Most cryptocurrencies price action over the last seven days has been off trend. The crypto market ended the previous week on a rather bearish note as it lost a notable amount of its value. Opening the week at $1.33 trillion and closing at $1.25T, the sector failed to record any significant gains.
One of the common reasons for the failure is a result of the prevalent bearish dominance. Nonetheless, some cryptocurrencies saw significant increases but could not affect the positive change in the overall stats as large market cap coins were experiencing corrections.
Another reason for improvement in the global cryptocurrency market is the lack of bullish stories that could improve the vibe in the industry. This is more glaring as we observed that the Fear and Greed Index remained within the region of extreme fear.
Conditions are no better as of the time of writing as the image below shows that contrary to the previous close that some coins in the top 100 saw a notable increase, the bears are tightening their grip on the market.
It remains to be seen how most projects will perform this week. However, these are the top five cryptocurrencies to watch this week:
Top Five Cryptocurrencies to Watch.
There have been no major changes to the MACD movement as the little selloff experienced on Monday failed to affect its readings. This may spell goodwill for the apex coin as we may expect more uptrends.
One of the key levels to watch is the $30,000 resistance. We observed that the level have been tested and flipped more than three times since the major drop last week. Stability above that could guarantee a retest of $32k if the momentum is sustained.
Nonetheless, taking into consideration the most recent market trends, we may expect BTC to dip by 3% – 5%.
Currently exchanging above its second pivot support, AVAX is looking very promising. In addition to the Pivot Point Standard, the Moving Average Convergence Divergence is also hinting at further uptrends as the coin had a bullish divergence last week.
A closer look at the indicator reveals the 12-day EMA has maintained its upward drive and is showing no signs of stopping. Translating this to prices, we may expect a retest of its first pivot support.
To achieve this, Avalanche must first gain stability above $30. While recent price movements suggest that the highlighted mark has not been the best positive barrier, it is important to ensure a close above it to guarantee an attempt at $40.
Algorand is one of the most promising cryptocurrencies to watch this week as it is close to experiencing a bullish divergence as per MACD. The asset has held on to its first pivot support for almost two weeks now.
However, the level is under pressure and a positive cross on the Moving Average Convergence Divergence may spell the start of an uptrend. Recent price movements suggest that the $0.41 support is a tough one.
If the bulls successfully defend the mark, we may see an attempt at $0.50. This is more likely as there have been several attempts at the mark over the last two weeks.
One of the key levels to watch this week is the $2 support. Since regaining that level last week, it has not faced any strong threats. However, this is about to change as a flip in market sentiment may present a challenge.
We may see massive selling congestion that may ensure a retest of the vital support. Depending on the magnititude of the selloff, the barrier may break and the next notable support is at $1.9 (the FPS).
On the other hand, indicators like MACD are still bullish. Riding on this signal, the next destination for ALGO may be $2.3. The Relative Strength Index also prints more positive signals as it is at 48.
Currently trading above its second pivot support, we may expect a push to the first. To achieve this, the bulls must rally the coin to flip it high over the last two weeks. The $0.65 resistance has been the toughest during the timeframe under consideration as most attempts at it failed.
Maintaining the same momentum as seen on Monday, a flip of this critical level may be successful. The highlighted mark may then be used as a stepping stone to retest the first pivot support.
The moving average convergence divergence is also bullish as the 12-day EMA is still on the rise. However, failure to sustain the current trajectory may retest of $0.50.
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