These 4 altcoins are showing strength as Bitcoin corrects.

Bitcoin (BTC) broke through the $115,000 mark on Monday, but the rapid increase quickly weakened as the bulls could not maintain pressure at the high price zone. Shortly after, strong sell-off pulled the price down near the $113,000 threshold and is currently putting pressure on the important support zone at $112,000.

While institutional investors have been cautious in recent days, businesses are going in the opposite direction – continuing to accumulate. According to data from Farside Investors, Bitcoin spot ETF funds in the U.S. experienced a net outflow of up to 323.5 million USD just on Monday. However, this has not shaken large companies. Capriole Investments stated that some corporate treasuries have seized this opportunity to acquire more than 600 BTC.

Ether (ETH) also recorded a similar trend. Although Ethereum ETF funds experienced a record net outflow of 465 million USD on the same day, large-scale purchases from whales and institutions appeared immediately afterwards, through decentralized trading channels (OTC) on Tuesday.

If Bitcoin can hold strong on the current support zone, the market may witness the next breakout from some altcoins that are showing positive signals in the short term. Let's analyze the charts of the five most prominent cryptocurrencies at the moment.

Technical Analysis of BTC

Bitcoin is receiving support from the (SMA) 50-day simple moving average, currently at $112,395, but the recovery is facing strong selling pressure around the $115,000 mark.

BTC/USDT daily chart | Source: TradingViewIf the price strongly rebounds from the 50-day SMA line, the BTC/USDT pair may fluctuate within the range between the moving averages for a few days. Trading in such a narrow range is usually followed by a period of expansion.

If the price breaks and closes above the 20-day SMA, it indicates that the bulls have taken control. At that point, the pair could rise to $120,000, and then to $123,218. If the price breaks out and closes above the $123,218 mark, the next upward momentum could push BTC to $135,000.

On the contrary, if the price breaks below the 50-day SMA, it indicates that the bulls are taking profits. The bears will try to strengthen their position by pulling the price below the support zone of $110,530. If successful, the price could drop to $105,000 and then to $100,000.

BTC/USDT 4-hour chart | Source: TradingViewOn the 4-hour chart, BTC has reversed and is falling from the 50-day SMA, indicating that the bears are taking advantage of the upward moves to sell. There is a small support level at $112,000, but if this level is breached, the price could fall to $110,530. Buyers are expected to strongly defend the $110,530 zone.

To regain short-term control, the bulls need to push the price above and maintain it above the 50-day SMA. At that point, this currency pair may bounce up to the resistance zone above at $120,000-$123,218.

Technical analysis of LTC

Litecoin (LTC) has surged from the $107 mark on Sunday, indicating that the bulls are trying to turn this zone into support.

Daily LTC/USDT Chart | Source: TradingViewThe moving averages are trending upwards while the RSI is in the overbought zone, indicating that the main trend is still upward. If the price holds above the $122 mark, the LTC/USDT pair could surge to $130. Bears will attempt to halt the rise at $130, but if bulls break through this resistance, the price could target $140.

The first signal of weakness will be when the price breaks and closes below $120. At that point, the pair may plummet towards the 20-day SMA ($111).

LTC/USDT 4-hour chart | Source: TradingViewOn the 4-hour chart, LTC's upward momentum is reinforced after breaking above the 50-period SMA line. Buyers have pushed the price above the resistance level of $122, but are facing strong selling pressure at higher levels. Bears are trying to pull the price below $122. If successful, the price may fall back to the 20-period SMA.

On the contrary, if the price bounces up from the level of $122, it indicates that the bulls are trying to turn this threshold into support. This scenario will increase the likelihood of the price continuing to rise to $130.

Technical Analysis of CRO

Cronos (CRO) has fallen below the 20-day SMA ($0.13) on Saturday, but the bears could not sustain the low price for long.

CRO/USDT Daily Chart | Source: TradingViewThe bulls have pushed the price back above the 20-day SMA on Sunday. The 20-day SMA is sloping upwards and the RSI is hovering near 58, indicating an advantage for the bulls. If the price breaks and closes above $0.15, it will confirm that the uptrend continues. The CRO/USDT pair could rise to $0.17 and then to $0.19.

The bears will need to pull the price down below the $0.12 mark to stop the upward momentum. At that point, the price could fall to the 50-day SMA ($0.10).

CRO/USDT 4-hour chart | Source: TradingViewOn the 4-hour chart, the bulls have pushed the price above the 50-period SMA, but have failed to capitalize on this advantage. Currently, the bears are trying to pull the price below the 20-period SMA – an important support level in the short term to watch. If the price bounces back from the 20-period SMA, the bulls will try to push the price up to $0.15.

On the contrary, if the price continues to fall and breaks below the 20-period SMA line, it indicates that the bears are selling when the price rises. At that point, the currency pair could drop to the strong support zone at $0.12.

Technical Analysis of ENA

The recovery of Ethena (ENA) has stalled at the threshold of $0.70 on July 28. However, a positive signal is that the bulls quickly "caught the bottom" when the price adjusted to the 20-day moving average (SMA) at $0.54 on Sunday.

Daily chart of ENA/USDT | Source: TradingViewThe 20-day SMA is trending upwards and the RSI indicator is in the positive zone, indicating that the bulls are in control. To kick off the next upward move, the bulls need to push the price above the $0.70 level. If successful, the ENA/USDT pair could soar to $0.82, even $0.96.

However, this optimistic view will be invalidated in the short term if the price reverses and falls sharply below the 20-day SMA line. This indicates that the bulls are rushing to sell. At that point, the price of ENA could plunge to $0.42.

The ENA/USDT chart on the 4-hour frame | Source: TradingViewOn the 4-hour chart, the ENA/USDT pair is moving in a descending price channel pattern. If the price slips below the 20-period SMA line, this currency pair may fall sharply to the support line – where buying pressure is expected to emerge.

On the contrary, if the price bounces back from the 20-day SMA, this indicates that the "buy on dips" trend is still in place. At that point, the currency pair may rise to the resistance line. The bulls need to push the price above this resistance line to confirm that the correction phase has ended.

Technical Analysis of MNT

Mantle (MNT) has formed an inverted head and shoulders pattern, and this pattern will be confirmed if the price breaks out and closes above the neckline at $0.85.

Daily chart of MNT/USDT | Source: TradingViewThe 20-day SMA ($0.78) is sloping up along with the RSI indicator in the positive zone, indicating that the bulls are in control. If the price holds above the $0.85 level, the MNT/USDT pair could start a rally towards $0.94, followed by $1.06. The price target based on this bullish pattern is at $1.15.

However, the bears may have other plans. They will try to pull the price below the $0.85 level, aiming to trap investors who are buying hastily. At that point, the price could fall to the 20-day SMA line, or even the 50-day SMA line – an important support level to watch.

MNT/USDT 4-hour chart | Source: TradingViewOn the 4-hour chart, the pair reversed from $0.67 and accelerated after breaking above the SMA 50 line. Bears tried to curb the uptrend at $0.85, but bulls bought in as the price corrected and are currently attempting to extend the rally. If the price remains stable above the $0.92 level, the pair may break out to $1.

However, this positive outlook will lose its value if the price reverses and breaks below the $0.80 mark. At that point, the MNT/USDT pair could fall back to the 20-day SMA line.

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