The Crypto market continued its trend of recording little to no changes at the end of every intraweek session. This pattern has entered its third week as result, most asset are seeing little to no price increases due to low buying pressure.
The global cryptocurrency market cap was at $922 billion at the start of the previous week. It dipped to a low of $891 billion as bearish dominance peaked. However, it recovered and ended the period under consideration with no notable change in value.
We also observed a lot of inactivity in derivatives. Daily, open interest plummets and liquidation figures decrease. With regards to fundamentals, there were no big ones that could impact prices.
Nonetheless, most of the news that made rounds during the period under consideration was of firms entering the crypto space. One such was an announcement by Lamborghini announcing its readiness for the metaverse with a launch of an NFT collection.
Football legend, Lionel Messi recently partnered Bitget ahead of the world cup. With the start of the new week, many are looking forward to more price action and stores that could positively affect prices.
It is looking promising already as crypto-friendly Rishi Sunak became UK’s Prime Minister. We observed a notable price increase a few hours to the time of writing in response to some decisions he made already.
Will the bullish sentiment continue throughout the next five days? Let’s see how some crypto assets will perform
Top Five Cryptocurrencies to Watch
1. Bitcoin (BTC)
The apex coin failed to impress last week. The asset had lesser volatility compared to two weeks ago. It recorded losses or gains of less than 2%. After a green Monday, the next three days were marked by little trading volume.
Nonetheless, the sessions were represented with red candles. BTC experienced its biggest trading volume on Friday as the asset dipped to a low of $18,660. It recovered and closed a little higher than its opening price.
One notable event during this period was that the apex coin failed to retest the $20k resistance. This is the longest since it started trading sideways it maintained the $19k support and failed to flip $20,000.
A look at the indicators reflects the low price performance. One such is the Moving Average Convergence Divergence. The histogram associated with this metric showed dwindling buying pressure and very little counterforce.
Nonetheless, the asset under consideration had a bullish divergence on Saturday as it picked momentum. This may be an indication of that bitcoin may experience more price increases over the next five days.
Sticking to this claim, it tested and broke the $20k resistance. it also broke the “less than 2%” trend as it is currently up by more than 3%. Additionally, it is exchanging above the 50-day MA.
The Relative Strength Index is at 60. One key level to watch over the next few days is the $19k support. Failure to gain stability above $20k may result in a retest of this vital level. However, if BTC maintains its current momentum, it may test the $21k resistance before the end of the week.
2. Ethereum (ETH)
On the weekly chart, Ethereum ended the previous week with gains exceeding 4%. It was one of the top gainers during this period as it saw notable price increases. Although it had a bullish start to the week, it was bearish from Tuesday to Thursday.
Ether picked up momentum on Friday after a quick dip to $1,252. It ended the intraday session above its opening price and continue the little increase into Saturday. However, the biggest increase of the week happened on Sunday.
It kicked off at $1,314 and bounced off the $1,300 support before a peak at $1,370. It closed the 24-hour period with a gain of more than 3%. RSI returned to its September high of 52. MACD also continued its uptrend.
The previous intraday session had many wondering how prices will play out this week. One reason for this concern is that for the past three weeks, Mondays were marked with green candles. However, this week’s was a red.
Based on indicators, it is safe to conclude that there are little to no signs of massive retracements. ETH is currently trading above it 50-day MA. RSI is normal with more space for price improvements. If it maintains the current momentum, it may retest the $1,700 resistance as it briefly flipped the $1,500 a few hours before the time of writing.
Before the attempt, ether will look to gain stability above $1,600. However, a trend reversal may see the asset lose all of its accumulated gains. One of the levels ot watch is the $1,400. We observe increased demand concentration at the mark.
A flip may send the largest altcoin as low as testing the $1,300 support and possibly the $1,200. It is also worth noting that the 12-day EMA is gradually surging above 0. Could this be the long-awaited breakout?
3. Huobi Token (HT)
Huobi token had a splendid performance last week. It opened the period under consideration on a bullish note as it saw notable increases of more than 15%. During the session, it tested and flipped the $8 resistance.
Two days of downtrend resulted in the asset losing almost 4%. However, it picked momentum on Thursday and Friday but recorded meager figures. It saw its biggest surge on Saturday as it peaked at it almost tested the $9 resistance.
It stopped in its bid as selling pressure mounted at $8.90. The last day of the week was marked by strong volatility as the red candle has long wicks to the top and bottom. On the weekly chart, HT gained more than 28%.
One notable thing during this period is that the asset under consideration was mostly overbought. As a result, there is huge uncertainty as to price performance. There were fears of massive retracements during this period. It never happened.
The same concerns are present this week. Nonetheless, one key level it may test is the $10 resistance. To ensure this, the token must build momentum above $9. A closer look at the Relative Strength Index still points at the cryptocurrency enjoying massive increases than required. A reversal in trend may send it crashing.
The $8.33 support is one of the barriers to watch. If it fails, the asset may sink as low as testing the $7.4 positive barrier. The $6.6 support remains the toughest before a retest of $5.
4. Aave (AAVE)
The token joins the small lists of top gainers during the previous intraweek session. Like most cryptocurrencies to watch, it had a bullish start as it gained more than 3% on the first day. The increase in price continued into the second and we may conclude that the asset was mostly bullish.
Over the first three days of the week, it recorded positive changes of almost 10%. Little downtrends with no significant impact in value. AAVE had its biggest pump on Sunday as it gained more than 8%.
At the end of the seven-day period, it saw gains of more than 17%. There are concerns of whether the bullish momentum would continue this week. Indicators are not looking too good. For example, RSI is on a downtrend.
Due to the most recent drop in price, the Relative Strength Index is at 54 from a peak at 68. In response to the decrease, the 12-day EMA is also dipping. This may be an indication of further price decreases.
If this happens, the $80 barrier is one level to watch out for. Failure to defend it may result in flipping the 50-day EMA. Further downtrends may also send the cryptocurrency as low as $75.
Nonetheless, a reversal in trend may send AAVE to reclaim lost levels. One such is the $90 resistance. The further increase may guarantee a flip of the $100 barrier.
5. Klatyn (KLAY)
Klay closed the previous week with gains exceeding 28%. A bullish start sealed the bullish sentiment as it tested and broke the $0.28 resistance for the first time in more than 60 days. A look at the daily reveals one of the longest wicks on a candle.
It represented trading actions on Sunday as the asset experienced a sudden burst in buying pressure. As a result, it surged from $0.13 to the highlighted peak. It was up by more than 100% before a massive rejection.
It ended the intraday session at $.18 which signifies a more than 31% change in price. Due to the sudden rise in price, RSI hit a high of 68 from below 30. It also had a bullish divergence which are sign of more price improvements.
Trading actions during the present intraday session may spread fear amongst traders as the cryptocurrency is losing all of its accumulated gains. Nonetheless, indicators are still positive. We may expect a retest of the $0.22 resistance. If the downtrend continues, KLAY may retest the $0.18 support.
