeed, the pair may begin the next leg of the correction. There is a minor support at USD 1,600, but if it fails to hold, the pair could collapse to USD 1,352.

The 4-hour chart shows that the bulls had previously strongly protected the $1,700 level and they could try again. Buyers will have to overcome the obstacles on the moving averages to start a sustainable recovery that could take the price to $1,920.

On the contrary, if the price drops from its current level or moving averages, the bears will again attempt to sink the pair below USD 1,700. If they succeed, sales could accelerate and the pair could retest $1,352.

XRP price analysis

XRP (XRP) fell from overhead resistance near $0.56 on June 10 and dipped below the 20-day EMA ($0.50).

On a positive note, however, the buyers promptly bought the dip to the 50-day SMA ($0.47) as seen from the long tail on the day’s candlestick. The 20-day EMA is an important level for the bulls, as if they hold the price above it, the XRP/USDT pair could move back near $0.56.

Instead, if the price falls and moves below the 20-day EMA, it will suggest that higher levels are attracting sellers. The pair can then drop to the 50-day SMA. A break and close below this level could trigger a deeper drop to USD 0.41.

The 4-hour chart shows that the recovery faces selling near the 20-EMA. This suggests that short-term sentiment remains negative and that bears sell during rallies. If the price falls from the current level, the bears will try to push the pair below $0.47. If they succeed, the pair could slide to $0.44.

On the other hand, if buyers push the price above the moving averages, it will pave the way for a possible rally to $0.55.

Related: The US will eventually find the ‘right outcome’ for crypto – Coinbase CEO

Lido DAO price analysis

Lido DAO (LDO) has been falling in a descending channel pattern for the past few days, indicating that the bears are in control.

The LDO/USDT pair fell sharply on June 10, but the long tail on the day’s candlestick shows the bulls are aggressively buying the dips towards support at $1.57. Buyers will try to initiate a recovery that can reach the moving averages.

However, the sellers probably have other plans. They don’t want to give buyers any wiggle room and will try to lower the price to $1.57. If this level breaks, the pair could begin its descent to the channel’s support line near $1.

The highly oversold levels on the RSI suggest a relief rally could be on the way. Buyers attempted to initiate a recovery, but the bears failed to allow the price to rise above $1.90. Therefore, this becomes a major hurdle for the buyers to cross over to start a recovery.

The pair could then rise to the 20-EMA, where the bulls are likely to face strong selling from the bears. Buyers must overcome this obstacle to start a stronger rally. This positive outlook will become invalid in the near term if the price dips below $1.65.

Render Token Price Analysis

Render Token (RNDR) corrected sharply on June 10th and dipped below the uptrend line, but a small positive is that the bulls are trying to push the price back above the breakdown level.

If the price remains above the uptrend line, it suggests that the recent breakdown may have been a bear trap. The RNDR/USDT pair could then rise to the 20-day EMA ($2.31) where it will likely pass its real test.

However, if the price fails to stay above the uptrend line, it will suggest that the bears have turned the uptrend line into resistance. The pair could then continue its decline and drop to the next support near USD 1.60.

The 4-hour chart shows that the bulls are trying to push the price back above the breakdown level, but the bears have held their ground. The zone between the uptrend line and the 20-EMA remains the most important level to watch. If the price breaks above this zone, the pair could recover towards USD 2.40.

If, on the other hand, the price remains below its current level and moves below $1.80, it will signal the resumption of the downtrend. The pair could then drop to $1.60 where the buyers are likely to mount a strong defense.

This article does not contain any investment advice or recommendations. Every investment and trading move involves risk and readers should do their own research when making a decision.

This article is for general information purposes and is not intended to and should not be construed as legal or investment advice. The views, thoughts and opinions expressed here are those of the author alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.