In the world of cryptocurrencies, Bitcoin and Ethereum are the two major players that have been dominating the market for quite some time. However, there are other cryptocurrencies that are showing potential for growth in the near future. Here we will take a look at five cryptocurrencies that may have an upside potential in the upcoming week.
Bitcoin’s volatility has decreased significantly in recent times, and it is forming an inside-bar pattern on the weekly chart. The bulls are having a tough time clearing the overhead hurdle in the $30,000 to $31,000 zone. However, they have not lost ground to the bears, which is a positive sign. Similarly, the S&P 500 index has been moving within a range in the past few days, which suggests that the markets are waiting for a trigger to start the next directional move.
Despite the uncertain short-term price action, analysts are optimistic about the long-term outlook. Trader Titan of Crypto highlighted a potential signal on the Bollinger Bands monthly chart, which predicts a rally to $63,500 in about a year.
Bitcoin and Ethereum Price Analysis
1). Bitcoin Price Analysis
According to previous price analysis, Bitcoin has recently turned down sharply from the resistance line of the symmetrical triangle pattern on May 6, indicating that the bears are unwilling to let the bulls through. However, the bulls have been buying the dips to the support line of the triangle as seen from the long tail on the day’s candlestick. The flattish 20-day exponential moving average ($28,819) and the relative strength index (RSI) near the midpoint do not indicate a clear advantage for either the bulls or the bears.
If the price breaks below the triangle, it suggests that the bears are trying to take control. The BTC/USDT pair may first fall to $26,942 and then to $25,250. On the other hand, a break and close above the triangle will suggest that the bulls have absorbed the supply, which could start a rally to $32,400 where the bears are expected to mount a strong defense.
Buyers nudged the price above the triangle, but the long wick on the candlestick shows that the breakout turned out to be a bull trap in the near term. BTC price turned down sharply and plunged to the support line of the triangle. The bounce off this level has reached the moving averages, which is a key short-term level to watch out for.
If Bitcoin’s price turns down from the current level, it will raise the chances of a break below the support line. Contrarily, if buyers kick the price above the moving averages, the pair may rise to the resistance line. The bulls will have to drive and sustain the price above this level to start an up-move.
2). Ether Price Analysis
In the price analysis for the previous week, Ether faced a strong rejection above the psychological resistance at $2,000 on May 7, indicating that the bears have not given up and are continuing to protect the overhead resistance levels. The flattish 20-day EMA ($1,903) and the RSI near the midpoint suggest that the ETH/USDT pair may remain range-bound in the near term. The boundaries of the range could be between $2,000 and $1,785.
A consolidation just below the local high is a positive sign. It shows that the bulls are not in a hurry to book profits, increasing the possibility of a break above $2,200. On the contrary, if the price plunges below $1,785, it will suggest that bears have seized control, leading to a fall to $1,619.
The 4-hour chart shows that the bears could not build upon the break below the 50-simple moving average. This shows that the selling pressure reduces at lower levels. The bulls are trying to stage a recovery by sustaining the price above the 20-EMA. If they can pull it off,
To summarize, while the short-term price action of cryptocurrencies like Bitcoin and Ethereum remains uncertain, there are still some pockets of strength in the market. Monero, OKB, and RPL are three altcoins that traders and investors may want to keep an eye on in the coming weeks due to their potential for upside gains.
However, as with any investment, it’s important to conduct thorough research and exercise caution when investing in cryptocurrencies, as they remain a highly volatile and speculative asset class. It’s also important to keep in mind that past performance is not indicative of future results, and any investment in cryptocurrencies should be made with a long-term view and a diversified portfolio strategy.
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