Price analysis 12/6: BTC, ETH, XRP, SOL, BNB, DOGE, ADA, AVAX, TON, SHIB

Bitcoin (BTC) created a historic milestone on Dec. 5, as it reached the psychologically critical level of $100,000. The bears pulled the price back toward $90,000, but the bulls purchased the dip and have succeeded in driving the price above $100,000 on Dec. 6.

Has Bitcoin topped out in the short term, or is every dip still a buying opportunity? This is one of the burning questions in traders’ minds.

ARK Invest founder and CEO Cathie Wood said in a post on X that Bitcoin “is still in early innings” even after breaking out of $100,000. She added that her firm believes “Bitcoin is a much bigger idea than gold.” 

Although most analysts remain bullish on Bitcoin for the long term, some are turning cautious in the short term. IG market analyst Tony Sycamore said the sharp drop in Bitcoin’s price does not mean the end of the bull run, but it could result in a “consolidation phase in the days/weeks ahead.” 

Will Bitcoin break out of $104,088, or is a range-bound action possible in the near term? Will the attention shift to altcoins? Let’s analyze the charts of the top 10 cryptocurrencies to find out.

Bitcoin price analysis

The long wick and the long tail on Bitcoin’s Dec. 5 candlestick show selling at higher levels and buying on dips. The intraday high and low of the day assume significance because a breakout from it could start a sharp move. 

If the price holds $100,000, the BTC/USDT pair could challenge the all-time high of $104,088. Sellers are expected to defend this level with all their might. If the price turns down sharply from $104,088, the bears will try to pull the pair to $90,500, starting a potential range formation.

Conversely, if buyers pierce the $104,088 resistance, the pair could jump to $113,331 and later to $125,000. Sellers will be back in the driver’s seat if they tug the price below $90,000.

Ether price analysis

Ether (ETH) has continued to move toward the $4,000 to $4,094 overhead resistance zone, where the bears are expected to pose a substantial challenge.

The critical support to watch on the downside is the 20-day exponential moving average ($3,523). If the price rebounds off the 20-day EMA with strength, it will suggest that the sentiment remains positive and traders are viewing the dips as a buying opportunity. That increases the possibility of a rally above $4,094. The ETH/USDT pair could then soar to $4,500.

This optimistic view will be negated in the near term if the price turns down and breaks below the 20-day EMA.

XRP price analysis

XRP (XRP) has pulled back in a strong uptrend, indicating profit booking by the bulls near $3. 

The pullback is finding support in the range between the 38.2% Fibonacci retracement level of $2.28 and the 50% retracement level of $2.09. The bulls will try to push the price toward $2.91 but are likely to face solid selling by the bears.

If the price turns down and breaks below $2.09, it will suggest the start of a steep correction. The XRP/USDT pair could slump to the 20-day EMA ($1.79). A deep pullback could be followed by a period of consolidation as both the bulls and the bears regroup before the next trending move.

Solana price analysis

The bulls are trying to push Solana (SOL) above the near-term resistance of $248, but the bears are not willing to relent.

The flattish 20-day EMA ($231) and the relative strength index (RSI) in the positive territory indicate a balance between supply and demand. If buyers shove the price above $248, the SOL/USDT pair could surge to $264 and eventually to $300.

Alternatively, if the price slides below the 20-day EMA, it will suggest that the pair may trade between $210 and $248 for a while. The trend will favor the bears if they yank the pair below the 50-day simple moving average ($205).

BNB price analysis

BNB (BNB) broke above the $722 resistance on Dec. 3, but the bulls could not maintain the higher levels.

The price turned down from $794 on Dec. 4, indicating profit booking by short-term buyers. That pulled the price to the breakout level of $722, where the bulls and the bears are battling it out for supremacy.

If the price maintains above $722, the bulls will again try to thrust the BNB/USDT pair toward the pattern target of $810. On the contrary, a break below the 20-day EMA ($665) will bring the bears back into the game.

Dogecoin price analysis

Dogecoin (DOGE) continues to trade inside the ascending channel pattern, indicating a slight advantage to the bulls.

There is minor resistance at $0.46, but if this level is crossed, the DOGE/USDT pair could rise to the channel’s resistance line near $0.52. Sellers are expected to mount a strong defense at the resistance line.

The first sign of weakness will be a break and close below the channel’s support line. Such a move will suggest that the bulls are losing their grip. The pair may then tumble to $0.33.

Cardano price analysis

Cardano (ADA) turned down from the $1.33 overhead resistance on Dec. 3, indicating profit booking by select traders.

The pullback is finding support near $1.10, the 50% Fibonacci retracement level of the latest leg of the rally. Buyers will again try to drive the ADA/USDT pair above $1.33. If they succeed, the pair could ascend to $1.50.

Contrarily, if the price turns down and breaks below $1.10, it will suggest that the traders are rushing the exit. That could sink the pair to the 20-day EMA ($1), which is likely to attract buyers.

Related: Why is the crypto market down today?

Avalanche price analysis

Avalanche (AVAX) has been witnessing a tough battle between the bulls and the bears near the $51 level.

The upsloping 20-day EMA ($44.09) and the RSI in the overbought zone indicate that the bulls are in command. If buyers push the price above $56, the AVAX/USDT pair could climb to $60 and later to $65.

The first sign of weakness will be a break and close below the 20-day EMA. If this level gives way, it will suggest that the breakout above $51 may have been a bull trap. The pair may then drop to $38.

Toncoin price analysis

The bulls are finding it difficult to sustain Toncoin (TON) above the $7 resistance, but a positive sign is that the price remains above the 20-day EMA ($6.29).

Buyers will again try to push and maintain the price above $7. If that happens, the TON/USDT pair could travel to $7.65. This level may act as a minor hurdle, but it is likely to be crossed. The pair could rise to the top of the range at $8.29. 

Contrary to this assumption, if the price turns down and breaks below the 20-day EMA, it will signal a lack of demand at higher levels. The pair may then slump to the 50-day SMA ($5.53). 

Shiba Inu price analysis

Buyers tried to push Shiba Inu (SHIB) above the overhead resistance of $0.000033 on Dec. 5, but the bears held their ground. 

The rising 20-day EMA ($0.000027) and the RSI in the positive territory indicate advantage to buyers. If the price rebounds off $0.000030, the bulls will again try to push the SHIB/USDT pair above the $0.000033 resistance. If they manage to do that, the pair could rally to $0.000039. 

On the contrary, the price could skid to the 20-day EMA if the $0.000030 support fails to hold. Buyers are expected to fiercely defend the 20-day EMA because a break below it may open the doors for a fall to the 50-day SMA ($0.000023).

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