Bitcoin and other cryptocurrencies took a major tumble this past weekend, accelerating into the week, following the release of the latest official US inflation data which revealed the fastest annual increase since December 1981:
According to the US Bureau of Labor Statistics, CPI rose 8.6 percent for the 12 months through to May, the largest increase in over 40 years.
The index, long deemed unreliable by hard money advocates, purports to track the movement of a broad range of goods and services in an economy, including food, shelter and energy.
Among the largest increases were energy (34 percent), used cars and trucks (16 percent), and food (10 percent). However, few in the crypto community believe official CPI figures, with most suggesting that in reality it ought to be in the double-digits:
Inflation just hit a NEW 40-year high.
Overall CPI: +8.6% since last year Gas: +48.7% Fuel Oil: +106.7% Meat, Poultry, & Fish: +13.1% Milk: +15.9% Eggs: +32.2% Coffee: +15.3% Used Cars: +16.1% Airline Fares: +37.8% Real Average Hourly Earnings: -3%
In theory, the higher inflation rises, the more likely that the Federal Reserve will hike interest rates. And if that does indeed come to pass, all risk assets (including crypto) tend to get sold off as investors flee to relative safe haven assets such as bonds.
As news broke on June 10 of the highest US inflation levels in 40 years, investors expressed fears that it could trigger more aggressive action by the Federal Reserve. And then just yesterday, news emerged that Fed officials were contemplating a 0.75 percent increase, up from the 0.5 percent expected by the market.
Almost immediately, all risk assets saw dramatic outflows, with the crypto sector being hit especially hard:
Crypto heatmap for performance over past seven days. Source: Cryptorank.io
Among the top ten cryptocurrencies, ETH was down over 36 percent, BNB by 25 percent and BTC by 29 percent.
As liquidations continued, the crypto market sank below US$1 trillion for the first time since early 2021.
At the time of writing, the total market capitalisation had slipped to US$933 billion, down from its all-time high of US$2.95 trillion reached in November 2021. Meanwhile, BTC is now trading at US$22,265, with ETH exchanging hands at US$1,440.
This latest sell-off is starting to make May’s downturn look trivial in comparison, and by all accounts there is still some way to go before we hit bottom. One thing is, however, certain – macro and crypto are officially intrinsically linked. Crypto can no longer be said to be uncorrelated with the broader macroeconomic environment, as was the case in years gone by.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Ocean Protocol (OCEAN)
Ocean Protocol OCEAN is a blockchain-based ecosystem that allows individuals and businesses to easily unlock the value of their data and monetise it through the use of ERC-20 based datatokens. OCEAN is a utility token that is used for community governance and staking on data, in addition to buying and selling data as the basic unit of exchange on the Ocean Market. The price of these datatokens is set by an OCEAN-datatoken AMM pool, which adjusts the price of the datatoken as it is bought and sold based on supply and demand.
OCEAN Price Analysis
At the time of writing, OCEAN is ranked the 153rd cryptocurrency globally and the current price is US$0.1984. Let’s take a look at the chart below for price analysis:
OCEAN dropped 75% from its March high before beginning a consolidation in mid-May.
Inefficient trading, the base of June 7’s rally, and the 9 and 18 EMAs could offer resistance just over the June monthly open, near $0.2317.
A rally higher might target the June 9 swing high near $0.3190. Bears’ stops above this high and the inefficiently traded area on the daily, weekly and monthly charts could serve as a target and resistance.
Bulls might find support near $0.1928. If this level supports the price, it will most likely be after a sweep of the relatively equal lows in this area.
Longer-term, the bearish higher-timeframe trend and market conditions make it likely that the price will continue dropping and reach near $0.1530. Some weekly charts show inefficient trading in this area.
If this level fails, bulls might find more substantial support near $0.0867. This area is the last accumulation on the monthly chart before July 2020’s stunning rally. It’s also near the low end of a large, inefficiently traded area on the monthly chart.
2. THORChain (RUNE)
ThorChain RUNE is a decentralised liquidity protocol that allows users to easily exchange cryptocurrency assets across a range of networks without losing full custody of their assets in the process. The native utility token of the THORChain platform is RUNE. This is used as the base currency in the THORChain ecosystem and is also used for platform governance and security as part of THORChain’s Sybil resistance mechanisms – since THORChain nodes must commit a minimum of 1 million RUNE to participate in its rotating consensus process.
RUNE Price Analysis
At the time of writing, RUNE is ranked the 62nd cryptocurrency globally and the current price is US$1.90. Let’s take a look at the chart below for price analysis:
RUNE has dropped 84% from its March high. It’s currently breaking down from its consolidation range formed in May and early June.
The price might find its closest resistance in an inefficiently traded area on the daily chart between $2.426 and $2.244. This level has confluence with the May 27 swing low.
