Altcoins Price AnalysisBitcoin Price Analysis

Five digital currencies that traders should monitor this week


Stabilizing the price of Bitcoin at current levels can lead to investment opportunities in foreign exchange markets such as Cardano, Solana, Paligan and Clayton.

to the the report Coin Telegraph, the PCE index rose 0.5 percent in May. This is despite the fact that according to forecasts, this growth was estimated at 0.6 percent. On the other hand, compared to the annual comparison, this index has increased by 3.4 percent, which is unprecedented since 1991.

While the Federal Reserve describes inflation as transient and temporary, analysts at Bank of America take a different view. The bank predicts that inflation in the United States will remain high. Bank of America believes that inflation will remain in the range of 2 to 4 percent for the next 2 to 4 years. According to the bank, the Federal Reserve will raise interest rates in the next six months, which will increase the likelihood of a market collapse.

If inflation remains high, investors are more likely to focus on bitcoin to protect their portfolios. A CoinSahres report released last week shows that inflation is difficult to calculate in the next five years. In part of this report we read:

Adding bitcoin and other assets such as real estate and energy to the portfolio is a way to protect portfolios from the risk of out-of-control inflation.

Despite the short-term risk, choosing digital currencies may bring trading opportunities for individuals. During the bearish phase of the market, traders withdraw their profits at certain intervals from the market rather than being willing to withdraw profits in large rallies.

Bitcoin (BTC)

The price of Bitcoin fell from $ 31,000 to $ 28,000 on Saturday, but there are positive signs in the market that buyers are buying below the price level. This indicates that buyers tend to accumulate bitcoins at lower levels.

Bitcoin price chart
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Buyers will now try to keep the price above the 20-day moving average (EMA20) at $ 35,148. If they succeed in doing so, it will indicate a reduction in sales pressure. A positive divergence in the relative strength index (RSI) also indicates the possibility of a price recovery rally.

Breaking the 20-day moving average could pave the way for heavy resistance at $ 40,000 to $ 42,451. The 200-day moving average (SMA200) is at $ 43,505, a short distance from this area and will probably be difficult for buyers to cross.

This indicates that we will probably see price stabilization between $ 28,000 and $ 42,451. This stabilization may take several days. The longer the price stabilizes in this range, the more intense the subsequent fluctuations will be. If the price falls below $ 28,000 and stabilizes there, the situation will be in the sellers’ favor.

Bitcoin price chart
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At the 4-hour timeframe, buyers are looking to record a higher floor at $ 30,000. The 20-period moving average has flattened out and the relative strength index is near the mid-range, indicating that traders are losing strength.

If buyers can keep the price above the 20-day moving average, there is a possibility of jumping to the 200-day moving average. Breaking this resistance will increase the buying pressure and may increase it to $ 40,527. If the price falls below $ 30,000, this bullish view will lose its credibility.

Cardano (ADA)

Cardano’s price revived last Tuesday from the support of $ 1, which shows that we are seeing an accumulation at this level. However, buyers were unable to push the price above the 20-day moving average at $ 1.39 on Thursday and Friday; An issue that shows buyers are defending this resistance.

Cardano price chart
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The 20-day moving average slope is slowly declining and the relative strength index is in the negative range, indicating that sellers have a higher hand in the market. If the price falls below $ 1 and stabilizes there, we may see closing opportunities and even liquidation. This can lead to a reduction of $ 0.68 and $ 0.4.

On the other hand, if buyers can push the price above the 20-day moving average, the short-term trend will change in their favor. In this case, $ 1.6 and then $ 1.94 high resistance will be possible destinations for Cardano.

Cardano price chart
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Moving averages in the 4-hour timeframe have smoothed out, and the relative strength index is in the middle range, indicating a reduction in selling pressure. If buyers raise the price above $ 1.4, it indicates the possibility of a short-term floor. In this case, you can expect to reach $ 1.6 and $ 1.88.

On the other hand, if the price falls below $ 1.2 from current levels or $ 1.4, it indicates a lack of purchasing power at higher levels. In this case, there is a possibility of falling to the key $ 1 support.

