Crypto Price Analysis 7-31 BTC, ETH, SOL, MKR, AAVE, BCH, DOT, JUP

Following a strong rally that took it past the $70,000 mark, Bitcoin (BTC) has lost considerable momentum, with the price dipping below $66,000 during the ongoing session. This marks BTC’s third consecutive session in the red, indicating the presence of sellers at higher levels ($70,000).

Bitcoin (BTC) registered a strong bullish surge on Monday as buyers propelled the cryptocurrency to $70,000 before sellers were able to wrest control. However, after reaching that price, BTC saw a sharp reversal as sellers drove the price back down over 2% to $66,810. We could see a period of consolidation before BTC initiates its next move, possibly retesting $70,000. 

US Senator Cynthia Lummis’s Office Shares Draft Bill 

The office of Senator Cynthia Lummis shared a draft bill of the legislation to create a strategic Bitcoin (BTC) reserve. According to the draft, the purchase of BTC to create a new strategic reserve would be partly financed by revaluing gold certificates held by the Federal Reserve System. Lummis is known for her pro-Bitcoin stance and announced plans to propose the strategic reserve during the Bitcoin Nashville conference, coming onstage minutes after Donald Trump, the Republican nominee in the US presidential elections. 

In his speech, Trump endorsed using BTC held by the US government to form the core of a new strategic national Bitcoin stockpile. The US holds BTC obtained through seizures and forfeitures. The draft bill proposes establishing a decentralized network of secure Bitcoin storage facilities across the US. The locations would be selected after a comprehensive risk assessment prioritizing security, accessibility, and geographic diversity. Additionally, the bill proposes that the Treasury Secretary establish a Bitcoin Purchase Program of up to 200,000 BTC a year over five years. This BTC would be held for at least 20 years and used only to pay off federal debt. 

The plan also proposes setting aside $6 billion from any net earnings remitted by the Federal Reserve to the Treasury between 2025 and 2029 and reducing the discretionary surplus funds of Federal Reserve banks to $2.4 billion from the current $6.8 billion. It also proposes revaluing the Federal Reserve banks’ gold certificates to reflect their fair market value. 

Focus Shifts To Supply 

Bitcoin (BTC) retreated significantly from its six-week high as speculation arose that the US might move to sell seized tokens after Donald Trump pledged to create a strategic stockpile of the asset should he be elected to office again. This comes after the US government moved $2 billion worth of BTC to a new wallet address, with analysts speculating the tokens were from the Silk Road seizures. According to Spencer Hallarn, the global head of OTC trading at GSR, the markets witnessed elevated levels of short-term call buying, with option buyers now looking to close these positions, leading to a drop in prices. 

“Ahead of President Trump’s speech at the Bitcoin Conference this past weekend, the market saw extremely elevated levels of short-term call buying. With the passage of the event, as option buyers have looked to close these positions, the same dealers that were buying last week have turned into sellers of Bitcoin, providing a headwind to prices.” 

Bitcoin (BTC) Price Analysis 

Bitcoin (BTC) had a decisive breakout after dropping to a low of $63,846. It was able to rebound from this level thanks to the 50-day SMA acting as a dynamic level of support. With buyers entering the market, BTC could reverse its losses, register an increase of 0.63% on Thursday, and move to $65,845. BTC continued its upward momentum on Friday, registering an increase of 3.12% and moving to $67,899. The weekend began with BTC witnessing significant volatility as buyers and sellers looked to establish control. As a result, BTC saw considerable price swings before settling at $67,833 after registering only a marginal drop. Sellers attempted to drive BTC below $68,000 on Sunday but could not do so. Instead, buyers took over and pushed BTC to $68,254.

Source: TradingView

The current week began with a surge towards $70,000 as buying activity increased considerably. BTC climbed to $70,000, but bulls lost momentum, and BTC dropped back as sellers defended this level. As a result of this jump in selling pressure, BTC fell by 2.12% to $66,810. Sellers retained control on Tuesday as they attempted to drive the price below $65,000, but with support around $65,000, buyers could push BTC higher. Eventually, BTC settled at $66,252, a drop of 0.83%. The current session sees BTC up marginally as buyers attempt to reverse the bearish trend of the past couple of days. As you can see from the price chart, sellers had attempted to drive BTC below $65,000 yet again but were unable to do so.