The price may be forming a triple-sweep (three lower lows) before returning into its consolidation range. If so, an inefficiently traded area near $2.657 could provide another resistance. This level also shows distribution on the weekly chart near the 18 EMA.
A more extended rally could reach an inefficiently traded area on the monthly chart between $3.295 and $3.998. Yet this is less likely to happen soon, given the current bearish market conditions.
Below, $1.554 could offer support. This level is an area of inefficient trading below a daily swing low from January 2021. It also shows accumulation on the weekly.
The following daily swing low, near $1.120, could offer the next bearish target. This level shows inefficient trading on the daily and weekly charts.
If the bearish trend continues, it may be targeting an area of old inefficient trading on the monthly chart between $0.761 and $0.630. The price might sweep under the low end of this range to remove bulls’ stops under the monthly swing low. Overall, this area shows accumulation on the monthly and could provide the base for a longer-term bullish shift.
3. Tranchess (CHESS)
Tranchess CHESS is a yield-enhancing asset tracker with varied risk-return solutions. Tranchess provides a different risk/return matrix out of a single main fund that tracks a specific underlying asset. The name Tranchess was inspired by the game of chess, as well as the French word “Tranche”, which is often associated with tranche funds that cater to a different class of investors with varying risk appetite. Tranchess was launched on June 24, 2021. The project leverages on smart contracts, making it transparent and automated across processes.
CHESS Price Analysis
At the time of writing, CHESS is ranked the 536th cryptocurrency globally and the current price is US$0.2716. Let’s take a look at the chart below for price analysis:
CHESS dropped 84% from its early April swing high before beginning a consolidation range in mid-May.
Most trading occurred between the June monthly open and $0.270. Here, relatively equal lows have formed under the oldest historical low, around $0.367.
These lows might serve as a magnet for a stop run reaching near the last swing low, between $0.256 and $0.230. Traders “selling the news” of June 16’s launch might push the price below these lows.
A continued move down could run more bulls’ stops below May’s low at $0.2040.
No historical price action exists under May’s low to pinpoint possible support.
Round numbers suggest that $0.175 could offer some support on an initial stop run under May’s low.
Below this level, the 50% and 100% extensions (projected from two swings in the current range) overlap near $0.050. This confluence could offer a weak hint at another possible support. Bulls should be highly cautious given the bearish chart and market conditions.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Welcome to this weekly series from the TradeRoom. My name is Dave and I’m the founder of The Crypto Den, an Australian-based crypto trading and education community aiming to give you the knowledge to take your trading game to the next level.
Crypto Market Outlook
I’m BACK! I apologise to readers for my absence of late. Having a newborn is challenging enough and unfortunately we’ve had to make many hospital visits over the past month. But all is well!
Let’s get into it!
On April 11, I shared with you my thoughts around what I was seeing from BTC, and that was a huge bear flag forming (see image below) indicating further downside in the market. We have since dropped a further 40%. I do believe we are still likely to see an additional 20% drop from the current price level before we see a significant reversal. My first target to start scaling in on SPOT is US$20,000.
Image from Apr 11 article
Current BTC Chart
The TOTAL market cap is now down 65% from ATH, and I think in the coming days/weeks we will drop below the US$1 trillion valuation. On May 17 I shared the below chart showing another potential loss of over US$300 billion to US$500 billion, and you will see that the TOTAL has now shown a weekly close below its 200 EMA, which tells me the likelihood of this happening is getting higher.
TOTAL chart shared on May 17
Current TOTAL chart
Recent Performance
There have been two trades in particular that I’ve shared here numerous times that had great shorting potential: DOGE and ADA. These charts started back in December, if you’d like to take a look.
DOGE/USDT
DOGE is almost at my key Take Profit (TP) level of US$0.04, which will yield me a total of 730% profit from this entry using a 10x position.
DOGE chart shared May 2
Current Doge chart
ADA/USDT
An ADA target of US$0.18 is still on the table and at this point I will likely close my Short at around 800% profit using 10x leverage, and look to not only enter LONG positions but also scale into ADA on the SPOT market.
ADA chart shared May 2
Current ADA chart
This Week’s Trades
I will absolutely NOT be entering new trades this week. We are mid-dump in a bearish market and it’s safer to stay out and just wait.
What I’ll be looking for are key levels on the daily and weekly charts for both BTC and ETH where I will enter SPOT positions and open longs. This is where patience is key.
If BTC and ETH both close a weekly candle at or below current levels, things will certainly go from bad to worse. Targets are outlined on the charts below.
Be patient, invest wisely and don’t stress. Crypto is still in its infancy of what it can accomplish!
BTC/USDT
ETH/USDT
Introducing TCD’s New Social Platform
The Crypto Den now has a FREE purpose-built social platform to share investment ideas, trade chat, connect with like-minded people, share info and more, without the censorship of Facebook. The platform is designed for those more focused on the investment/profitable side of the crypto world.