Solana (SOL)

Soland candle prices on Tuesday show that traders are strongly defending the simple 200-day moving average at $ 20. However, the revival rally failed to push the price above the 20-day moving average at $ 33, indicating that sellers are trading in each rally.

Solana price chart
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Buyers are currently looking for a higher price floor at $ 26.65. If they can bring the price above the 20-day moving average and stabilize, we may see the price accelerate and reach the top of the trend line. In this scenario, the next target is $ 44.

However, the 20-day moving average has a downward slope and the relative strength index is in the negative range, indicating that vendors’ plans are different from what is expected. They are likely to try to keep the 20-day moving average and lower the price below $ 26.65. If this resistance is broken, it is likely to fall to $ 21.1.

A strong resurgence of power in this area will indicate that buyers are accumulating in the price floor. In that case, you can expect a stabilization between $ 21.1 and $ 44 in the coming days.

Solana price chart
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The 20-period moving average is flattened in 4-hour timeframes, and the relative strength index is in the middle range, indicating a balance between buyers and sellers. This balance may be upset if the price rises above $ 33 and stabilizes. This may open the way for a jump to the downtrend line and then $ 42. On the other hand, if the price falls below current levels or $ 33, sellers will try to bring it below $ 26.65. In this case, the hand will be higher than those sellers.

Paligan (MATIC)

The price of Paligan has traded below the 20-day moving average at $ 1.29 in recent days, but buyers did not allow it to fall to the bottom of May 23 (June 2) at $ 0.74, which is a positive sign.

Paligan Price Chart
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If buyers reactivate again and push the price above the downtrend line, it will indicate that the correction phase is probably over. In this case, it can be said that the price of Paligan jumps to $ 1.71. The next goal in this case is $ 2 psychological resistance.

However, the 20-day moving average has a downward slope and the relative strength index is in the negative range, which shows that sellers are dominant in the market. If they can lower the price below $ 0.92, they are likely to fall to the support area between $ 0.74 and $ 0.68.

Buyers are likely to call everyone who looks appropriate, if there are only a few. A strong price recovery indicates accumulation at lower levels, in which case buyers will try to push Paligan prices above the downtrend line.

Paligan Price Chart
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In the 4-hour timeframe, we see the sellers’ heavy defense of the downtrend line. The moving average has a 20-day downtrend and the relative strength index is in the negative range, which indicates that sellers have a higher hand in the market. If the price falls below $ 1, it is likely to fall to $ 0.92.

On the other hand, if the price recovers from $ 1, buyers will try again to reach the top of the downtrend line. If they succeed in doing so, it can be said that the buyers are back in the market. It is likely that the price acceleration in the market will increase and the price will stabilize above 1.25.

Clay (KLAY)

The Clayton price has been trading below the 20-day moving average at $ 1.02 for some time, but the relative strength index shows a positive divergence; This indicates a decrease in the control of sellers in the market.

Clayton price chart
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If the price reaches above the 20-day moving average and stabilizes there, it indicates that the trend is likely to change. However, sellers do not simply hand over the caravan to buyers and will try to stop the jump in the $ 1.24 to $ 1.29 range.

If the price falls from the resistance but does not fall below the 20-day moving average, it indicates that buyers are looking for a strong return to the market. Breaking this resistance zone can increase the buying pressure. In this case, there is a possibility of jumping to the simple 200-day moving average at $ 1.51.

Breaking this moving average and stabilizing its high price means that the downtrend is over in the short term. If the price falls below $ 0.72, this bullish view will lose its validity.

Clayton price chart
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At 4-hour timeframe, the price of Clayton fluctuates within a bearish channel. Buyers managed to raise the price above this channel and the simple moving average of 200 periods but could not stabilize the price.

If buyers push the price above the 20-day moving average, there is a possibility of trying again to cross the simple 200-day moving average. In this case, we may see the beginning of another uptrend and reach $ 1.62.

On the other hand, a drop below 0.86 could lead to a fall to $ 0.72.

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