If selling pressure continues, BTC could drop below $65,000, indicating that selling pressure is turning bearish. In such a scenario, BTC could drop to $60,000. However, the overall market remains bullish, with traders hopeful BTC could set a new all-time high this year. BTC is expected to encounter a period of sideways consolidation in the short term before picking up again.

Ethereum (ETH) Price Analysis

Spot Ethereum ETFs are facing several challenges, having notched up significant outflows despite making a strong debut, attracting $106 million in net inflows. Much like its ETFs, ETH is also experiencing choppy waters, facing sideways price action and being unable to push above the $3,500 resistance. ETH has strong support around the $3,000 mark, which has helped keep its price steady. Strong support also indicates strong demand at lower levels. Another crucial support level sits at $2,850. ETH is facing resistance at $3,400 and $3,500, with the 20-day SMA also acting as a dynamic resistance level. Beyond this, crucial resistance levels are $3,800 and $4,000.

Source: TradingView

Ethereum (ETH) has been climbing steadily since hitting a low of $3,009 on Thursday. The price was able to bounce off its support levels and push up to $3,175. Despite buyers propping the price, it was still a substantial decline of almost 5%. The price recovered on Friday, rising by 3.20% to $3,277. ETH attempted to push above the 20-day SMA on Saturday but was unable to do so, and after reaching a high of $3,330, the price fell back to $3,250. Selling pressure continued on Sunday as ETH dropped to a low of $3,201. However, it rebounded and registered an increase of 0.68% and moved to $3,272. Buyers made a concerted effort to push ETH above $3,400 on Monday as the price rose to $3,399. However, ETH faced strong selling pressure at this level and was forced back below the 20-day SMA, registering an increase of just 1.42%.

The bears took control of the market on Tuesday, as ETH fell to a day low of $3,196. However, thanks to demand at this level, ETH managed to rise to $3,280, eventually registering a drop of 1.17%. The current session sees ETH up by 1.41% as buyers look to mount another attempt to push above the 20-day SMA. So far, buyers have defended ETH’s support levels at $3,200 and $3,000. For a sustained recovery, ETH must push above the 20 and 50-day SMAs and close above $3,400. If it can do so, it can set itself up for a potential move to $3,500 and above.

Solana (SOL) Price Analysis

Solana (SOL) has been up by just over 5% in the past week but has lost momentum, having slipped below $180 on Tuesday. SOL made a strong recovery after dropping to a low of $165 on Thursday, rising by 6.56% on Friday to surge past $180 and settle at $183. The price experienced significant volatility on Saturday as sellers attempted to push the price back below $180. However, buyers were able to push back, and SOL ended Saturday marginally up. Sunday saw lesser volatility, and SOL registered a 0.60% increase, climbing above $185.

Source: TradingView

The current week began with SOL seeing a significant jump as it surged past $190 to $194.07, with many anticipating a break above $200. However, with sellers defending this level vigorously, SOL lost momentum, and sellers took over. As a result, SOL fell into the red, dropping by 1.30% to $182.65. SOL continued to drop on Tuesday, falling by almost 2% to slip below $180 and settle at $179. The current session has buyers in control, with SOL trading at $183 after an increase of 2.40%. While SOL remains bullish in the long term, volatility levels remain high.

The bulls must defend a strong support level at $170. If this level is breached, SOL could drop to $150, its next significant support level. The bulls will also want another shot at $200. To do this, SOL must first push above $185 and $190. A break above these levels could see a push to $200. However, sellers will fiercely defend these levels.

Maker (MKR) Price Analysis

Maker (MKR) was incredibly bullish until July 16, when its price surged after dropping to a low of $2,043. By July 17, MKR was trading above $3,000, having settled at $3,045. However, the price began dropping after hitting that level, and by Thursday (July 25), it was down to $2,641, slipping below the 20-day SMA. MKR attempted to push above the 20-day SMA on Friday, rising to a high of $2,783. However, buyers could not sustain momentum, and the price fell back to $2,652, registering only a marginal increase. The weekend did not see much price movement, with MKR only registering a marginal drop on Saturday and a marginal rise on Sunday despite facing some volatility.

Source: TradingView

However, MKR registered a substantial increase on Monday, thanks to demand around $2,600. As a result, MKR surged by just over 7% to climb above the 20-day SMA and settle at $2,824. The price dropped on Tuesday, slipping to $2,779 after a decline of 1.58%. MKR rebounded from the 20-day SMA, and is currently trading at $2,877, up by 3.54%. If buyers can sustain momentum, MKR could reclaim the $3,000 level. However, a reversal could see the price drop to $2,700 or even $2,500.

