Bitcoin, Ethereum and select altcoins set to resume rally despite February slump

February 5, 2023 Coin Telegraph

Algorand

Bitcoin and select altcoins such as ETH, OKB, ALGO, and THETA may extend their up-move after a brief correction.

After the impressive rally in January, Bitcoin (BTC) seems to be taking a breather in February. This is a positive sign because vertical rallies are rarely sustainable. A minor dip could shake out the nervous longs and provide an opportunity for long-term investors to add to their positions.

Has Bitcoin price bottomed?

The opinion remains divided, however, on whether Bitcoin has bottomed out or not. Some analysts expect the rally to reverse direction and nosedive below the November low while others believe the markets will continue to move up and frustrate the traders who are waiting to buy at lower levels.

*Crypto market data daily view. Source:* *Coin360*

In an interview with Cointelegraph, Morgan Creek Capital Management founder and CEO Mark Yusko said “the crypto summer” could begin as early as the second quarter of this year.

He expects risk assets to turn bullish if the United States Federal Reserve signals that it will slow down or pause interest rate hikes. Another potential bullish catalyst for Bitcoin is the block reward halving in 2024.

Could the altcoins continue their up-move while Bitcoin consolidates in the near term? Let’s study the charts of Bitcoin and select altcoins that may outperform in the next few days.

BTC/USDT

Bitcoin has been gradually correcting since hitting $24,255 on Feb. 2. This indicates profit booking by short-term traders. The price is nearing the strong support zone between $22,800 and $22,292. The 20-day exponential moving average ($22,436) is also located in this zone, hence the buyers are expected to defend the zone with all their might.

The upsloping 20-day EMA and the relative strength index (RSI) in the positive territory indicate that bulls have the edge. If the price turns up from the support zone, the bulls will again attempt to catapult the BTC/USDT pair to $25,000. This level should act as a formidable resistance.

On the downside, a break below the support zone could trigger several stop losses and that may start a deeper pullback. The pair could first drop to $21,480 and if this support also fails to hold up, the next stop may be the 50-day simple moving average ($19,572).

*BTC/USDT 4-hour chart. Source: TradingView*

The 4-hour chart shows that the price is trading inside an ascending channel but the RSI has been forming a negative divergence. This suggests that the bullish momentum may be weakening. A break and close below the channel could tilt the short-term advantage in favor of the bears. The pair could then fall toward $21,480.

Alternatively, if the price rebounds off the support line of the channel, the bulls will again attempt to kick the pair above the channel. If they manage to do that, the pair may resume its uptrend.

ETH/USDT

Ether (ETH) has been trading near the $1,680 resistance for the past few days. Usually, a tight consolidation near an overhead resistance resolves to the upside.

While the upsloping 20-day EMA ($1,586) indicates advantage to buyers, the negative divergence on the RSI suggests that the bulls may be losing their grip. If bulls want to assert their dominance, they will have to propel and sustain the price above $1,680.

If they do that, the ETH/USDT pair may rally to $1,800. This level may again act as a resistance but if bulls do not allow the price to dip below $1,680, the rally may stretch to $2,000.

Instead, if the price turns down and plummets below the 20-day EMA, the ETH/USDT pair could tumble to $1,500. This is an important support level to monitor because a bounce here could keep the pair range-bound between $1,500 and $1,680. On the other hand, if the $1,500 support cracks, the pair may dive to $1,352.

*ETH/USDT 4-hour chart. Source: TradingView*

The 4-hour chart shows that the bears have pulled the price below the 20-EMA. This is the first indication that the bulls may take a step back. There is a minor support at the 50-SMA but if it fails to hold, the pair may slide to $1,550 and then to $1,500.

Conversely, if the price turns up from the moving averages, the bulls will again attempt to thrust the pair above the overhead resistance. If they succeed, the pair may resume the uptrend.

OKB/USDT

While most cryptocurrencies are well below their all-time high, OKB (OKB) hit a new high on Feb. 5. This suggests that bulls are in command.

Some traders may book profits near the overhead resistance of $44.35 as it may act as a formidable resistance. If the price turns down from the current level but rebounds off the 20-day EMA ($37), it will suggest that bulls continue to buy the dips.

That could increase the possibility of a break above $45. The OKB/USDT pair could first skyrocket to $50 and thereafter to $58.

If the price turns down and breaks below the 20-day EMA, it will indicate that the traders may be rushing to the exit. The pair could then drop to $34 and later to the 50-day SMA ($30).

*OKB/USDT 4-hour chart. Source: TradingView*

The 4-hour chart shows that the bears are trying to protect the $44.35 level. The pair could turn down and reach the moving averages, which is an important support to keep an eye on. If the price bounces off the moving averages, the bulls will again try to overcome the barrier at $45 and start the next leg of the uptrend.

Contrarily, if the price breaks below the 50-SMA, the selling could intensify and the pair may slump to $36 and then to $34. Such a move could delay the resumption of the uptrend.

ALGO/USDT

Algorand’s (ALGO) recovery reached the breakdown level of $0.27 on Feb. 3. The bears defended this level but the bulls have not given up much ground. This suggests that the bulls expect the relief rally to continue.

The upsloping 20-day EMA ($0.24) and the RSI in the positive territory indicate that bulls have the upper hand. If the price turns up from the 20-day EMA, the likelihood of a break above $0.27 increases. The ALGO/USDT pair could then travel to $0.31 where the bears may try to offer strong resistance.

If the price turns down from this level but bounces off $0.27, it will suggest that the downtrend could be over in the short term. The pair could then attempt a rally to $0.38.

