The Bitcoin price has been rapidly decreasing since March 7. While this decrease has also been present in altcoins, some of them have managed to maintain their value, and even post gains, in their BTC pairs.
Several altcoins broke out from their long-term resistance areas in early February, and the majority of them increased so rapidly that they did not return to their pre-breakout levels at all. The recent BTC decrease has caused some to do just that, with the breakout level acting as support. Full-time trader @CryptoMichNL tweeted an image with four such charts :
- Ontology (ONT)
- Matic Network (MATIC)
- Algorand (ALGO)
- Band Protocol(BAND)
He stated that all of them have been initiating bounces at some very interesting levels, along with BTC.
Just some coins bouncing from interesting levels here.
Similar with $BTC. pic.twitter.com/ile2XEUgXh
— Crypto Michaël (@CryptoMichNL) March 9, 2020
Let’s take a closer look at each of them individually and determine where they might head to next.
ONT
Since July 2019, the ONT price has been trading in a range between 7,000 and 10,500 satoshis, having validated both the support and resistance areas several times.
At the time of writing, the price had reached the support area of the channel and increased slightly. There is a significant bullish divergence developing in the weekly RSI that indicates that the price will move upward.
However, the preceding two bounces have created lower highs, indicative of weakness. Therefore, we cannot state with certainty that the price will increase all the way to the resistance area or break out. However, it seems certain to move toward the middle of the range at 8,800 satoshis.
Conclusions
- The price is trading in a range between 7,000 and 10,500 satoshis.
- The weekly RSI is bullish.
MATIC
The MATIC price has been following an ascending support line since Aug. 5, 2019. A very important price level is found at 250 satoshis, an area that acted as resistance from December until March 3, 2020, when the price finally broke out.
The price has returned to validate this level as support and bounced upward on March 10. The most likely movement from here would be a test of the 310 satoshi resistance area, also the 0.382 fib level of the entire previous decrease.
Conclusions
- The price is following an ascending support line
- There is support and resistance at 250 and 310 satoshis, respectively.
ALGO
The ALGO price has found support above its 200-day moving average (MA) at 3,250 satoshis. This is the same level that initiated an upward move on Feb. 17.
The closest resistance area is found at 3,850 satoshis, and it looks as if the price will get there. However, the daily RSI has fallen below 50 and could get rejected by the line if the price also gets rejected by the resistance area.
Conclusions
- The price is trading in a range of between 3,250 and 3,850 satoshis.
- It has found support above the 200-day MA.
BAND
The BAND price has found support above 4,450 satoshis, which is also the previous breakout level. The price bounced inside this support area yesterday and has followed that up with the creation of a bullish engulfing candlestick.
The next resistance area is found at 5,800 satoshis. As long as the price stays above the previously mentioned support area and the daily RSI is above 50, we are expecting the price to reach the resistance area and possibly make a breakout attempt.
Conclusions
- There is support at 4,450 satoshis.
- There is resistance at 5,800 satoshis.
The post 4 Altcoins Showing Strength During Bitcoin’s Recent Decrease appeared first on BeInCrypto.
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