Bitcoin Price Analysis
Bitcoin's eight-week winning streak is expected to come to a close as the price dips nearly 4% this week. While this may be a temporary setback, the short-term uptrend remains intact. The recent pullback could actually help reduce market froth, providing a healthier foundation for future growth.
Shift in Attention
After a period of strong gains, traders often take profits and shift their focus to other cryptocurrencies. As Bitcoin takes a breather, attention is likely to turn towards select altcoins that show promise.
Coins to Watch
So, which altcoins are attracting buyers in the short term? Let's take a look at the charts of the top five cryptocurrencies with potential.
Cosmos (ATOM)
Cosmos has been on an uptrend for several days, with solid demand at lower levels. The path of least resistance appears to be towards the upside, as indicated by the upsloping moving averages and positive RSI. If buyers can push the price above the immediate resistance at $12.50, a rally to $13 and $15 may be in store.
Filecoin (FIL)
Filecoin is attempting to form a cup and handle formation, signaling a potential new up-move. A break and close above $5.67 would confirm this pattern and set a target of $8.41. However, bears may pose a strong challenge at $6.50 and $7.40. A downturn below the 50-day SMA ($4.61) would invalidate this bullish view.
MultiversX (EGLD)
Despite a recent downturn from overhead resistance, MultiversX remains bullish as indicated by a rebound off the 20-day EMA. Buyers are anticipated to push the price towards the crucial resistance at $70. If they succeed, a rally to $90 and $100 could be on the horizon. However, sellers will likely attempt to sell rallies and bring the price back below the 20-day EMA, which could lead to a deeper correction towards the 50-day SMA ($46).
Algorand (ALGO)
Algorand is facing resistance at $0.22, but buyers have not given up much ground, suggesting another potential leg higher. Both moving averages are sloping up and the RSI is in positive territory, indicating a bullish sentiment. If the price rebounds off the 20-day EMA, the bulls will make another attempt to break the barrier at $0.22. A successful breakthrough could propel the price to $0.24 and $0.28. However, a slide and close below the 20-day EMA would signal a deeper correction towards the 50-day SMA ($0.14).
While Bitcoin's winning streak may be coming to an end, the cryptocurrency market remains an ever-evolving realm with various altcoins showing promise. Traders will need to navigate this competitive digital world and stay on top of the latest trends and analysis to maximize their potential gains.