This positive view could invalidate in the near term if the pair turns down from the current level and slides below $0.23. The pair could then dive to the 50-day SMA ($0.21).

*ALGO/USDT 4-hour chart. Source: TradingView*

The 4-hour chart shows that the bears are guarding the $0.27 level but a minor positive is that the bulls have not allowed the price to stay below the 50-SMA. If the price turns up from the current level, the bulls will again try to clear the overhead hurdle. If they do that, the pair could pick up momentum and surge toward $0.31.

Contrary to this assumption, if the price continues and breaks below the moving averages, the pair risks a drop to $0.23. The bears will have to smash this support to gain the upper hand.

THETA/USDT

Theta Network (THETA) successfully completed a retest of the breakout level on Feb. 1, indicating that bulls have flipped the downtrend line into support.

The bulls will try to push the price to the overhead resistance at $1.20. This level may act as a minor hurdle but if bulls do not give up much ground from $1.20, the THETA/USDT pair could extend its up-move to $1.34. This is an important level for the bears to defend because if this resistance crumbles, the pair could soar to $1.65.

If bears want to stop the bulls, they will have to quickly pull the price back below the 20-day EMA. The pair could then fall to $0.97 and later to the 50-day SMA ($0.89).

*THETA/USDT 4-hour chart. Source: TradingView*

The pair bounced off the $0.97 level, which becomes an important level to watch out for on the downside. A breach of this level is likely to tilt the advantage in favor of the bears and open the doors for a possible drop to $0.85.

The rally is facing resistance near $1.20 but the upsloping 20-EMA and the RSI in the positive territory indicate that the path of least resistance is to the upside. If buyers push the price above $1.20, the momentum should pick up for a rally toward $1.34.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

5 altcoins that could breakout if Bitcoin price stays bullish

January 15, 2023 Coin Telegraph

Bitcoin

Bitcoin has turned bullish, but is it a dead cat bounce? If BTC bulls keep pace, LTC, OKB, BIT and FTM could see strong rallies.

The cryptocurrency markets have made a strong comeback in the past few days. That drove the total crypto market capitalization to $995 billion on Jan. 14, according to CoinMarketCap data. Bitcoin (BTC) led the recovery from the front and skyrocketed above $21,000 on Jan. 14.

After the sharp rally, the big question is whether the recovery is a dead cat bounce that is a selling opportunity, or is it the start of a new uptrend. It is difficult to predict with certainty if a macro bottom has been made but the charts suggest that a bottoming process has begun.

Independent market analyst HornHairs highlighted that the 2017 to 2018 bear market lasted for 364 days and from 2021 to the current market low, the duration is again 364 days. Another interesting similarity is that the 2015 to 2017 bull market and the 2018 to 2021 bull phase both lasted for 1,064 days. If history repeats itself, then Bitcoin may make the next top in roughly 1,000 days.

Bitcoin's short term price action has been exciting for bulls but are there altcoins that are showing similar strength in the near term?

Let’s study the charts to find out.

BTC/USDT

Bitcoin shot up to $21,258 on Jan. 13 and that propelled the relative strength index (RSI) above 89, signaling that the rally was overheated in the short term. The bears are expected to mount a strong defense at $21,500.

Sometimes, when a trend change happens, the RSI may remain in the overbought territory for a long time. If the BTC/USDT pair does not give up much ground from the current level, it will suggest that traders are in no hurry to book profits as they anticipate another leg higher.

If buyers kick the price above $21,500, the pair could climb to $22,800. This level may again act as a major roadblock.

On the way down, the bears will have to drag the price below the psychological level of $20,000 to make a dent in the bullish momentum. The pair could then slump to the breakout level of $18,388.

The 4-hour chart shows that the bears are guarding the $21,250 level but a positive sign is that the bulls have not allowed the price to slide back below $20,000. Buyers may again attempt to clear the overhead hurdle at $21,258 and resume the uptrend.

On the contrary, if the price once again turns down from $21,250, it may tempt short-term traders to book profits. That could sink the pair below the 20-EMA. The bears may try to capitalize on this situation and pull the pair to $18,388.

LTC/USDT

Litecoin (LTC) broke above the overhead resistance at $85 on Jan. 12, indicating the start of a new uptrend. There is no major hurdle until the price reaches $107.

On the downside, the bulls will try to fiercely defend the zone between $85 and the 20-day EMA ($79). If the price springs back from this zone, the LTC/USDT pair could continue its uptrend and reach $107.

The upsloping moving averages signal advantage to bulls but the RSI above 77 suggests that a minor pullback or consolidation is likely.

If bears want to gain the upper hand, they will have to pull the price below the breakout level of $75. That could make way for a collapse to $61.

*LTC/USDT 4-hour chart. Source: TradingView*

The 4-hour chart shows the pair is in an uptrend and the bulls are fiercely protecting the 20-EMA. If buyers drive the price above $92, the pair could pick up momentum and rally toward the psychological level of $100.

Conversely, if the price turns down and dives below the 20-EMA, it will suggest that short-term traders may be booking profits. That could pull the price to the 50-SMA. This is an important level for the bulls to defend because a break below it could heighten the risk of a drop to $80 and then $75.

OKB/USDT

While several cryptocurrencies are attempting to bottom out, OKB (OKB) has started a new uptrend. Usually, it is a good strategy to buy the dips in an uptrend by keeping a suitable stop loss.

The upsloping moving averages and the RSI in the overbought territory indicate that bulls are in command but a short-term consolidation or correction can't be ruled out. The OKB/USDT pair could slip to the 20-day EMA ($27.64), which is likely to act as a strong support.