Are You a Trader?
Invite to Join our TradeRoom
If you’d like to become a better trader, you’re invited to join our TradeRoom where we share daily charts and market analysis. In our community we strongly encourage and teach correct risk management strategies to keep our members safe in this new volatile crypto market. Join our “Apprentice” plan now for your 7-day trial.
The Crypto Den was created in 2017 to help the rapidly growing crypto community learn and understand the fundamentals of digital currencies and how to trade them.
Since then we have taught thousands of members the basics of technical analysis and trading strategies to further progress and perfect their trading abilities.
In the TradeRoom, you will be included in a supportive environment which encourages personal growth, education and community support.
It’s a place to share your trading ideas and follow other experienced traders’ feeds to help keep your finger on the pulse of such a volatile market!
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Tron (TRX)
Tron TRX is a blockchain-based operating system that aims to ensure this technology is suitable for daily use. Whereas Bitcoin can handle up to six transactions per second, and Ethereum up to 25, TRON claims that its network has a capacity for 2,000 TPS. This project is best described as a decentralised platform focused on content sharing and entertainment, and to this end, one of its biggest acquisitions was the file-sharing service BitTorrent in 2018. Overall, TRON has divided its goals into six phases. These include delivering simple distributed file sharing, and driving content creation through financial rewards.
TRX Price Analysis
At the time of writing, TRX is ranked the 13th cryptocurrency globally and the current price is US$0.07827. Let’s take a look at the chart below for price analysis:
TRX accompanied the rest of the market during the Q2 drop, falling nearly 45% from early May until it found a low last week.
Price action formed a weekly support level near $0.06654, which has so far held up the price. The most recent swing low inside this range, near $0.06249, might be the target for any future stop runs. After this low, the swing low near $0.05789 and the gap beginning near $0.05126 mark possible higher-timeframe support.
The price is currently battling with significant higher-timeframe resistance levels, with the closest probable resistance resting near $0.08892, just over the previous monthly open. A sweep of the relatively equal highs above this resistance might find sellers near $0.09535, but could reach as high as $0.1173.
2. Neo (NEO)
NEO bills itself as a “rapidly growing and developing” ecosystem with the goal of becoming the foundation for the next generation of the internet – a new economy where digitised payments, identities and assets come together. As well as drawing a worldwide community of developers who create new infrastructure for the network and lower barriers to entry, the team behind this project operates an EcoBoost initiative that’s designed to encourage people to build decentralised apps and smart contracts on its blockchain.
NEO Price Analysis
At the time of writing, NEO is ranked the 54th cryptocurrency globally and the current price is US$12.54. Let’s take a look at the chart below for price analysis:
After creating a second equal low during May, NEO has gained nearly 20% into resistance that starts near $13.24.
Aggressive bulls looking for a continuation to the nearest cluster of relatively equal highs around $14.33 might look for bids near $13.86. More significant resistance rests above, near $14.85. A group of significant swing highs at $15.36 and $17.29 give possible targets if this resistance breaks.
A stop run on the recent low at $12.09 into possible support beginning near $11.63 might see stronger bidding. This area also has a confluence with the previous monthly low.
A bearish market shift could reach the swing low at $10.30 into possible support beginning near $9.84.
3. Shiba Inu (SHIB)
Shiba Inu SHIB coin was created anonymously in August 2020 under the pseudonym “Ryoshi”. The meme coin quickly gained traction and value as a community of investors was drawn in by the cute charm of the coin, paired with headlines and tweets from personalities including Elon Musk and Vitalik Buterin.
SHIB Price Analysis
At the time of writing, SHIB is ranked the 17th cryptocurrency globally and the current price is US$0.000009129. Let’s take a look at the chart below for price analysis:
SHIB performed well during Q1, reaching over 45% from the first week of February into the resistance near $0.00002542.
For the past several days, the price has been moving in a falling wedge and appears to be flipping old support near $0.000009042 to resistance. If this level breaks – perhaps due to the tempting daily equal lows below – the next support begins near $0.000008329.
Bulls entering at these levels could set their first target near the previous resistance near $0.00001280. Beyond this level, probable targets include the new monthly highs near $0.00001324 and the resistance above near $0.00001452.
A break of this resistance later this month could continue to the new highs near $0.00001682 and $0.00001824.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Theta Network (THETA)
Theta Network THETA is a blockchain-powered network purpose-built for video streaming. Launched in March 2019, the Theta mainnet operates as a decentralised network in which users share bandwidth and computing resources on a peer-to-peer (P2P) basis. Theta features its own native cryptocurrency token, THETA, which performs various governance tasks within the network, and counts Google, Binance, Blockchain Ventures, Gumi, Sony Europe and Samsung as Enterprise validators, along with a Guardian network of thousands of community-run guardian nodes.
