Price analysis 12/2: SPX, DXY, BTC, ETH, XRP, SOL, BNB, DOGE, ADA, AVAX

Bitcoin (BTC) dipped below $95,000, but lower levels attracted buyers. Undeterred by Bitcoin’s sharp rally toward $100,000, the two largest corporate holders of Bitcoin, MicroStrategy and MARA Holdings, have continued to build their stockpile with fresh purchases in the past few weeks.

Traders remain optimistic about Bitcoin’s prospects in December following the 37% gains in November. 10x Research founder and CEO Markus Thielen told Cointelegraph that Bitcoin has averaged “a remarkable +28%” in December during halving years, posting positive returns in all of them.

Long-term investors are likely to view any dip in the near term as a buying opportunity. Analysts say that Bitcoin is expected to pick up momentum after it breaks above $100,000.

“The real FOMO begins above $100K. Once the epic sell wall falls, we enter a supply vacuum with a new retail-driven infinite bid. Do the math,” said Capriole Investments founder Charles Edwards in a post on X.

Will Bitcoin resume its uptrend or enter a consolidation, shifting focus to altcoins? Let’s analyze the charts to find out.

S&P 500 Index price analysis

The S&P 500 Index (SPX) made a new all-time high on Dec. 2, indicating strong demand at higher levels.

The upsloping moving averages and the relative strength index (RSI) in the positive zone indicate that buyers are in command. If the price maintains above 6,000, the index could soar to 6,221 and later to 6,500.

Time is running out for the bears. If they want to make a comeback, they will have to yank the price below the 50-day simple moving average (5,845). If they do that, the index could start a deeper correction toward 5,670.

US Dollar Index price analysis

The US Dollar Index (DXY) turned down sharply from the overhead resistance of 108 but is finding support at the 20-day exponential moving average (105.93).

Buyers will try to push the price toward 108, but the bears are expected to defend the level with all their might. The flattening 20-day EMA and the RSI in the positive territory suggest that the bullish momentum is weakening. That could signal a range-bound action between the 20-day EMA and 108 in the near term.

Sellers will have to sink and maintain the price below the 20-day EMA to seize control. The index may then descend to the 50-day SMA (104.15).

Bitcoin price analysis

Bitcoin is facing solid resistance at the psychologically crucial level of $100,000. The failure to cross above the overhead resistance may tempt short-term buyers to book profits.

The first support on the downside is the 20-day EMA ($92,534). If the price rebounds off the 20-day EMA, the bulls will again try to drive the BTC/USDT pair above $100,000. If they can pull it off, the pair could soar to $113,331 and then to $125,000.

Contrarily, a break below the 20-day EMA increases the likelihood of a range formation in the near term. The pair could drop to $90,000 and later to $85,000. Buyers are expected to fiercely defend the $85,000 to $90,000 support zone.

Ether price analysis

Ether (ETH) has been maintaining above the downtrend line, but the bulls are struggling to push the price to $3,900.

Sellers will try to make a comeback by pulling the price below the 20-day EMA ($3,379), but the bulls are expected to buy the dips aggressively. If the price rebounds off the 20-day EMA with strength, the possibility of a rally to $4,094 increases.

Conversely, a break and close below the 20-day EMA will signal that the breakout above the downtrend line may have been a bull trap. That could increase the selling pressure, pulling the ETH/USDT pair to $3,000.

XRP price analysis

XRP (XRP) resumed its up move after breaking out of $1.63 on Nov. 29. The $1.97 level was expected to act as a solid resistance, but the buyers easily surpassed the level.

The XRP/USDT pair could reach $3 and later attempt a retest of the all-time high at $3.84. The sharp rally of the past few days has pushed the RSI deep into the overbought territory, which increases the risk of a sharp pullback. Traders should be ready for increased volatility and exercise caution. 

The $2 level is likely to act as a strong support during pullbacks. Sellers will have to pull and maintain the price below $2 to signal a comeback.

Solana price analysis

The bears have pulled Solana (SOL) below the 20-day EMA ($230), indicating that the bulls are losing their grip.

There is minor support at $222, but if the level gives way, the SOL/USDT pair could slide to the breakout level of $210. This is an important level for the buyers to protect if they want to keep the bullish sentiment intact. If the price turns up from $210, it will signal that the level is acting as a new floor.

On the upside, a close above $236 could start an up move to $265. The bears are expected to mount a strong defense at $265, but if the bulls prevail, the pair could rally to $304.

BNB price analysis

BNB (BNB) turned down from $677 on Nov. 30, indicating that the bears are aggressively defending the overhead resistance of $687.

The 20-day EMA ($635) is the first support on the downside. If the price rebounds off the 20-day EMA, the bulls will try to propel the BNB/USDT pair above $687. If they succeed, the pair could rally to $722.

Instead, if the 20-day EMA breaks, the pair could slump to the 50-day SMA ($609). This is an essential level for the bulls to protect because a break below it could sink the pair to the uptrend line.

Related: Why is Bitcoin price stuck?

Dogecoin price analysis

Dogecoin (DOGE) formed an outside-day candlestick pattern on Dec. 2, indicating a tough battle between the bulls and the bears.

The up move is likely to face selling at the channel’s resistance line. If the price turns down from the resistance line, it will signal that the DOGE/USDT pair may spend some more time inside the channel.

A break and close below the channel will suggest profit booking by short-term traders. That may pull the price down to $0.33 and later to $0.30. Alternatively, a break and close above the channel could clear the path for a rally to $0.59.

Cardano price analysis

The bulls are trying to maintain Cardano (ADA) above the $1.15 overhead resistance, signaling the resumption of the uptrend.

The bulls will try to push the price to $1.25, which is likely to behave as a stiff hurdle. If the price turns down from $1.25 but rises from $1.15, it will signal that the bulls have flipped the level into support. That improves the prospects of a break above $1.25. The ADA/USDT pair may then surge to $1.64.

Contrarily, if the price fails to maintain above $1.15, it will indicate that the bears are selling on rallies. The price may dip to $1 and thereafter to the 20-day EMA ($0.91). 

Avalanche price analysis

Avalanche (AVAX) has sprinted toward $51, where the bears are likely to mount a strong defense.

If the price turns down sharply from $51, the AVAX/USDT pair could dip to the 20-day EMA ($40.19). The upsloping 20-day EMA and the RSI in the overbought zone indicate advantage to buyers. A strong rebound off the 20-day EMA improves the prospects of a rally above $51. That could push the pair to $60.

Sellers will have to tug the price below the 20-day EMA to make a comeback. The pair may then slump to $38, which is expected to behave as a strong support.