If the price rebounds off this level, the pair could touch the strong overhead barrier at $34.18. Crossing this level may be a difficult task but if the bulls manage to achieve it, the pair could skyrocket to $42.

If bears want to stall the up-move, they will have to yank the price below the 20-day EMA. If they succeed, the pair could plummet to the 50-day SMA ($24.05).

The 4-hour chart shows that the uptrend met with strong selling near $33 and the pair could correct to the 20-EMA. If the price rebounds off this support, it will suggest that bulls are buying on every minor dip. That could drive the price to $34.18.

Contrarily, if the price plunges below the 20-EMA, the correction could deepen to the 50-SMA. If the price rebounds off this level, the bulls will again try to resume the up-move but may face resistance at $31 and again near $33.

BIT/USDT

BitDAO (BIT) rallied sharply from $0.26 on Dec. 27 to $0.53 on Jan. 14, indicating a strong bullish momentum. In addition, the shallow pullback on Jan. 15 suggests that traders are not exiting their positions in a hurry as they anticipate the up-move to continue.

If bulls thrust the price above the overhead resistance at $0.54, the BIT/USDT pair could resume its up-move. The next resistance on the upside is at $0.68. The bears may pose a strong challenge at this level because a break and close above it could open the doors for a possible rally to $0.80.

On the downside, the first support is at $0.46 and then the 20-day EMA ($0.42). A strong bounce off either support will suggest that traders are buying on declines. That could result in a retest of $0.54. The bears may take control if they sink the price below the 20-day EMA.

*BIT/USDT 4-hour chart. Source: TradingView*

The 4-hour chart shows that the pair is facing resistance near $0.54 but the bulls are likely to defend the drop to the 20-EMA. A strong rebound off this level will suggest that bulls are buying on shallow declines. That could improve the prospects of a break above $0.54.

Alternatively, if the price turns down and breaks below the 20-EMA, several short-term traders may book profits. That could pull the pair to the 50-SMA. If this level also cracks, the pair could tumble to $0.41.

FTM/USDT

Fantom (FTM) broke above the downtrend line on Jan. 9, indicating a potential trend change. The breakout was followed by a sharp rally which pushed the RSI into deeply overbought levels.

Vertical rallies are unsustainable, hence a pullback was to be expected. The FTM/USDT pair could dip to the 38.2% Fibonacci retracement level of $0.30 and then to the 50% retracement level of $0.28.

If the price turns up from this zone, it will suggest a change in sentiment from selling on rallies to buying on dips. The bulls will then try to resume the recovery and drive the pair above $0.36. If they do that, the pair could surge to $0.42.

Contrarily, a break and close below $0.28 could pull the pair down to the 61.8% retracement level of $0.26. A deeper fall could break the bullish momentum and increase the possibility of a range formation.

*FTM/USDT 4-hour chart. Source: TradingView*

Both moving averages are sloping up and the RSI is in the positive territory, indicating an advantage to buyers. The pair could slide to the 20-EMA, which is likely to act as a strong support. If the price rebounds off this level, the bulls will try to resume the up-move.

On the contrary, if the price breaks below the 20-EMA, it will suggest that traders are aggressively booking profits after the recent rally. The pair could then extend its correction to the 50-SMA.

The views, thoughts and opinions expressed here are the authors’ alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Top five crypto winners (and losers) of 2022

December 27, 2022 Coin Telegraph

Axie Infinity

Bitcoin and Ethereum are not part of the surprising list of five best and worst-performing cryptocurrencies for 2022.

Cointelegraph looks back on the best and worst-performing cryptocurrencies of 2022 among the top 100 assets by market capitalization. We used the highest and the lowest year-to-date (YTD) returns through the close of Dec. 25, 2022.

Overall, Cryptoindex.com 100 (CIX100), an index that tracks the 100 best-performing cryptocurrencies, fell nearly 68% YTD, suggesting most top coins underperformed in 2022.

*CIX100 weekly price chart. Source: TradingView*

Stablecoins are naturalomitted from the list below. Similarly, coins tracking the value of gold and similar mainstream assets have also been ignored.

Instead, the coins mentioned below include decentralized currencies, smart contract tokens, exchange tokens, and others.

Top five crypto of 2022

1. GMX (GMX)

YTD return: 111%
Sector: Decentralized Exchange
Market Cap: $379.4 million

GMX acts as a utility and a governance token within the GMX decentralized exchange (DEX) ecosystem and is the best-performing digital asset among the top 100 coins (excluding stablecoins).

GMX's price uptrend mostly picked its cues from the collapse of FTX, a centralized exchange, and its listing on popular trading platforms—including Binance and Huobi Global—across 2022. In addition, the token rallied impressively in late November after its platform briefly surpassed its top DEX rival, Uniwap in daily trading fees.

*GMX price performance YTD. Source: CoinMarketCap*

2. Trust Wallet Token (TWT)

YTD return: 92%
Sector: Payment Platform
Market Cap: $570 million

Trust Wallet Token (TWT) serves as a utility and a governance token within the Trust Wallet ecosystem. The token moved lower in tandem with the rest of the crypto market, mostly in 2022, but like GMX, its upside momentum increased amid the collapse of the FTX exchange in November.

*TWT/USD daily price chart. Source: TradingView*

As Cointelegraph reported, the FTX's collapse boosted mistrust for centralized exchanges, which may have prompted investors to move their funds to self-custody wallets like Trust Wallet. The speculation could have played a major role in boosting TWT's valuation.