THETA Price Analysis
At the time of writing, THETA is ranked the 40th cryptocurrency globally and the current price is US$1.44. Let’s take a look at the chart below for price analysis:
THETA has formed a clean range between $2.30 and $1.50. The price is likely to run these equal highs and lows before the next significant move.
The price is currently near the low end of the range. On the monthly chart, an old, inefficiently traded area down to $1.40 could provide support. This support might create a bounce back up to the old range highs.
If this level breaks, a broad zone between $1.33 and $1.18 could be the next support. This area shows inefficient trading on the monthly and weekly charts.
Shorter-term traders might frame a short near $1.70. Here, an inefficiently traded area on the daily chart could provide resistance. Just above, $1.88 might also provide resistance. This level is near the current consolidation range’s highs.
Current price action makes it unclear where bulls are most likely to find the current range’s next resistance. A bullish reversal will likely draw to the relatively equal highs at $1.95. Bears might stop the price first at an area of old bullish rejection on the monthly, near $2.13.
2. Litentry (LIT)
Litentry LIT is a decentralised identity authentication and user activity data management Infrastructure. Build on Substrate, Ready for Polkadot. Litentry is helping support change that is in favour of a user-centric network with the blockchain. Litentry includes an identity-based network and related tools, and features an identity matching and identity staking mechanism; as a whole, it consists of decentralised identity and user activity data management infrastructure.
Litentry Price Analysis
At the time of writing, LIT is ranked the 524th cryptocurrency globally and the current price is US$0.8241. Let’s take a look at the chart below for price analysis:
LIT has spent the first half of 2022 in a range. It spiked through this range’s high in late March before an aggressive move toward the range lows.
The price found support near $0.5034, near the origin of a recovery in early June, and created a week-long consolidation. However, the swing low near $0.7018, and is likely to provide resistance. It may cause further consolidation at the current area before a decisive break.
A break under the support near $0.6579 might target the swing lows and possible support near $0.6024. Below this level, there is little apparent higher-timeframe support.
If bulls appear, a break through the current resistance near the 9 EMA, around $0.9508, might find resistance from $1.12 to $1.27.
A sustained bullish shift in the market could propel the price through monthly open into probable resistance near the high at $2.35.
3. Cosmos (ATOM)
Cosmos ATOM bills itself as a project that solves some of the “hardest problems” facing the blockchain industry. It aims to offer an antidote to “slow, expensive, unscalable and environmentally harmful” proof-of-work protocols, like those used by Bitcoin, by offering an ecosystem of connected blockchains. ATOM tokens are earned through a hybrid proof-of-stake algorithm and they help to keep the Cosmos Hub, the project’s flagship blockchain, secure. This cryptocurrency also has a role in the network’s governance.
ATOM Price Analysis
At the time of writing, ATOM is ranked the 30th cryptocurrency globally and the current price is US$8.89. Let’s take a look at the chart below for price analysis:
ATOM has been consolidating in a range around Q1 2022’s high.
Q2 2022 saw the start of a smaller range inside this larger range. Near the current price, $10.38 or $11.00 could support at least a small move upward. This area is near the local range low, inefficiently traded, and the site of a stop run.
Just above the current price, the 9, 18, and 40 EMAs might provide resistance near $12.86. This level saw consolidation before last week’s downward move.
A move back toward the local range highs could reach possible resistance near $13.06, where bears rejected recent rally. This level is just above the May monthly open.
A more extended move by bulls might reach the larger range’s rejection area near $14.81. However, a move this far is less likely unless the overall market rallies.
Below the higher timeframe’s range, $8.15 to $7.80 could provide more substantial support to start a longer-term bullish trend. This level is near the 78.6% retracement of the July 2021 to September 2021 rally, shows inefficient trading on higher-timeframe charts, especially between $7.25 and $6.96, and provides a reasonable stop run target.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Kusama (KSM)
Kusama KSM is an experimental blockchain platform designed to provide a massively interoperable and scalable framework for developers. Kusama is built on Substrate, a blockchain building kit developed by Parity Technologies. Kusama has almost the same codebase as Polkadot, one of the most successful interoperable blockchains.
KSM Price Analysis
At the time of writing, KSM is ranked the 77th cryptocurrency globally and the current price is US$66.33. Let’s take a look at the chart below for price analysis:
After rallying over 40% from its Q1 lows, KSM is encountering resistance near $83.70. This resistance and the monthly open at $75.51 currently have the price trapped. The swing high and resistance near $97.83 provide a likely target before any major bearish market shift, with continuation through this resistance possibly reaching for shortstops and resistance near $110.46.
The daily gap at $60.71 could provide support, while the area beginning near $57.73 could see more substantial interest from the bulls. A longer-term bearish shift in the marketplace will likely reach the relatively equal lows near $50.77, possibly finding a floor at support beginning near $46.39.
