Weekly Analysis of BTC, ETH, and Altcoin Markets, July 29, 2024

Bitcoin (BTC)

Despite some short-term corrections last week, BTC continues its upward movement. The price of the asset is gradually nearing the seller’s zone of $71,000–$72,700, with only the ATH beyond that. 

The likelihood of renewing the all-time high soon is suggested by positive news, particularly the gradual decrease in inflation and optimistic remarks about BTC from U.S. presidential candidate Donald Trump, who is preliminarily expected to have a good chance of being elected for a second term. 

Any potential decline to the support zone of $63,300–$64,700 should be seen as temporary, and a complete change to a downward trend would only occur if it settles below the $59,100–$60,700 range.

BTC H4 Chart

Ethereum (ETH)

ETH, despite the highly anticipated launch of Ethereum ETFs, did not see significant excitement last week. However, ETH is currently trading between the support zone of $3,100–$3,200 and the resistance zone of $3,320–$3,400. 

If it continues to correlate with BTC, Ethereum is expected to rise, with the next target for buyers at the $3,580–$3,650 range. 

The upward trend will be considered finished if the price drops below $3,100.

ETH H4 Chart

Celestia (TIA)

Over the past six months, the market dynamics of Celestia have been negative: the coin has fallen by 75% during this time, reaching a new global low at $4.17. 

Currently, TIA is trading between the support zone of $4.17–$5.4 and the resistance zone of $7.25–$8.35. The latter seller’s zone is a significant barrier to growth. If buyers manage to overcome it, their next target will be the $9.5 level. 

However, the start of an upward trend remains unlikely. A more realistic scenario for TIA involves further gradual declines and setting new lows.

TIA D1 Chart

Lido DAO (LDO)

The coin has been setting new lows for six months, having fallen from its annual high of $4.03 down to $1.41. 

Although the downtrend appears to be the priority, the asset could reverse its fortunes if buyers demonstrate significant strength. For this reversal to happen, buyers need to overcome the resistance zone between $1.85 and $2.10 and stabilize above the $2.36 mark. 

This scenario could unfold if the positive momentum surrounding BTC continues, as BTC often acts as a market driver.

LDO D1 Chart

Arbitrum (ARB)

Arbitrum continues to show a downward trend, although there has been a slight recovery thanks to some local buying strength. Currently, the asset is trading between the support zone of $0.66–$0.70 and the resistance zone of $0.78–$0.83. 

Notably, there is a significant level of sell orders at $0.75 within this range. Therefore, ARB's growth is hampered by multiple resistance factors. 

If BTC experiences a minor local dump, ARB’s price could continue to fall, potentially reaching new lows below the $0.56–$0.60 zone.

ARB H4 Chart

Injective (INJ)

Injective has shown strong buying activity, allowing its price to rebound from the support zone of $16.6–$20.1 up to $25. 

If this level is decisively broken, the coin could potentially rise toward the seller's zone at $31–$34.6. The response at this range will indicate the likely direction of the asset’s future movement. 

Continued growth for INJ depends on maintaining the overall upward trend in BTC.

INJ D1 Chart

BTC Dominance, Altcoin Season Index, and Fear and Greed Index

The Bitcoin Dominance Index increased by 1% last week, reaching 56.53%. This indicates a continuing trend towards accumulating Bitcoin and decreasing interest in altcoins.

BTC Dominance Index. Source: tradingview.com

The Altcoin Season Index currently stands at 25 points, signifying a lack of buyer interest in altcoins. This level has been consistently low for several months, suggesting that an altcoin season may not be forthcoming.

Altcoin Season Index. Source: blockchaincenter.net

The Fear and Greed Index has risen by 4 points to 74, which is classified as “Greed.” This indicates potential improvements in market liquidity due to increased investment capital inflow.

Fear and Greed Index. Source: alternative.me

Economic News

This week is packed with significant macroeconomic events:

• Consumer Confidence Index and JOLTS job openings (Tuesday, July 30);
• Non-farm employment change from ADP, U.S. crude oil inventories, and the Federal Reserve's interest rate decision (Wednesday, July 31);
• Initial jobless claims and the Manufacturing Business Activity Index (Thursday, August 1);
• Average hourly earnings, non-farm employment change from the BLS, and the U.S. unemployment rate (Friday, August 2).

Particularly on Wednesday and Friday, these events could significantly impact the cryptocurrency market. Given the potential for increased volatility and unpredictability in crypto prices, it may be prudent to reduce trading risks or refrain from trading starting Wednesday.

Check out The Coinomist for the latest cryptocurrency rates and chart analysis.

Disclaimer

Please note that the analysis provided above should not be considered a trading recommendation. Before opening any deals, we strongly advise conducting your own research and analysis.

Abbreviations

TF (Timeframe) — a chronological period equal to the time it takes to form one Japanese candle on the chart.

Horizontal channel (flat, sideways, range) — the price movement between support and resistance levels, without going beyond the given range.

К — simplified designation of one thousand dollars of the asset price (for example, 23.4K – $23,400).

Gray range on the chart — a support zone.

Red range on the chart — a resistance zone.

Correlation — the tendency of prices of different cryptocurrencies to move in sync, often influenced by the dominance of one of the assets.

Initial materials

This analysis was informed by the following educational materials and articles from The Coinomist:

• TOP 5 Useful Chart Analysis Tools on TradingView
• How Are Trading Volumes Useful in Cryptocurrency Analysis?
• Candlestick Patterns: Types and How They Work in Trading
• The Most Popular Chart Patterns for Crypto Trading