Technical Analysis on December 23: SPX, DXY, BTC, ETH, BNB, XRP, SOL, DOGE, ADA, BCH

Bitcoin (BTC) has made a strong breakthrough, challenging the 90,000 USD mark at the beginning of the week, signaling that the bulls are striving to regain control of the market. However, analysts currently have not yet found a common voice on the next major direction for BTC. While some expect the price to soon conquer a new historical peak, many others warn of the possibility of a deep correction, even retreating to the zone of 70,000 USD.

The founder of Santiment, Maksim Balashevich, also expressed skepticism about whether the market has truly hit the bottom. In a video posted on YouTube, he suggested that Bitcoin could very well drop to around 74,000 USD, as the optimistic sentiment on online platforms remains high. According to Balashevich, if this scenario occurs, it would be “a very good trading setup” for investors and traders.

Although the short-term outlook still has many variables, the long-term picture still records positive signals. Specifically, BlackRock's spot Bitcoin ETF – iShares Bitcoin Trust (IBIT) – has attracted about 25 billion USD in capital flow since the beginning of the year, showing that the confidence of large institutions in the long-term potential of Bitcoin remains very strong.

Commenting on platform X, Bloomberg's ETF analyst, Eric Balchunas, stated that IBIT currently ranks sixth and is the only fund in the leading group with a negative return year-to-date. He emphasized that if a less favorable year can still attract up to 25 billion USD, then “imagine the scale of the cash flow in a truly positive year.”

So the question is: Can Bitcoin and the leading altcoins open up a short-term recovery, or will the bears continue to apply pressure, pushing prices lower? The answer will gradually reveal itself as we analyze the technical developments of the Top 10 cryptocurrencies in the market.

Technical Analysis SPX

The S&P 500 (SPX) index has been moving sideways in the range from 6,550 to 6,920 for several days.

Daily SPX chart | Source: TradingViewA positive signal is that the bulls are trying to keep the price above the moving averages, which increases the likelihood of a breakout above the resistance zone of 6,920. If this scenario occurs, the index could rise to the zone of 7,290.

However, the bears are likely not to remain still. They will look for ways to defend the resistance zone above and pull the price down below the moving averages. If successful, the index may continue to move sideways for a while. The bears will regain control if the SPX closes below the 6,550 mark.

Technical Analysis of DXY

The DXY index fell below the support zone of 98.03 on Tuesday, but the bears could not maintain the downward momentum at lower price levels.

Daily DXY chart | Source: TradingViewThe short-term recovery has reached the 20-day EMA at 98.79 on Friday, where the bears are exerting significant pressure. If sellers pull the price below 98.03, the index could continue to decline to 97.20.

On the contrary, if the price bounces back from 98.03 and rises above the moving averages, this indicates buying strength at the low price zone. At that point, the DXY could rise to the strong resistance zone at 100.54. It is anticipated that the bears will fiercely defend this zone, as if it is broken, a new upward trend could be formed.

BTC Technical Analysis

The recovery of BTC from the zone of 84,000 USD is facing resistance at the 20-day EMA line ( 89.322 USD ). However, the positive point is that the bulls are still maintaining buying pressure.

BTC/USDT daily chart | Source: TradingViewIf BTC closes above the 20-day EMA, the price may advance to the 50-day SMA at 92,754 USD, followed by the resistance zone at 94,589 USD. Bears are likely to fiercely defend the 94,589 USD level, as closing above this zone indicates that the correction phase may have ended.

If BTC breaks above and holds above 94,589 USD, the BTC/USDT pair could surge strongly to 100,000 USD, even reaching 107,500 USD. Conversely, bears will regain control if the closing price falls below the support zone of 84,000 USD.

Technical Analysis of ETH

Ether is forming a symmetrical triangle pattern, indicating the market's indecision about the next trend.

ETH/USDT daily chart | Source: TradingViewIf the bulls push the price above the moving averages, the ETH/USDT pair could rise to the resistance line of the pattern. Sellers will try to keep the price within the triangle, but if the bulls win, ETH could break out to 4,000 USD, then advance towards the pattern target at 4,386 USD.