2. Chainlink (LINK)
The Chainlink Network LINK is driven by a large open-source community of data providers, node operators, smart contract developers, researchers, security auditors, and more. The company focuses on ensuring that decentralised participation is guaranteed for all node operators and users looking to contribute to the network. Chainlink allows blockchains to securely interact with external data feeds, events, and payment methods, providing the critical off-chain information needed by complex smart contracts to become the dominant form of digital agreement.
LINK Price Analysis
At the time of writing, LINK is ranked the 21st cryptocurrency globally and the current price is US$8.74. Let’s take a look at the chart below for price analysis:
LINK‘s early April trend retraced near $6.50 into the consolidation that began the impulse before bouncing to $7.80.
This consolidation could provide support again, although bears would first have to push the price through possible support near $8.45. The market’s structure may be shifting bearish, with $8.90 likely to provide some resistance if this is the case. A sustained bearish move could reach the swing low near $7.89 before finding support near $7.50.
However, the bullish higher-timeframe trend might prevail, with relatively equal highs near $9.27 potentially giving an attractive target to lure the price over the monthly open. If so, the price could reach for the midpoint of the Q1 wick near $10.18.
3. Band Protocol (BAND)
Band Protocol BAND is a cross-chain data oracle platform that is able to take real-world data and supply it to on-chain applications, while also connecting APIs to smart contracts to facilitate the exchange of information between on-chain and off-chain data sources. BAND is the native token of the Band Protocol ecosystem and is used as collateral by validators involved in fulfilling data requests, as well as being the main medium of exchange on BandChain, used for paying for private data.
BAND Price Analysis
At the time of writing, BAND is ranked the 370th cryptocurrency globally and the current price is US$1.68. Let’s take a look at the chart below for price analysis:
Like many other altcoins, BAND set a high around April before retracing 85% to the low at $1.50 in early June.
Price broke through resistance near $1.60, which may mark an area of possible support on a retracement. If this support fails, bulls might also step in near $1.49. However, a drop this far increases the chances of a stop run to $1.34 and possibly into support near $1.29. For now, continuing bullish market conditions could help $1.40 become support.
The swing high around $1.89 gives bulls a reasonable first target, with $1.98 also likely to draw the price upward. Higher-timeframe resistance beginning near $2.18 or $2.30 could cap the move or trigger consolidations. If bullish market conditions continue, bulls might test probable resistance near $2.39.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Gala (GALA)
GALA aims to take the gaming industry in a different direction by giving players back control over their games. Gala Games’ mission is to make “blockchain games you’ll actually want to play”. The project wants to change how players can spend hundreds of dollars on in-game assets and countless hours playing the game, all of which could be taken away from them with the click of a button. It plans to reintroduce creative thinking by giving players control of the games and in-game assets with the help of blockchain technology.
GALA Price Analysis
At the time of writing, GALA is ranked the 78th cryptocurrency globally and the current price is US$0.08352. Let’s take a look at the chart below for price analysis:
After setting a low last week, GALA turned into a recovery trend to make the new monthly highs.
The following 78% plummet found support near $0.06439, sweeping under the 40 EMA into the 60.8% retracement level before bouncing to resistance beginning at $0.07920.
This area could continue to provide resistance, possibly causing a retracement to the 9 EMA and 18 EMA near $0.08612, where aggressive bulls might begin bidding. The level near $0.09154, which has confluence with the 40 EMA, may see more interest from bulls loading up for an attempt on probable resistance beginning near $0.09985.
However, if Bitcoin continues its sideways trend, much lower prices could be seen. The old support near $0.06380 could provide at least a short-term bounce. If this level fails, the old highs near $0.05835 might also give support and see the start of a new bullish cycle after retesting these support levels.
2. Balancer (BAL)
Balancer BAL is an automated market maker (AMM) that was developed on the Ethereum blockchain and launched in March 2020. It was able to raise a $3 million seed round by Placeholder and Accomplice. Balancer protocol functions as a self-balancing weighted portfolio, price sensor, and liquidity provider. It allows users to earn profits through its recently introduced token, BAL, by contributing to customisable liquidity pools.
BAL Price Analysis
At the time of writing, BAL is ranked the 414th cryptocurrency globally and the current price is US$7.11. Let’s take a look at the chart below for price analysis:
Since the beginning of Q2, BAL has retraced 70% – a relatively high amount compared to many other altcoins. However, it continues to creep to monthly lows, suggesting that the consolidation period may be near its end.
Aggressive bulls could look for entries in new possible support between $6.90 and $6.78. A dip below this area might also find support near $6.70. However, a daily close near $7.25 brings bullish strength into question.
A sudden drop in the market is likely to test possible support beginning near $7.00. This retracement would create extensions suggesting $6.55-$6.13 as a potential target for bulls.
Currently, extensions indicate a reasonable take-profit zone near $7.36 to $7.63, with $7.95 having the most confluence. If bulls can maintain strength, confluent extensions point to $8.32-$9.00 as a reasonable next target.