3. Unus Sed Leo (LEO)

YTD return: -3.5%
Sector: Centralized Exchange
Market Cap: $3.44 billion

Unus Sed Leo (LEO) is native to the iFinex ecosystem. The token suffered losses in 2022, but at -3.5%, they were little compared to most top coins, including Bitcoin (BTC) and Ether (ETH), which lost over 65% in the same period.

*LEO/USD daily price chart. Source: TradingView*

One of the reasons why LEO outperformed most top-ranking assets could be iFinex's pledge. Notably, the firm declared at the time of LEO's private sale in 2018 that it would employ 27% of its revenue to buy back the tokens until the entire supply of 985.24 million units was removed from circulation.

IFinex also said it would use the funds it lost during the August 2016 Bitfinex hack to purchase LEO tokens. That explains why LEO rallied by more than 100% at the start of the year, given the uptrend came after the U.S. Department of Justice recovered 94,000 BTC from Bitfinex hackers.

The rally took LEO's price to a YTD high of $8.15 in February. However, the token has dropped 55% since, though still remaining one of the best-performers in 2022.

*Click “Collect” below the illustration at the top of the page or follow this link.*

4. OKB (OKB)

YTD return: -19%
Sector: Centralized Exchange
Market Cap: $1.38 billion

OKB is the native token of the OKX exchange. It provides users discounts on trading fees, access to OKX's initial exchange offering (IEO) platform, and voting rights for tokens to be listed on the exchange.

OKB trended synchronously with the broader crypto market in 2022, including its 150% recovery after bottoming out at around $9.50 in June. The token's bullish retracement occurred despite the absence of a major market-moving event, suggesting it had been mostly speculative.

*OKB/USD daily price chart. Source: TradingView*

Overall, OKB's volatile recovery helped it limit its YTD losses compared to most top-ranking assets.

5. The Open Network (TON)

YTD return: -33.5%
Sector: Smart Contracts
Market Cap: $3.52 billion

The Open Network is a layer-1 blockchain ecosystem developed by the Telegram founders Nikolai Durov and Pavel Durov. Its native token, TON, trended downward in line with other top crypto assets during most of 2022, but recovered impressively ahead of the year's close.

*TON/USD price performance YTD. Source: CoinMarketCap*

TON's recovery period coincided with back-to-back optimistic news. For instance, in October, Telegram announced that it would employ the Open Network to auction usernames. Similarly, the Open Network built a bot the next month that allows Telegrams users to trade cryptocurrencies in-app.

Nonetheless, TON failed to recoup all of its losses, still down 33.5% YTD at $2.36.

Worst five cryptos of 2022

1. Terra (LUNA)

YTD performance: -99.99%
Sector: Smart Contracts
Market Cap: $604 million

Terra (LUNA) was became a debacle for the cryptocurrency secti after its market valuation crashed by 99.99% in May. The unraveling started with the implosion of Terra's algorithmic stablecoin TerraUSD (UST), marking one of the biggest busts in the crypto industry's history.

*LUNA/USD daily price chart. Source: TradingView*

Terra's implosion prompted its founder Do Kwon to suggest a fork to revive the project. Eventually, Terra underwent a chain split, with the old chain existing as Terra Classic (LUNC) and the new chain as Terra 2.0 (LUNA2).

LUNC jumped nearly 100% after its launch in late May 2022 while LUNA2 dropped around 40% in the same period.

2. FTX Token (FTT)

YTD performance: -98%
Sector: Centralized Exchange
Market Cap: $307 million

FTX Token (FTT) served as a native token to FTX, which collapsed after facing a liquidity crisis in November.

*FTT/USD daily price chart. Source: TradingView*

The token continues to trade across several exchanges but accompanies poor liquidity and volume. It is technically "dead" given the defunct status of FTX.

3. Solana (SOL)

YTD performance: -93.35%
Sector: Smart contracts
Market Cap: $4.11 billion

Solana (SOL), a layer-1 blockchain protocol, crashed 93.35% YTD due to a sequence of bad news all across 2022. That includes six network outages in the year, a $200 million hack on a Solana-based wallet, and Solana's association with FTX.

*SOL/USD daily price chart. Source: TradingView*

More bad coverage appeared in the form of accusations that Solana is not as decentralized as it claims to be, resulting in SOL being one of the worst-performers of 2022.

4. Axie Infinity (AXS)

YTD performance: -93%
Sector: Gaming/Metaverse
Market Cap: $775 million

Axie Infinity Shard, or AXS, serves primarily as the governance token for Axie Infinity, a play-to-earn (P2E) gaming ecosystem. It also acts as a legal tender in the Axie Infinity marketplace, where in-game nonfungible tokens (NFT) can be purchased.

The AXS market has consistently trended lower in 2022 due to underwhelming players turnout (which lowers demand for tokens), a $650 hack concerning Axie Infinity's blockchain Ronin in late March, and fears surrounding the unlocking of 8% of supply in October.

*AXS/USD daily price chart. Source: TradingView*

AXS is down approximately 93% YTD, becoming one of the worst-performing assets in the current bear market.

5. The Sandbox (SAND)

YTD performance: -92.50%
Sector: Gaming/Metaverse
Market Cap: $690 million

Like Axie Infinity, the Sandbox is a virtual platform where users can create, own, and monetize their gaming skills using NFTs and SAND, the platform’s utility token. But despite initial success, the platform now has less than 500 unique users, according to data from Dappradar.

The lower turnout has affected SAND's demand across spot exchanges, which, in turn has pushed its price down 93.50% YTD, as shown below. Other factors behind the declining interest include a general lack of demand for riskier assets in a higher interest rate environment.

