Although the sudden movements in Bitcoin (BTC) and Dogecoin (DOGE) prices have marked the last days, there are options with high potential in the cryptocurrency market.
As reported by Cointelegraph, the numbers of the largest Bitcoin whales are decreasing, while the number of wallets with a small amount of BTC is increasing. So there are new entries to the market.
Regardless of whether it is new or caught, investors immediately turn their eyes to alternatives, i.e. altcoins, when the Bitcoin price stops or stays horizontal for a long time. As of the first week of February, Rakesh Updhyay, who analyzed 4 altcoins to be followed, shared their price evaluations.
ETH / USD – Ethereum technical analysis
The price of Ether (ETH) recently climbed above the $ 1,400 resistance three times, but each time declined due to higher profit taking. The bulls, on the other hand, are showing strength by keeping them not far from resistance over the past few days. So bulls accumulate when the price falls.
Daily chart of ETH / USDT pair. Source: TradingView
The ETH / USD pair formed the Doji candlestick pattern that signaled uncertainty on January 30th. Following this indecision, the withdrawal came on January 31. The pair managed to stay above the 20-day exponential moving average (EMA) ($ 1,259.53), which is likely to act as strong support as of February 1.
Bounce from support will show that sentiment is bullish and investors are buying on dips. The bulls will persistently try to maintain the uptrend. Their target is primarily the region between $ 1,400 and $ 1,473,096. If this resistance zone is crossed, the pair could rise to $ 1,675 and then $ 2,000.
Conversely, if the bears pull the price below the 20-day exponential moving average (EMA) and the bullish trend line indicated in purple on the chart, this bullish outlook will become invalid. In this case, the pair could drop to the 50-day simple moving average (SMA) ($ 1,055,372).
UNI / USD – Uniswap price analysis
Uniswap (UNI) price is in a strong uptrend pushing the relative strength index (RSI) deep into the overbought territory. The RSI indicator may remain at the overbought level for a long time, but investors need to be careful as corrections from this point can be quick and sharp.
Daily chart of the UNI / USDT pair. Source: TradingView
In the event of a decline, the initial support is at $ 15.3963, where the 38.2% Fibonacci retracement level is followed. If the price drops to this level and bounces up, it will become evident that the bulls were buying aggressively during the dips and not expecting a deeper correction.
If the bulls can push the price above $ 20.5612, the UNI / USD pair could rise up to $ 28 and then $ 32. Both moving averages are rising and the RSI is above 74. So as of now the market is under the control of the bulls.
However, if the correction breaks below $ 15.3963, the next support is at $ 12.2054 where the 61.8% Fibonacci retracement level is calculated. This is also very close to $ 12,3773, where the 20-day exponential moving average (EMA) is found. Drops deeper than these two levels will interrupt the continuation of the uptrend.
ATOM / USD – Cosmos analysis teknik
Cosmos (ATOM) has created a cup and handle model, whose price will be completed with a small increase and is likely to be completed above $ 8,877. If the bulls can push the price above the $ 10.20 resistance, a strong uptrend could begin.
Daily chart of ATOM / USDT parity. Source: TradingView
On the upside, the first target is at $ 11,151. The next level to watch out for is $ 13,554. The rising moving averages and the relative strength index being slightly above the midpoint give the bulls an advantage.
If the bears break the price below the 20-day exponential moving average (EMA) ($ 7,701), the ATOM / USD pair could stay tied to the $ 6,603 and $ 8,877 range for a few more days.
If the price falls and drops below the 50-day simple moving average (SMA) ($ 6.4), the bullish assumption will end. Such a move could pull the price down to $ 5.50 and then $ 4.50.
COMP / USD – Compound price analysis
Compound (COMP) price gained momentum after breaking the $ 272.61 resistance on Jan. 29. Considering the recent price movement, the bowl formation draws attention. The next target of this pattern appears to be at $ 464.60.
Daily chart of the COMP / USDT parity. Source: TradingView
Rising moving averages and the relative strength index (RSI) in the overbought zone show that the bulls dominate the market. The price that goes outside of the pattern it created usually tests the breakout level once again, but if the trend is too strong, it overcomes the problem with a small correction that will keep the upward movement.
If the COMP / USD pair drops to around $ 272.61 and leaps up from there, it will become clear that the bulls have turned the previous resistance into support. This level can act as a bounce ramp to start the next leg of the uptrend.
This positive view will be voided if the bears prevail and keep the price below $ 272.61. Such a move would reveal higher levels of profit buying and a lack of purchasing in dips.
The opinions and comments expressed here are only analyst belongs. It may not reflect Cointelegraph’s views. Every investment and trading transaction involves risk. When making your decision, you should do your own research.