The biggest February crypto predictions for February deal with Bitcoin (BTC), Solana (SOL), and Bittensor (TAO).
January was a mixed month for the cryptocurrency market, characterized by considerable volatility. BeInCrypto looks at the top crypto predictions for February 2024.
Bitcoin (BTC) Will Fall Below $40,000
The BTC price has fallen since reaching a high of $49,114 on January 11, 2024. The downward movement caused a breakdown from an ascending support trend line on January 18. After bouncing, BTC validated the trend line as resistance on January 30 (red icon). This started the current downward movement.
The daily RSI legitimizes the rejection. Market traders use the RSI as a momentum indicator to identify overbought or oversold conditions and to decide whether to accumulate or sell an asset.
Readings above 50 and an upward trend indicate that bulls still have an advantage, whereas readings below 50 suggest the opposite. The indicator was rejected by 50 (red circle), while the trend line rejected the price.
If the decrease continues, the BTC price can fall 12% to the 0.5 Fib retracement support level at $37,000.
BTC/USD Daily Chart. Source: TradingView
Despite this bearish BTC price prediction, a daily close above $45,100 will invalidate the bearish scenario and can lead to new yearly highs. Bitcoin can increase 17% to $49,100, which is high in this case.
Cryptocurrency traders XForceGlobal and TheTradingHubb both believe that the Bitcoin price is not done correcting. However, they predict another high of around $45,000-$46,000 before the final downward movement.
Read More: What is a Bitcoin (BTC) ETF?
Solana (SOL) Will Increase Above $100
The Solana price has fallen since reaching a high of $126 on December 25, 2023. The decrease culminated with a low of $79 on January 23.
The SOL price has increased since. It reclaimed the $88 horizontal area during the upward movement and broke out from a descending resistance trend line. Moreover, the daily RSI increased above 50.
Since the 0.5 Fib retracement support level rejected SOL on January 30 (red icon), it returned to the resistance trend line and the $88 horizontal area. If the area holds, SOL can bounce and increase 30% to the $125 high.
SOL/USDT Daily Chart. Source: TradingView
Despite this bullish SOL price prediction, a close below $88 can trigger a 30% decrease to the next closest support at $68.
Cryptocurrency trader Bluntz Capital uses Elliott Wave theory to come to the same conclusion. He tweeted:
5 up visible on daily for $SOL and a bearish sfp, HTF structure still looks great but dont be surprised if we pullback here back into high 80s imo.
Read More: How to Buy Solana (SOL) And Everything You Need to Know
Bittensor (TAO) Concludes February Crypto Predictions
The technical analysis of the 3-day time frame shows that TAO has increased swiftly since May 2023. The upward movement accelerated in November, becoming almost entirely parabolic.
Yesterday, the price reached a new all-time high of $480. However, Elliott Wave Theory and the RSI readings suggest that the top is close.
Elliott Wave theory involves the analysis of recurring long-term price patterns and investor psychology to determine the direction of a trend.
The most likely count suggests that the price is in the fifth and final wave of an upward movement that started in May 2023 (white). This is also supported by the bearish divergence in the 3-day RSI (green).
So, if TAO reaches the top, it can fall 55% to the closest support at $220.
TAO/USDT 3-Day Chart. Source: TradingView
Despite the bearish TAO price prediction, an extension of wave five can trigger a 65% increase to the next resistance at $717.
For BeInCrypto’s latest crypto market analysis, click here.
The post The Biggest Crypto Predictions for February 2024 appeared first on BeInCrypto.