*SAND/USD daily price chart. Source: TradingView*

Other tokens that fell more than 90% YTD are Fantom (FTM), Avalanche (AVAX), Algorand (ALGO), Decentraland (MANA), BitTorrent (BTT), etc.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Bitcoin and these 4 altcoins are showing bullish signs

December 25, 2022 Coin Telegraph

Bitcoin

Bitcoin’s volatility could soon pick up and that may boost buying interest in ETH, TON, XMR, and OKB.

Cryptocurrency markets lack any signs of volatility going into the year-end holiday season. This suggests that both the bulls and the bears are playing it safe and are not waging large bets due to the uncertainty regarding the next directional move. This indecisive phase is unlikely to continue for long because periods of low volatility are generally followed by an increase in volatility.

Willy Woo, creator of on-chain analytics resource Woobull, anticipates that the duration of the current bear market may “be longer than 2018 but shorter than 2015.”

The crypto winter has resulted in a loss of more than $116 billion to the personal equity of 17 investors and founders in the cryptocurrency space, according to estimates by Forbes. The carnage has been so severe that the names of 10 investors were removed from the crypto billionaire list.

Could the bear market deepen further or is it showing signs of starting a relief rally? Let’s look at the charts of Bitcoin (BTC) and select altcoins to find out.

BTC/USDT

Bitcoin has been trading in a tight range near the 20-day exponential moving average ($16,929) for the past few days. This indicates that the bears are defending the level but the bulls have not given up yet.

This period of calm is unlikely to continue for long and the BTC/USDT pair may soon witness a range expansion. Generally, it is difficult to predict the direction of the breakout, hence it is better to wait for the pair to make a decisive move before initiating directional bets.

If the price breaks above the moving averages, the likelihood of a rally to the overhead resistance at $18,388 increases. This level may again act as a major roadblock but if the bulls force their way through, the momentum could pick up and the pair could rally to $20,000.

On the way down, a break below $16,256 could signal that bears are in control. The sellers will then attempt to sink the pair to the vital support at $15,476.

Both moving averages on the 4-hour chart have flattened out and the relative strength index (RSI) is just below the center. This suggests a range-bound action in the near term. The boundaries of the range could be $17,061 on the upside and $16,256 on the downside.

A break above $17,061 will indicate that the bulls have come out on top and that could start a short-term up-move. On the other hand, a slump below $16,256 will suggest that the bears have strengthened their hold.

ETH/USDT

Ether (ETH) has been clinging to the 20-day EMA ($1,228) for the past few days. This suggests that traders expect a break above this overhead resistance.

The 20-day EMA is flattening out and the RSI is just below the midpoint, suggesting equilibrium between buyers and sellers. If bulls thrust the price above the moving averages, the ETH/USDT pair could attract further buying. The pair could then rally to $1,352 and later to the downtrend line. This level could again act as a formidable resistance.

On the contrary, if the price fails to break above the moving averages, several short-term traders may sell aggressively. That could pull the price to the strong support at $1,150. If this level gives way, a head and shoulders pattern may complete. That could clear the path for a potential drop to $1,075 and then $948.

The 4-hour chart shows that the recovery is facing resistance in the zone between the 38.2% Fibonacci retracement level of $1,227 and the 50% retracement level of $1,251. If the price turns down and breaks below $1,180, the pair could retest the important support at $1,150.

Conversely, if the price turns up and breaks above $1,251, the rally could reach the 61.8% retracement level of $1,275. If bulls manage to clear this obstacle, the pair may complete a 100% retracement and soar to $1,352.

TON/USDT

Toncoin (TON) has been consolidating in an uptrend for the past few days. Although the bears have stalled the up-move at $2.90, a minor positive is that the bulls have not given up much ground. This suggests buying on dips.

The rising 20-day EMA ($2.25) and the RSI in the positive territory indicate that bulls have the upper hand. If buyers push the price above $2.50, the TON/USDT pair could rise to $2.65 and then retest $2.90.

The bears are likely to have other plans as they will try to yank the price below the 20-day EMA and strengthen their position. There is a minor support at $2.15 but if that fails to hold, the pair may plummet to the 50-day SMA ($1.91).

*TON/USDT 4-hour chart. Source: TradingView*

The pair has formed a symmetrical triangle on the 4-hour chart. This indicates indecision between the bulls and the bears. The flattish moving averages and the RSI near the midpoint also do not give a clear advantage to anyone.

The first sign of strength will be a break and close above the resistance line of the triangle. That could start a rally to $2.90. If this level is scaled, the up-move could reach the pattern target of $3.24.

If the price turns down from the 50-SMA or the resistance line of the triangle, it will suggest that the pair may extend its stay inside the triangle. A break below the support line could indicate that the bears are back in control.

XMR/USDT

Monero (XMR) has failed to rise above the resistance line of the falling wedge pattern in the past few days but a positive sign is that the bulls are trying to hold the price above the 50-day SMA ($140).

The moving averages have flattened out and the RSI is near the center. This indicates a balance between supply and demand. If the price breaks above the 20-day EMA ($144), buyers will try to gain the upper hand by pushing the XMR/USDT pair above the wedge. If that happens, the pair could rally to $174. A break above this level could signal a potential trend change.

On the other hand, if the price slumps below $138, the advantage could tilt in favor of the bears. The pair could then plummet to $125.

*XMR/USDT 4-hour chart. Source: TradingView*

The pair rebounded off the strong support at $138.50 and the bulls are trying to push the price above the moving averages. If they succeed, the pair could rise to the downtrend line where the bears may again mount a strong defense.