3. Alpha Finance (ALPHA)
Alpha Finance Lab ALPHA is a cross-chain DeFi platform that looks to bring Alpha to users across a variety of different blockchains, including Binance Smart Chain (BSC) and Ethereum. The platform aims to produce an ecosystem of DeFi products that address unmet needs in the industry while remaining simple to use and access. ALPHA is the native utility token of the platform. Token holders can earn a share of network fees by staking ALPHA tokens to cover any default loans. Other use cases for the token include liquidity mining and governance voting.
ALPHA Price Analysis
At the time of writing, ALPHA is ranked the 346th cryptocurrency globally and the current price is US$0.1522. Let’s take a look at the chart below for price analysis:
ALPHA‘s 65% rally from its Q1 lows met resistance near $0.5995, before creating a new range for Q2.
After a bearish flip of the 9, 18 and 40 EMAs, the price broke below $0.2110. This area, which has confluence with multiple swing lows and the May monthly open, may provide resistance on any future retest.
The price might find support near $0.1475 to $0.1408 if the overall market’s conditions turn more bullish. This zone has confluence with the 61.8% to 78.6% retracements and accumulation zone for Q1’s rally.
Suppose the price does rally through the probable resistance near the monthly open. In this case, the Q2 swing highs and above, near $0.2561, could provide resistance again. A shift back to more bullish market conditions could push the price to the 50% extension of the summer’s swing, near $0.2834.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Ethereum (ETH)
Ethereum ETH is a decentralised open-source blockchain system that features its own cryptocurrency, Ether. ETH works as a platform for numerous other cryptocurrencies, as well as for the execution of decentralised smart contracts. Ethereum’s own purported goal is to become a global platform for decentralised applications, allowing users from all over the world to write and run software that is resistant to censorship, downtime and fraud.
ETH Price Analysis
At the time of writing, ETH is ranked the 2nd cryptocurrency globally and the current price is US$1,858. Let’s take a look at the chart below for price analysis:
ETH has dropped 53% from its April highs and is now consolidating above many swing lows formed in summer 2021, near $1,700.
An inefficiently traded area could provide the closest near-term resistance. This area is between $1,852 and $1,924.
If the price stays nearby, it’s more likely to serve resistance. This zone is near the June monthly open, contains the 18 EMA, and is above the 9 EMA.
A break through this level may target bears’ stops above the series of swing highs up to $2,164. The weekly chart shows inefficient trading in this area. It overlaps with swing lows from January and February 2022 and is near the 40 EMA.
If the price does rally this high, it could signal the start of a more significant bullish shift. This rally could reach as high as $2,458. March’s lows and inefficient trading on the weekly chart align with this level, yet the price has not indicated that it will go this high.
Many swing lows near $1,700 provide a tempting target for bears. Bulls will likely wait for a stop run below these lows before considering an entry. Inefficient trading on the daily chart from $1,687 to $1,616 could mark the sweep’s bottom.
Bulls should be cautious. A liquidation cascade and the current bearish conditions could cause a more significant drop.
If bears do overpower bulls, the next higher-timeframe support might be near $1,292. This area shows inefficient trading on the weekly chart. It also overlaps with 2017’s cycle high and would sweep most bulls’ stops.
2. Filecoin (FIL)
Filecoin FIL is a decentralised storage system that aims to “store humanity’s most important information”. The project was first described back in 2014 as an incentive layer for the Interplanetary File System (IPFS), a peer-to-peer storage network. Filecoin is an open protocol backed by a blockchain that records commitments made by the network’s participants, with transactions using FIL, the blockchain’s native currency. The blockchain is based on both proof-of-replication and proof-of-spacetime.
FIL Price Analysis
At the time of writing, FIL is ranked the 40th cryptocurrency globally and the current price is US$7.49. Let’s take a look at the chart below for price analysis:
FIL has dropped 77% from its April highs. It’s now 97% down from its March 2021 all-time high.
The price is currently in a small consolidation range. This range’s lower lows suggest bearishness.
A rally near $8.36 could set the stage for another move lower. This level would provide a run on bears’ stops above the last daily swing high and is above the June monthly open.
A break through this level could reach between $9.47 and $10.58. This zone shows inefficient trading on the weekly and daily charts. It also contains the 40 EMA. Relatively equal highs at the bottom of this zone mark bears’ stops. These stops provide bulls with an attractive target.
Bulls should be careful, however. The price is trending lower, and the current market conditions are bearish. Yet a consolidation near $7.63 could provide at least short-term support. This consolidation followed the last drop lower.
Chaotic price action below this level makes precise levels impossible to determine. Still, bulls could look for support near old swing highs formed in late 2019 near $6.74.
