Crypto Price Analysis: 5 Altcoins to Watch This Week
Four out of the five altcoins on last week’s list traded within our expectations. EOS (EOS/BTC) flexed its muscles as it recovered 0.000888 support and rallied to as high as 0.000998 on March 7. On the other hand, Ethereum Classic (ETC/BTC) and Aeternity (AE/BTC) have yet to make a big move as they are still in their respective pattern consolidations. While CyberMiles (CMT/BTC) seems to be breaking out of its symmetrical triangle.
The only altcoin that moved beyond expectations was Binance Coin (BNB/BTC). It shocked almost everyone in the crypto market when it ignored extreme overbought readings and climbed to as high as 0.0039801 on March 7.
This week, we look at altcoins that flash signs of breaking out from consolidation. Here are the five altcoins to watch this week.
Ripple has been correcting ever since it posted a high of 0.00010722 on December 24, 2018. The selling pressure is so strong that even a Coinbase listing on February 25, 2019 failed to restart the uptrend. The market is still in a downward spiral but we’re looking at a strong support to stop the bleeding.
Daily chart of XRP/BTC
A quick look at the daily chart shows that the market is trading within a descending channel. While this suggests bearish sentiment, the daily candle is about to touch the 200-day moving average. This might give Ripple the spark it needs to break out of the channel. Otherwise, a move below the 200-day MA might drive the market down to support of 0.000072.
After plunging to as low as 0.00002069 on February 12, Stellar is now showing signs of life. The market is currently breaching resistance of 0.000024. This triggered the break out from a double bottom pattern on the daily chart.
However, we wouldn’t get too excited because the market has dropped hard over the last few months. It will take some consolidation to repair the technical damage. Therefore, we are looking for Stellar to retrace to support of 0.000024 after this rally fades. That would be a good chance to bottom pick the market.
NEO has quietly broken out of range accumulation when it took out resistance of 0.0024 on February 23. This spurred a rally to as high as 0.002598 on February 24. Unfortunately, the rally was short-lived. This is perhaps why the market is not getting the attention it deserves. The selling pressure was too strong that it drove price below 0.0024 on February 24.
Nevertheless, the market is still bullish. NEO managed to establish a bullish higher low of 0.002156 on March 4. In addition, the market is also respecting the diagonal support. With the current setup, we believe that NEO will eventually breach 0.0024 for good and climb as high as 0.0033.
Ontology is another altcoin that’s flying under the radar. It breached resistance of 0.00025 and climbed as high as 0.0002871 on February 24. However, the rally was not sustained as the market succumbed to profit-taking. Bears drove the price down to 0.0002069 on March 5.
Daily chart of ONT/BTC
To be honest, we were expecting more from bears. The move down to 0.0002069 was a weak response as sell volume was anemic. This tells us that bulls are in control.
Currently, Ontology is working hard to flip 0.00025 resistance into support. If bulls are successful, we can see the market rally to as high as 0.0004.
Enigma is another market that has apparently bottomed out and is looking to break out of consolidation. Bulls are raring to breach resistance of 0.000106.
Daily chart of ENG/BTC
If bulls are successful, they will trigger the breakout from an inverse head and shoulders and start the market’s uptrend. Otherwise, Enigma might be due for a trip down to support of 0.0000888.
We are at a point where altcoins are starting to come back to life. Many altcoins, including the ones on this list, are threatening to break out from consolidation. The winds appear to be changing.
Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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