If the price turns lower from the downtrend line, the bears will try to pull the pair to $138.50. This is an important level to keep an eye on in the near term because a break below it could complete a descending triangle pattern. The pair could then tumble to $132 and thereafter to the pattern target of $124.

On the upside, a break above the downtrend line could invalidate the bearish setup and clear the path for a possible rally to $153.

OKB/USDT

Centralized Cryptocurrency exchanges have been in the eye of the storm since the collapse of FTX but OKB (OKB) is close to completing a bullish reversal pattern. That is the reason for its selection to the list.

The OKB/USDT pair has formed a large inverse head and shoulders pattern, which will complete on a break and close above $23.22. Both moving averages are sloping up and the RSI is in the positive territory, indicating the path of least resistance is to the upside.

If the price rises above the psychological level of $25, the pair could start a new up-move to $28 and then $31. The pattern target of the reversal formation is $36. This positive view could invalidate if the price turns down from the current level and plummets below the moving averages. The pair could then drop to $17.

The pair has formed an ascending triangle pattern on the 4-hour chart. This bullish setup will complete on a break and close above $24.15. If that happens, the pair could start a new up-move toward the pattern target of $31.

Alternatively, if the price turns down and breaks below the triangle, it will invalidate the bullish setup. That could trigger stops of aggressive buyers who may have taken long positions in anticipation of a breakout. The pair could then slide to $20.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Polygon and Five Additional Altcoins Are Towering Above the Rest in November, According to Crypto Trader Luke Martin

November 8, 2022 The Daily Hodl

5 altcoins that could be ripe for a short-term rally if Bitcoin price holds $19K

October 17, 2022 Coin Telegraph

Bitcoin

Bitcoin price continues to trade within a tight range, setting up possible short-term breakout for MATIC, HT, QNT and OKB.

The S&P 500 and the Nasdaq Composite fell to a new year-to-date low last week and closed the week with a loss of 1.55% and 3.11%, respectively.

The scenario changed drastically on Oct. 17. After earnings, the season ramped up and a sharp policy reversal from U.K. Finance Minister Jeremy Hunt added detail to the government's plan to fix his predecessor's (Kwasi Kwarteng's) fiscal package, which had triggered a record fall in the value of the GBP and a near liquidation of pension plans in the United Kingdom.

At the time of writing, the Dow is up 1.78%, while the S&P 500 and Nasdaq present 2.57% and 3.26% respective gains. Meanwhile, Bitcoin (BTC) has managed to stay well above its year-to-date low showing short-term outperformance.

Some analysts expect that Bitcoin could be closer to a bottom. Twitter trader Alan said that the stochastic indicator on Bitcoin’s monthly chart has reached levels similar to those seen during the 2014 and 2018 bear markets, indicating a likely macro bottom.

Similarly, LookIntoBitcoin creator Philip Swift said in an interview with Cointelegraph that Bitcoin could be close to major cycle lows. Citing various metrics, Swift said that Bitcoin may face another two to three months of pain but should start its outperformance in 2023.

As Bitcoin sustains above its June low, select altcoins are attracting buyers. Let’s look at charts of five cryptocurrencies that look interesting in the near term.

BTC/USDT

Bitcoin broke above the 50-day simple moving average (SMA) ($19,689) on Oct. 14 but the higher levels attracted heavy selling by the bears. That pulled the price back below the 20-day exponential moving average (EMA) ($19,387).

Buyers are trying to defend the immediate support at $18,843 but the recovery could face resistance at the 20-day EMA and then at the downtrend line. If the price turns down from the overhead resistance, the possibility of a break below $18,843 increases. The pair could then plummet to the $18,125 to $17,622 support zone.

To avoid this catastrophe, the bulls will have to force the price above the downtrend line. If they manage to do that, the BTC/USDT pair could rally to $20,500. A break above this resistance could signal the start of a relief rally to $22,800.

The pair has been stuck between $18,125 and $20,500 for some time. If bulls push the price above the moving averages, the pair could climb up to $20,000 and then to $20,500. The bears may mount a strong resistance at this level but if bulls overpower them, the recovery could pick up speed.

Another possibility is that the price turns down from the moving averages and drops below the support at $18,843. That could intensify selling and the pair could then plunge to the support at $18,125. The bulls are expected to defend this level with vigor.

MATIC/USDT

Polygon (MATIC) has been attempting to rise above the downtrend line for the past few days. Although the bears successfully defended the overhead resistance, they could not keep the price down on Oct. 13. This suggests that bulls are buying the dips as they anticipate a move higher.

If the price climbs above the downtrend line, the short-term trend could tilt in favor of the bulls. The MATIC/USDT pair could then attempt a rally to $0.94. This level may again act as a strong barrier but if bulls overcome it, the pair could rally to $1.05.

Alternatively, if the price once again turns down from the downtrend line, the bulls may give up and the pair could then drop to $0.69. The bears will have to pull the price below this level to start a deeper correction to $0.62 and then to $0.52.

*MATIC/USDT 4-hour chart. Source: TradingView*

The downtrend line has been witnessing a tough battle between the bulls and the bears. Although the bears have come out on top, the bulls are not willing to give up. They aggressively purchased the drop to $0.71 and are again trying to push the pair above the downtrend line.

The 20-EMA has flattened out and the RSI is near the midpoint, indicating a balance between supply and demand. If bulls push the price above the 50-SMA, the pair could challenge the downtrend line. A break above this resistance could clear the path for a possible rally to $0.86.

