Bitcoin (BTC) pulled back toward $79,000 on Friday before buyers stepped in to lift the price back above $80,000. The question now is whether this dip-buying momentum can push BTC through the formidable $84,000 to $92,000 resistance zone, or if bears will again assert control. Meanwhile, most major altcoins are following Bitcoin’s lead, with many showing signs of weakening buyer momentum.
Bitcoin faces critical resistance test
BTC’s price action remains trapped between support near $78,000 and resistance at $84,000. A failure to hold above $78,000 could signal a trend reversal, potentially sending Bitcoin back toward $74,937 and the 50-day simple moving average at $73,448. On the upside, a decisive break above $84,000 would open the path to $92,000 and possibly $97,924.
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CryptoQuant analyst IT Tech noted in a Thursday QuickTake that Bitcoin needs to rally and sustain above $88,880 for a bottom confirmation. Until then, selling pressure is expected in the $85,000 to $88,000 range as traders look to exit flat positions. However, Bollinger Bands creator John Bollinger offered a contrasting view, stating on X that his trend model turned positive for BTC on Wednesday and that he had taken a position accordingly.
A minor negative signal emerged Thursday when Bitcoin exchange-traded funds recorded $277.5 million in net outflows — the first such outflow in May, according to SoSoValue data. This suggests some institutional investors are booking profits near overhead resistance levels.
Ethereum and BNB show signs of seller dominance
Ether (ETH) closed below its 20-day exponential moving average ($2,304) on Wednesday, indicating profit-taking by bulls. The next support lies at the 50-day SMA ($2,225), followed by the support line of its current channel. A solid bounce from that level would suggest the pair may remain range-bound for several more days. The first sign of strength would be a close above $2,465, which could trigger a rally toward the resistance line near $3,050.
BNB (BNB) has pulled back toward its moving averages, suggesting bears are selling on minor rallies. A strong bounce from the moving averages would increase the likelihood of a move to $687. A close above that level would signal renewed bullish momentum, with targets at $730 and $790. Conversely, failure to hold above $570 could lead to further downside.
XRP, Solana, and Dogecoin remain range-bound
XRP (XRP) continues to trade near its moving averages, reflecting a balance between buyers and sellers. The flattish moving averages and RSI near the midpoint give neither side a clear advantage. A break below $1.27 would keep the pair inside a descending channel, while a move above the downtrend line and $1.61 would signal a potential trend change toward $2.
Solana (SOL) is facing selling pressure at $90.73, but bulls have not ceded much ground. A push above this level could lead to $98, and a close above that may trigger a rally to $117. However, a break below the moving averages and $82.65 would open the door to $76.
Dogecoin (DOGE) declined sharply from $0.12 resistance on Wednesday, indicating profit-taking. The 20-day EMA at $0.10 is the critical near-term support. A bounce from this level would set up another test of $0.12, with potential upside to $0.14 and $0.16. A close below $0.10 would keep DOGE within the $0.09 to $0.12 range.
Hyperliquid, Cardano, Zcash, and Bitcoin Cash: Diverging paths
Hyperliquid (HYPE) turned down from the $43.76 to $45.77 zone, with the 20-day EMA at $41.69 as key support. A bounce from here could lead to another attempt at the overhead resistance, targeting $50. A break below the 50-day SMA at $40.29 would invalidate the bullish view and open the door to $34.45.
Cardano (ADA) continues to oscillate within a broad $0.22 to $0.31 range. The 20-day EMA is turning up, and the RSI is in positive territory, giving bulls a slight edge. A move above the moving averages could push ADA to $0.30 and then $0.31. A break below the moving averages would favor the bears, targeting $0.22.
Zcash (ZEC) broke above $560 resistance on Wednesday but stalled at $607. The shallow pullback suggests bulls are not rushing to exit. A break above $607 could target $750. Support lies at the 38.2% Fibonacci retracement level of $496, then at the 50% level of $462. A close below the 61.8% retracement at $428 would signal a return of seller control.
Bitcoin Cash (BCH) turned down sharply from $486 on Wednesday, indicating aggressive defense by bears. The flattish 20-day EMA at $450 and RSI near the midpoint suggest the pair may remain within the $419 to $486 range. A close above $486 could trigger a move to $520, while a close below $419 would open the door to $375.
Conclusion
Bitcoin’s ability to hold above $78,000 and eventually break through $84,000 will likely determine the direction for the broader crypto market in the coming days. While some analysts see bullish signals, the first net ETF outflow in May suggests caution among institutional investors. Altcoins remain largely range-bound, with individual breakouts dependent on Bitcoin’s next move. Traders should monitor key support and resistance levels closely, as a decisive break in either direction could set the tone for the rest of the month.
FAQs
Q1: What is the key resistance level for Bitcoin right now?
The immediate resistance is at $84,000, with a stronger cluster between $85,000 and $92,000. A sustained move above $88,880 is needed to confirm a bottom, according to analyst IT Tech.
Q2: Why did Bitcoin ETFs see outflows on May 7?
Bitcoin ETFs recorded $277.5 million in net outflows on Thursday, the first in May. This suggests some investors are booking profits near overhead resistance levels, reflecting short-term caution.
Q3: Are any altcoins showing signs of a breakout?
Zcash (ZEC) is showing relative strength after breaking above $560 resistance, with a potential target of $750 if it clears $607. Most other altcoins remain range-bound and dependent on Bitcoin’s next directional move.
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