Slightly lower, an area near $5.48 could also cause the formation of a bullish setup. This area is around the midpoint of significant consolidation. It’s also near the origin of 2020’s rally.
3. Monero (XMR)
Monero XMR allows transactions to take place privately and with anonymity. Even though it’s commonly thought that BTC can conceal a person’s identity, it’s often easy to trace payments back to their original source because blockchains are transparent. On the other hand, XMR is designed to obscure senders and recipients alike through the use of advanced cryptography. The team behind Monero says privacy and security are their biggest priorities, with ease of use and efficiency coming second. It aims to provide protection to all users irrespective of how technologically competent they are.
XMR Price Analysis
At the time of writing, XMR is ranked the 27th cryptocurrency globally and the current price is US$190.56. Let’s take a look at the chart below for price analysis:
XMR swept 2022’s range high in April, then dropped 60% to sweep its range low. The price is currently near the range’s midpoint.
Since the price is in the middle of its range, there is no clear direction for the next move. Wednesday’s event could generate volatility. This volatility may create better hints for the next significant move’s direction.
The June open, near $197.70, could provide resistance during a retest. This area saw distribution before last week’s downward move. It’s also near the low end of early May’s inefficient trading.
Slightly higher, $212.00 may also provide resistance. Before May’s sharp drop, the price consolidated in this area. It also accumulated here in early April.
A strong rally might reach over early May’s consolidation to $229.80. This rally would run bears’ stops and cross over the 2022 yearly open. The weekly chart also shows an inefficiently traded area around this price.
The price is currently near possible support at $190.10. This area contains the 18 EMA and formed the base of late May’s rally. It should hold if a significant bullish move is next.
If this level breaks, bulls could look for possible support near $155.10. The price may want to run bulls’ stops below May’s swing low while staying above May 12’s swing low. This area saw significant buying in January and February.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Polkadot (DOT)
Polkadot DOT is an open-source sharding multichain protocol that facilitates the cross-chain transfer of any data or asset types, not just tokens, thereby making a wide range of blockchains interoperable with each other. Polkadot’s native DOT token serves three clear purposes: providing network governance and operations, and creating parachains by bonding. The Polkadot protocol connects public and private chains, permissionless networks, oracles and future technologies, allowing these independent blockchains to trustlessly share information and transactions through the Polkadot relay chain.
DOT Price Analysis
At the time of writing, DOT is ranked the 11th cryptocurrency globally and the current price is US$9.83. Let’s take a look at the chart below for price analysis:
DOT has retraced nearly 70% after Q1, showing little sign of interest from buyers.
May’s consolidation at possible support from $9.75 to $5.60 broke down with the rest of the market last month, turning this into likely resistance on future retests. This area now has confluence with the 9 and 18 EMAs.
If market conditions turn and this resistance breaks, an area near the midpoint of Q1 consolidation range, near $12.70, and the monthly high near $13.88 may see profit-taking from bulls.
The first test of possible support near $9.10 has showed some sensitivity. Still, continued bearishness in the market will likely cause a break of this level.
A break of this support might continue to drop to the next possible support near $8.70, running stops under the Q3 2021 swing low. If this level gives support and begins a consolidation forming a bottom, bulls might wait for a wick below to possible support from $8.25 to $7.96.
2. Green Satoshi Token (GST)
Green Satoshi Token GST is the game token of STEPN – a Web 3.0 lifestyle app with inbuilt fun social elements and gamification design. STEPN is the first move-to-earn NFT game where players earn GST tokens by walking, jogging and running outdoors while wearing NFT sneakers. GST tokens can also be used to level up and mint new sneakers, and players can sell/rent their NFT sneakers on the App Marketplace.
GST Price Analysis
At the time of writing, GST is ranked the 356th cryptocurrency globally and the current price is US$0.9380. Let’s take a look at the chart below for price analysis:
GST has seen massive volatility recently as STEPN’s other coin, GMT, went on its parabolic run. GST’s price climbed 150% during April, dropped 80%, and is now retesting possible support.
Above the weekly open, $1.15 to $1.23 could provide resistance. Breaking through this resistance could reach near $1.30, which is approximately the midpoint of last month’s long upper wick. If the price breaks this level, last month’s high near $1.55 provides another reasonable target.
Bulls stepped in on each recent drop below $1.00. This level could provide support again and has confluence with the 18 EMA. A move below this level might see support near the 40 EMA and accumulation on the weekly, near $0.9061.
A more significant move down could target an old inefficiently traded area on the weekly between $0.8735 and $0.8267. The lower portion of this range, under $0.7681, may provide higher-probability support.
3. Zcash (ZEC)
Zcash ZEC is a decentralised cryptocurrency focused on privacy and anonymity. It uses the zk-SNARK zero-knowledge proof technology that allows nodes on the network to verify transactions without revealing any sensitive information about those transactions. Zcash transactions, on the other hand, still have to be relayed via a public blockchain, but unlike pseudonymous cryptocurrencies, ZEC transactions by default do not reveal the sending and receiving addresses or the amount being sent.