On the other hand, buyers may bail out of their position if the price turns down and breaks below $0.77. The pair could then slide to $0.71.

HT/USDT

Huobi Token (HT) started a strong up-move from $4.07 on Oct. 10 that reached $8.20 on Oct. 14, a 101% move within five days. This indicates that bulls are in control.

The sharp rally of the past few days pushed the RSI into deeply overbought territory, which may have tempted short-term traders to book profits. That started a correction that could reach the 38.2% Fibonacci retracement level of $6.61.

If the price rebounds off this support, the bulls will try to resume the up-move by pushing the HT/USDT pair above $8.20. If they succeed, the pair could rally to $10.

Contrary to this assumption, if the price breaks below $6.64, the pair could decline to the 50% retracement level of $6.12 and then to the 61.8% retracement level of $5.63. A deeper fall could delay the start of the next leg of the up-move.

*HT/USDT 4-hour chart. Source: TradingView*

The 4-hour chart shows that the price rebounded off the 20-EMA but the bulls could not sustain the higher levels. This shows that traders could be booking profits on minor rallies.

The 20-EMA has flattened out and the RSI is just above the midpoint, indicating that the bullish momentum could be weakening. If the price breaks and sustains below the 20-EMA, the next stop could be the 50-SMA.

If bulls want to regain the upper hand, they will have to push the price above $7.65. The pair could then retest the overhead resistance at $8.20. A break above this level could start the next leg of the uptrend.

QNT/USDT

Quant (QNT) broke above the overhead resistance at $162 and has continued higher, indicating sustained demand from the bulls.

The upsloping 20-day EMA ($149) indicates advantage to buyers but the RSI in the overbought territory points to a possible minor correction or consolidation in the near term. Buyers are expected to defend the drop to the breakout level of $162.

If the price rebounds off this level, the QNT/USDT pair could rise to $200 and later attempt a rally to the target objective at $230.

This positive view could invalidate in the near term if the price turns down and breaks below the 20-day EMA. The pair could then decline to the 50-day SMA ($120).

*QNT/USDT 4-hour chart. Source: TradingView*

The pair is facing resistance near $188 but the rising moving averages and the RSI in the overbought zone indicate the path of least resistance is to the upside. If buyers thrust the price above $188, the pair could rally to $204.

Contrarily, if the price turns down and breaks below the 20-EMA, it will suggest that traders may be booking profits. That could pull the price down to the crucial support of $162. A break and close below this support could indicate that the pair may have topped out in the near term.

OKB/USDT

OKB (OKB) has been trading above the moving averages for the past few days and the RSI has jumped into the positive territory, indicating advantage to buyers.

The OKB/USDT pair is facing stiff resistance at the overhead resistance at $17.50 but a minor positive is that the bulls have not ceded ground to the bears. This suggests that the bulls expect the pair to climb above the overhead resistance. If that happens, the pair could rally to $20 and thereafter to $23.22.

The first support on the downside is $16.39. If the price turns down and breaks below this level, the pair could slide to the moving averages and then to $15.

The price turned down from the overhead resistance at $17.50 but the bulls are trying to defend the 20-EMA. If the price rises above $17, the likelihood of a retest of $17.50 increases. Buyers will have to clear this hurdle to signal the resumption of the uptrend.

The positive momentum may weaken if the price turns down and breaks below the 20-EMA. The pair could then decline to the 50-SMA. If this level also cracks, the next stop could be $15.50.

On the contrary, if the price rebounds off the 50-SMA and rises above the 20-EMA, it will suggest accumulation at lower levels. The bulls may then again attempt a rally to $17.50.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Large Ethereum Holders Are Actively Accumulating Three Crypto Exchange Tokens

December 23, 2021 The Daily Hodl

Second-Largest Ethereum Whale on Record Just Executed a Massive Altcoin Purchase: WhaleStats

December 18, 2021 The Daily Hodl

Investors Sell Huobi and OKEx’s Tokens After PBOC Statement

September 24, 2021 The Crypto Briefing

Pumped up by volume? 5 crypto assets that traders loved this month (and their prices)

May 27, 2021 Coin Telegraph

Coin Telegraph

Trading volume in crypto markets can be a key indicator of price volatility — but is there a direct correlation that traders can use to help inform their investment decisions?

Trading volume — the amount of an asset that changed hands over a given period — is one of the key metrics that investors use to track price trends and assess the market outlook for a specific coin in terms of liquidity and trader activity.

The ranking below zooms in on the fortunes of five coins that have had the greatest increase in average daily trade volume this month compared to the month before. Most of them — although not all — emerged as massive winners in terms of their monthly returns, but the relationship between the price and trading was not always what you’d expect.

The data from Cointelegraph Markets Pro platform sheds further light how these two indicators can influence each other.

Along with multiple other quantitative metrics, trading volume is at the heart of the VORTECS™ Score — an algorithmic comparison of historic and current market conditions derived from billions of data points gathered and analyzed by a proprietary machine learning model.

Polygon (MATIC ): +643.79%

Capitalizing on the sprawling activity in the DeFi sector and the expansion of the number of projects springing up on its platform, Polygon has had a fantastic month, conquering one all-time high (ATH) after another. The coin delivered 329% vs. USD and 456% vs. BTC alongside a 643% increase in average daily trading volume.

The trading volume dynamics faithfully followed each price uptick, reaching an impressive $11 billion on May 19. On that day, MATIC was responsible for as much as 4.5% of the crypto market’s overall trading volume.