Conversely, if the price reverses down from the moving averages and breaks the support line, the advantage will shift to the bears. At that point, ETH could plummet to the zone of 2,111 USD.

Technical Analysis of BNB

BNB has rebounded from the upward trend line and has now reached the 20-day EMA at 872 USD – where the bears are likely to appear.

BNB/USDT daily chart | Source: TradingViewIf the price sharply reverses down from this zone and breaks the uptrend line, the risk of dropping below the 790 USD mark will increase. At that point, the BNB/USDT pair could continue to fall to 730 USD.

In a more positive scenario, if BNB continues to rise and surpasses 928 USD, this indicates that the correction phase has ended. The price could increase to 1,019 USD and then to 1,100 USD.

Technical Analysis of XRP

XRP has bounced off the support line of the descending channel pattern, but is currently facing resistance at the 20-day EMA at 1.98 USD.

Daily XRP/USDT Chart | Source: TradingViewIf the price sharply reverses downward from the 20-day EMA line, the bears will try to pull the XRP/USDT pair back to the support zone of 1.61 USD. This is an important level to watch in the short term, as if broken, selling pressure could increase significantly. At that point, the price of XRP could drop deep to the low of October 10 at 1.25 USD.

This negative outlook will be nullified if the price continues to rise and surpasses the moving averages. At that point, XRP could advance towards the downtrend line. A close above this trend line would signal the potential for a trend reversal.

Technical Analysis of SOL

The price of Solana (SOL) is still below the moving averages, however, the bullish divergence on the RSI indicator shows that the selling pressure is gradually weakening.

SOL/USDT Daily Chart | Source: TradingViewIf the price breaks above the 20-day EMA (130 USD), the SOL/USDT pair could rise to the upper resistance zone at 147 USD. A close above 147 USD will signal that the bulls have returned to the market. At that point, the price could continue to rise to 172 USD.

On the contrary, if the price of Solana sharply reverses from the 20-day EMA, this indicates a negative market sentiment. At that point, the currency pair may continue to decline to 110 USD and even to the strong support zone at 95 USD.

Technical Analysis of DOGE

The price of Dogecoin (DOGE) has recovered back above the breakout zone of 0.13 USD on Friday, indicating that buying pressure is appearing at lower price levels.

Daily DOGE/USDT chart | Source: TradingViewHowever, the bears are unlikely to give up easily and will try to halt the recovery at the moving average lines. If the price of Dogecoin turns down from these averages and breaks below the 0.12 USD mark, it indicates that the bears are still in control of the market. At that point, the DOGE/USDT pair could plummet to the bottom of October 10 at 0.10 USD.

To negate this bearish scenario, the bulls need to push the price above the 50-day SMA of (,15 USD), thereby indicating that the market has rejected the breakdown below 0.13 USD. A large oscillation zone from 0.13 USD to 0.27 USD will be activated if the price maintains above 0.16 USD.

Technical Analysis of ADA

The recovery of Cardano (ADA) is facing resistance right at the previous breakout zone, indicating that the bears are still applying pressure.

ADA/USDT daily chart | Source: TradingViewIf the price of Cardano turns down and breaks below 0.34 USD, this confirms that the bears have turned the 0.37 USD zone into resistance. At that point, the ADA/USDT pair may continue to decline towards the low of October 10 at 0.27 USD.

A small positive point for the bulls is that the RSI indicator has formed a bullish divergence. If buyers can push the price above the 20-day EMA at (0.40 USD), this pair could strongly increase towards the very strong resistance zone at 0.50 USD.

Technical Analysis of BCH

The price of Bitcoin Cash (BCH) has broken through the resistance zone of 615 USD on Friday, however, the bulls could not maintain the momentum.

BCH/USDT daily chart | Source: TradingViewThe bears have pulled the price of Bitcoin Cash to the 20-day EMA (571 USD), but this zone is attracting buying pressure, as indicated by the long lower wick. If the upward momentum is maintained, the bulls will continue to try to push the BCH/USDT pair up to 651 USD, followed by 720 USD.

On the contrary, if the price turns around and decreases from the upper resistance zone and breaks below the 20-day EMA line, this indicates that traders are taking profits. At that point, the currency pair may drop significantly towards the 50-day SMA line (538 USD).

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