ZEC Price Analysis
At the time of writing, ZEC is ranked the 44th cryptocurrency globally and the current price is US$89.85. Let’s take a look at the chart below for price analysis:
ZEC‘s recent bearish flip of the 9, 18 and 40 EMAs may cause bulls to be less aggressive in bidding. However, possible support near $86.47 and $82.96 – between the 41.8% and 58.6% retracements – could see at least a short-term bounce.
Last year’s long-term consolidation suggests that the areas near $129.23 may be more likely to cause a longer-term trend reversal.
Bears are likely to add to their shorts at probable resistance beginning near $120.50, which has confluence with the 18 EMA. A fast break of this resistance could trigger more selling near $136.12, the start of the bearish move.
If an aggressive bullish move does appear, trapped buyers in the probable resistance beginning near $145.32 might provide a ceiling for this impulse.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. Aave (AAVE)
AAVE is a decentralised finance protocol that allows people to lend and borrow crypto. Lenders earn interest by depositing digital assets into specially created liquidity pools. Borrowers can then use their crypto as collateral to take out a flash loan using this liquidity. AAVE provides holders with discounted fees on the platform, and it also serves as a governance token, giving owners a say in the future development of the protocol.
AAVE Price Analysis
At the time of writing, AAVE is ranked the 42nd cryptocurrency globally and the current price is US$111.09. Let’s take a look at the chart below for price analysis:
AAVE‘s strong downtrend that began during early April has retraced most of its Q2 move, recently sweeping lows near $80.25.
A sweep of the relatively equal lows near $104 into possible support around $95.12, combined with bullish market conditions, could be the catalyst that begins to form a bottom. If this level fails, bulls might buy the monthly gap’s low near $88.45.
The swing high near $130 may form resistance to any sudden pumps as holders unload some of their position. A more substantial move might sweep relatively swing highs into probable resistance near $142, potentially reaching up to the new monthly highs near $155 and $160.
2. WOO Network (WOO)
WOO Network is a deep liquidity network connecting traders, exchanges, institutions and DeFi platforms with democratised access to best-in-class liquidity and trading execution at lower or zero cost. WOO Token is used in the network’s CeFi and DeFi products for staking and fee discounts. Presently, a diverse set of products and services interfacing retail, institutions, CeFi and DeFi have been built. WOO X is a zero-fee trading platform providing professional and institutional traders with best-in-class liquidity and execution. It features fully customisable modules for workspace customisation.
WOO Price Analysis
At the time of writing, WOO is ranked the 152nd cryptocurrency globally and the current price is US$0.1656. Let’s take a look at the chart below for price analysis:
WOO has retraced 80% from its Q1 highs and is currently challenging possible support near $0.1520, between the 71.8% and 78.6% retracement levels.
If this level fails to provide support, the 78.6% retracement, near $0.1451, offers a strong draw for shorts with multiple daily swing lows and an inefficient area.
Continued bearish conditions may cause this level to break, running all swing lows since Q1 2021 into the upper portion of an inefficient region starting near $0.1320. Near the midpoint and bottom of this region, lower timeframes show that $0.1280 and $0.1240 could also provide some sensitivity.
The low of early December’s consolidation, near $0.2517, and the 9 EMA may provide some resistance on any retracements. A continued rally – unlikely unless the overall market’s catalysts drastically shift – could reach over the 2021 open to $0.2927 and possibly $0.3400, where the daily chart shows a head-and-shoulders formation.
3. Dusk Network (DUSK)
Dusk Network describes itself as a blockchain for programmable and confidential securities, powered by Zero-Knowledge proofs and a novel Private PoS leader extraction-based consensus protocol. Dusk Network is a privacy blockchain for financial applications. It is a layer-1 blockchain that powers the Confidential Security Contract (XSC) standard and supports native confidential smart contracts.
DUSK Price Analysis
At the time of writing, DUSK is ranked the 394th cryptocurrency globally and the current price is US$0.1375. Let’s take a look at the chart below for price analysis:
DUSK shows signs of a more significant bearish reversal after a failed rally in March. An area near $0.2246, which has confluence with the 9 EMA and the most recent consolidation, is likely to provide resistance.
Possible support under a significant recent swing low and the 61.8% retracement, near $0.1285, may be the next bearish target. If this area fails to provide support, an area near $0.1165 may offer the next support and potentially a longer-term bottom. This area has confluence with the 78.6% retracement and the consolidation preceding the sharpest leg of H2’s rally.
If market conditions become more bullish and resistance near $0.1946 breaks, an area near the last down move’s midpoint, around $0.2357, could provide the next resistance.
A more sustained move upward may retest the 2022 open near $0.2856. However, current market conditions reduce the probability of a significant rally.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
