Bitcoin (BTC) has gradually declined in recent days, and some investors fear a sharp correction or bear market similar to the one that occurred in 2018 will happen again. However, there are major differences between the former beef market and the current market.

The most significant difference is the arrival of institutional investors. The most recent Bitcoin opposing organization is MassMutual insurer, Massachusetts, which recently bought 5,470 BTC for about $ 100 million.

So far, Bitcoin has been bought by a number of institutional players, from hedge fund managers to listed companies to a 169-year-old insurer.

Usually, institutional investors do not dump their assets at every correction because they only buy after thinking about long-term fundamentals. Thus, most of the price declines are seen as an opportunity to increase their assets.

Rocher Sharma, chief global strategist at Morgan Stanley Investment Management, said that the dollar’s base as the world’s reserve currency may end and Bitcoin could become a recipient due to “a growing distrust of traditional options.”

As more institutional investors are reflecting an optimistic outlook on Bitcoin, any correction is likely to attract more institutions to take advantage of the downside to buying.

Let’s break down the top 10 cryptocurrencies and take a look at the critical support levels buyers can enter.

Bitcoin / USD
The long tail of the December 9 candlestick shows that the bulls bought lower than the 20-day exponential moving average ($ 18,283) but failed to maintain momentum on December 10. Bitcoin (BTC) surrendered to selling pressure again and closed the 20-day EMA.

Today, the bulls buy back on the dip as seen from the long tail of the candle. This indicates that lower levels continue to attract buyers. The 20 day moving average and the Relative Strength Index (RSI) have flattened close to the midpoint, indicating short-term consolidation.

The BTC / USD is currently trading in a downward channel. If the bears dip below the uptrend line, the next support lies at the lower trend line in the downtrend channel. If this support also breaks, the decline may extend to the 50-day simple moving average of $ 16,525.

The bulls are likely to defend strongly against the $ 16,191.02 level. If price returns from this support, it indicates the possibility of consolidation into a large sample. On the other hand, if the bulls can support the recovery and push the price back above the 20 day moving average, the pair may rise to the upper trend line of the channel.

Flashing the channel again could lead to a fresh test of the upper resistance zone between $ 19,500 and $ 20,000.

ETH / USD
ETH is currently trading inside a sinking channel. The bulls failed to gain a foothold on the bounce on December 9, and the price fell again on December 10. This indicates that traders are selling on preferential terms.

The bears are currently trying to keep the price below the 20 day EMA ($ 558). If successful, the ETH / USD pair might slide to the next major support level at $ 488.134, below the 50 day SMA to 491. Bulls are likely to defend this area strongly.

If the pair bounces sharply from this area, that indicates a sizeable trading range between $ 488,134 and $ 622,807.

Contrary to this assumption, the price will indicate that the correction may end if the price breaks through the current level and breaks the channel. The bulls will then try to push the price towards the ascending resistance at $ 622,807.

Both options are equally likely because the constant 20 day moving average and the RSI near the midpoint suggest a balance between the bulls and the bears.

XRP / US Dollar
XRP bounced back from support at $ 0.50 and closed at the 20-day moving average ($ 0.54) on December 9th. The bonus is down again today, but the bulls are trying to defend the 20 day EMA.

If the price stays above the 20 day moving average, this indicates that the bears are losing control. A fixed 20-day exponential moving average and the RSI above 52 indicate an equilibrium between supply and demand.

If the bulls push the price above $ 0.60, the XRP / USD pair could remain in the range of $ 0.50 to $ 0.679 for several days.

This opinion would become invalid if the bears lowered their price below $ 0.50. If this happens, the pair may drop to the 50-day simple moving average at $ 0.39.

LTC / USD
The Litecoin (LTC) rebound on December 9 lasted only one day, and on December 10, the price fell again. This indicates that the bears sell every small spike.

Source: CoinTelegraph

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