AAVE Price Analysis

Aave (AAVE) has defied market expectations and has been up almost 15% over the past week, signaling significant bullish sentiment around the token. The asset has surged since dropping to a low of $85.82 on Friday. Buyers were able to reverse the bearish trend, pushing the price to a high of $97 before settling at $92.89, an increase of 3.31%. AAVE continued to push higher on Friday, rising by 5.34% to go above the 20-day SMA and settle at $97. As we can see from the price chart, bulls made a strong push above $100, but sellers were able to defend this level, and the price fell back to $97.

Source: TradingView

The $100 level was reclaimed on Saturday, as AAVE rose to $101 after a 3.43% increase. This also saw the price push above the 200-day SMA, signaling bullish momentum. Sunday saw a slight pullback as AAVE dropped to $98, but bullish sentiment returned on Monday, surging by over 6% to $104. Sellers attempted to push the price below $100 on Tuesday but could not. Instead, AAVE registered a marginal increase of 0.26%. The current session sees bulls in control yet again, with the price up by 2.31% and trading at $107.

Bitcoin Cash (BCH) Price Analysis

Bitcoin Cash (BCH) has been one of the standout altcoins in the crypto market, registering an impressive 25% increase in just four days. The assets price rise began on Friday and intensified over the weekend, as it surged past the 20, 50, and 200-day SMAs to push above $400 on Sunday and settle at $417 after an increase of $6.17%. The current week began with BCH reaching a day high of $459 as buyers attempted to consolidate above $450. However, the price faced significant selling pressure at this level and dropped back to $439. Despite this drop, BCH registered an impressive increase of 5.28%.

Source: TradingView

Many analysts expected its upward momentum to stall with the RSI approaching the overbought zone. As expected, BCH dropped on Tuesday after registering a drop of 1.49%. The current session also sees BCH in the red as sellers attempt to push the price toward $400. If sellers continue to dominate the session, BCH could drop to $400, where the 200-day SMA could act as support. If it can rebound from this level, we could see a retest of $450.

Polkadot (DOT) Price Analysis

Polkadot’s (DOT) price struggles continued, with the price down by nearly 8% over the past week. DOT has also faced a consistent decline in user demand through July, which has also weighed down its price significantly. DOT has been trading between $6.40 and $5.50 since the middle of June, and with bearish pressure intensifying over the past few days, the prospect of losing the $5.50 support level could become a real possibility. User activity on Polkadot’s Relay Chain and its associated parachains has also plummeted to its lowest point since the beginning of the year.

Source: TradingView

As we can see in the price chart, DOT has been in the red since the weekend after hitting $5.87 on Friday. Failure to push any higher led to DOT dropping back in the red, and while buyers attempted to revive the price and push toward $6 on Monday, bears were able to thwart this. By Tuesday, DOT dropped to $5.53, just above the $5.50 support level. If the bulls lose this level, DOT could slide to $5 or even lower and hit a yearly low should it go below $4.91. The RSI also indicates bearish momentum but is approaching the oversold zone, suggesting we could see a recovery. DOT will likely face significant resistance at $6 in the event of a recovery. If it is able to push above this level, $6.50 and $7 present strong resistance levels.

Jupiter (JUP) Price Analysis

Jupiter (JUP) has made an incredible recovery since its slump on July 4. The altcoin is up 34% over the past month, having reclaimed $1 on Friday when it surged by almost 13% to settle at $1.07. JUP continued to push higher over the weekend, hitting a day high of $1.18 on Saturday. However, the price fell back from this level and settled at $1.09, an increase of 1.86%. Sunday saw buyers continue to push JUP higher, with the price moving to $1.12. Buyers made a strong push towards $1.20 on Monday, with the price peaking at $1.21. However, JUP could not sustain itself at this level as sellers forced the price back down. With sentiment turning to bearish, JUP dropped by nearly 3% and settled at $1.09.

Source: TradingView

JUP remained in the red on Tuesday as sellers attempted to drive the price below $1. However, they could not do so, as the price settled at $1.04 after a decline of 4.35%. The current session sees the price up by 3.31%, with JUP trading at $1.07.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.