BTC and ETH Technical Analysis for July 29: RSI Signals Guide Trading Decisions

Market Overview: Consolidation Phase with Downward Pressure

Bitcoin and Ethereum are both trading in consolidation patterns on the morning of July 29, with moderate pullbacks testing key support levels. The RSI indicator provides crucial signals for identifying potential trend reversals and momentum exhaustion in this sideways-moving market.

Bitcoin (BTC) - $87.58K: Consolidation Between Key Levels

Current Price: $87.58K | 24H Change: -0.44%

Bitcoin is consolidating within a narrow range between 117,300 and 118,300, with the current pullback creating a critical testing ground for buyers. The upper resistance zone sits at 119,800 and 118,300, while lower support lies at 117,300 and 114,800.

Technical Outlook: After the recent decline, buying pressure is attempting to establish a bounce. If BTC manages to hold steady above 118,300, it will target the previous high near 118,800. Failure to break through this level would likely trigger another test of the 117,300 support. The RSI indicator will be key—readings below 50 suggest downward momentum may persist, while potential divergences could signal strengthening demand from current price lows.

Ethereum (ETH) - $2.93K: Facing Resistance at Key Confluence

Current Price: $2.93K | 24H Change: -0.50%

Ethereum exhibits a similar consolidation pattern with stronger downside pressure. The bounce attempt cannot sustain above 3,876, indicating seller dominance at current resistance levels. Support zones exist at 3,720 and 3,685, with a trading range between 3,786 and 3,740 likely in the near term.

Technical Outlook: After the pullback, ETH faces another dip toward 3,740-3,786. If the bounce holds firm at 3,786 support, a retest of 3,800 becomes probable, with potential resistance forming around 3,842. RSI readings will help confirm whether the pullback represents healthy consolidation or a sign of continued weakness—oversold conditions could attract buyers, while overbought readings at resistance would warn of further selling.

Key Takeaway for Traders

Both assets are consolidating with downside bias. Monitor RSI divergences and support level holds to identify entry opportunities. Breaks below stated support levels could accelerate declines, while successful bounces from these zones would suggest renewed upward pressure.