The US stock market continues to reach new highs all the time, while gold, which is considered a haven, has retreated from its peak. This indicates that there is a desire to own risky assets. Meanwhile, Bitcoin (BTC), which sometimes acts as an unencumbered asset, remains in a specific region.

However, as the US presidential election approaches, volatility is likely to increase across all markets.

If President Donald Trump is re-elected, current economic policies are unlikely to change much. If Joe Biden wins the election, economists, traders and companies will likely be cautious for weeks, and that could lead to a correction as markets hate uncertainty. Therefore, dealers should prepare for a rollercoaster ride in the coming months.

According to PlanB, the creator of the popular stock-to-power model, Bitcoin’s price action since it was cut in half in May has followed this pattern closely. If Bitcoin continues to follow this pattern, it is likely that the price will rise sharply within a few months and enter a long-term bull market with a target of $ 288,000.

While the long-term picture may seem optimistic, what do the maps expect in the short term?

Let’s explore it to find out!

Bitcoin / USD
Bitcoin has turned its back on the upper resistance of $ 12,113.50 again, indicating that the bears are strongly defending this level.

So far, the 20-day exponential moving average ($ 11,558) has stabilized, and the RSI is just below its midpoint, indicating a balance between the bulls and the bears.

However, if the bears fall and keep the price below the $ 11,000 support level, it will complete the bearish price of $ 9,540 targeting the head and shoulders pattern.

This is unlikely to be a direct slide towards the target, as the bulls will try hard to defend the $ 10.400-10,000 area.

On the contrary, if the price bounces off $ 11,000 levels, the BTC / USD pair is likely to remain in the range for several days. The trend will turn in favor of the bulls if they are able to rise above the $ 12,113.50 resistance zone.

The next few days are crucial because a breakout or breakout of the $ 11000-12113.50 series might start determining the next direction.

Ether (ETH) peaked at $ 446,479 on September 1, and reached its first goal of $ 480. This attracted huge profits from traders, leading to a sharp intraday drop to $ 416,248 today.

The bulls are currently trying to defend the 20 day EMA ($ 408), which is a positive sign, as the positive sentiment appears to be unchanged.

Both moving averages are sloping upwards, and the RSI indicator remains in positive territory, indicating that buyers have an edge. However, they would have to push the price above the $ 480 resistance level to resume the trend.

If the bears dip below the ETH / USD pair below $ 415,634, it might drop as low as $ 366. A break of this support shifts interest to the bears.

XRP rose above $ 0.295813 on September 1 and the bulls attempted to resume gains today, but faced strong selling pressure at $ 0.303746, pushing the price down to $ 0.262484.

On the positive side, the bulls are back to the 50 day simple moving average ($ 0.263) again today, making this level critical to search for. If the bears push the price below this support, the possibility of a deeper drop to $ 0.235688 increases.

Conversely, if the bulls defend the 50-day SMA, the XRP / USD pair might stay in the $ 0.26 to $ 0.30 range for several days. When closing (UTC) above $ 0.30, it could move to $ 0.326113.

The 20-day steady EMA ($ 0.280) and the Relative Strength Index (RSI) just below the 50 level indicate an equilibrium between supply and demand with a slight edge to the bears.

Link / USD
Chainlink (LINK) attempted to bounce off the 20-day moving average ($ 14.99) on September 1, but today’s sharp reversal has brought it to $ 14.

The 20-day moving average has stabilized and the RSI has declined near its midpoint, indicating that the LINK / USD pair might remain in the range between $ 12.89 and $ 17.7777.

Source: CoinTelegraph