From the look at the VORTECS™ score chart, it becomes apparent that trading volume spikes have been an essential component of each ultra high-score stretch that MATIC sported this month (red circles in the graph). These dark-green sequences, in turn, foreshadowed each new leg of the coin’s powerful rally.

Ethereum Classic (ETC): +229.23%

A legacy chain of the original Ethereum that has been abandoned by much of the community in the wake of the 2016 the DAO heist, ETC has a small but enthusiastic fanbase and a reputation of a network lacking security.

Observers are divided on what exactly triggered ETC’s 300% price run, closely followed by surging trading volume, in the first week of May. Opinions range from users suddenly seeking cheaper alternatives to the main Ethereum network to new investors mistaking the coin for its better-known cousin.

At any rate, at the height of its May 6 rally, ETC commanded a shocking 15.9% of the crypto market’s overall trading volume — not too bad for a coin that has risen from years of oblivion.

Going by the VORTECS™ chart, not only ETC’s showing was unexpected - it was historically unparalleled. The combination of market and social conditions that preceded the coin’s blast-off was not similar to those that systematically came before ETC’s price leaps in the past, as evidenced by largely neutral VORTECS™ Scores.

Telcoin (TEL): +507.8%

Telcoin, a global remittance platform whose token appreciated by 437% against USD and 600% vs. Bitcoin over the past month, owes at least some of its success to Polygon’s fiery run. The likely reason behind TEL’s surge in early May has been a layer-2 migration to the lower-fee Polygon network and the token’s subsequent listing on QuickSwap that opened attractive terms for liquidity providers.

As visible in the graph, it was the QuickSwap moment that produced the greatest increase in TEL’s trading volume rather than the even bigger price hike that followed a few days after.

It was the same surge in trading activity between May 2 and 8 that the VORTECS™ algorithm picked up and, in conjunction with other constituent metrics, deemed worthy of a series of high VORTECS™ Scores that began flashing around three days before the final leg of the price hike.

iExec RLC (RLC): +1,153.62%

RLC, the native token of cloud computing platform iExec, demonstrated the greatest month-to-month growth in average daily trading volume, adding an astounding 1,153% compared to the previous 30-day period. The coin’s price began picking up following the May 4 announcement of a Coinbase Pro listing and was boosted even more by a cascade of further exchange listings, big-name partnerships and collaborations, as well as the announcement of a developer rewards program. Over the month, RLC delivered 200% gains against USD and almost 300% against Bitcoin.

As the chart supplied by data analytics firm The TIE suggests, on May 8 and early May 9 the trading volume indicator mirrored the steeply upward price movement with a few hours’ lag. The two lines then effectively merged, indicating that further increase in trading volume was no longer driven solely by price action, but began responding to the news and heightening sentiment around the coin independently.

As visible in the graph, RLC’s VORTECS™ score had been neutral (yellow) in the days preceding the coin price’s spike, and briefly turned moderately bullish (light green) as the rally unfolded. However, when both the price and trading volume peaked, the VORTECS™ Score went from bullish back to neutral (red boxes in the graph), meaning that in the past such concerted upticks in both price and trading volume were not followed by price consistently going up or down.

In summary, RLC’s run this month did not have clear historical precedents in terms of market and social activity regularities that VORTECS™ score could capture. Rather, it has been driven by a series of bullish news announcements. This is where another element of Markets Pro functionality, NewsQuakes™, comes into play: In the same graph, it is plain to see how two listing announcements, on Coinbase Pro and Bithumb (red circle in the chart), came shortly before the rally.

OKB Token: +253.28%

The average daily trading volume of the OKEx exchange token, OKB, grew by more than 250% this month. However, this fact did not translate to a corresponding increase in the utility token’s price: Over the same 30 days, OKB lost 18.76% against USD and gained a mere 4.89% against the beleaguered Bitcoin.

A look at the token’s price vs. trading volume chart offers some explanation of this discrepancy. While trading volume largely mirrored price movement in the first half of the month, the two starkly diverged around May 19 and 20, around the time of the market-wide slump. As the price declined, the trading volume shot up.

This key to this seemingly paradoxical dynamic lies in the nature of the asset. In a bid to keep the value of the token high, every three months OKEx reduces OKB supply by buying back burning a few million coins. As the current burning period is set to expire at the end of May, some traders likely wagered on OKB staying afloat thanks to the guaranteed buyback liquidity when other digital assets were in a tailspin. Indeed, a surge in trading volume did support a brief rebound, yet it could only be sustained for a couple of days before the asset began sliding down again.

Note how the VORTECS™ algorithm remained unfazed by the May 20 increase in trading volume as the score remained neutral. A constantly learning model, it has surely seen such token burn-inspired spikes before — and apparently, in the past these spikes didn’t always spell significant price increases.

Any single metric describing an asset’s market outlook can be uninformative or even misleading on its own, yet it becomes exponentially more useful when contextualized within the recurring patterns of the VORTECS™ algorithm's other metrics (which include price action, sentiment, and tweet volume).

Cointelegraph Markets Pro is available exclusively to members on a monthly basis at $99 per month, or annually with two free months included. It carries a 14-day money-back policy, to ensure that it fits the crypto trading and investing research needs of subscribers, and members can cancel anytime.

Cointelegraph is a publisher of financial information, not an investment adviser. We do not provide personalized or individualized investment advice. Cryptocurrencies are volatile investments and carry significant risk including the risk of permanent and total loss. Past performance is not indicative of future results. Figures and charts are correct at the time of writing or as otherwise specified. Live-tested strategies are not recommendations. Consult your financial advisor before making financial decisions. Full terms and conditions.

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