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Pico y Pala – Bitcoins, Ethereum, Ripple,…

High 5 cryptocurrencies to observe this week: BTC, ETH, UNI, ATOM, COMP

02/01/2021

top-5-cryptocurrencies-to-watch-this-week:-btc,-eth,-uni,-atom,-comp

Bitcoin worth fell again into the descending triangle however this dip might entice consumers to altcoins and DeFi tokens within the brief time period.

Over the previous seven days, the crypto market noticed an uptick in volatility as Bitcoin (BTC) and Dogecoin (DOGE) worth rallied greater merely due to social media exercise. In conditions like these, merchants who make their funding choices based mostly on feelings are likely to incur heavy losses and that is precisely what occurred final week.

Dogecoin’s (DOGE) current pump and dump brought about a number of new merchants who purchased attributable to FOMO to lose cash inside a short while and this state of affairs is more likely to play out once more as social media teams have determined that collective pumps of altcoins is a brand new methodology of investing.

The same development at the moment appears to be growing in Bitcoin (BTC), which has retraced a big portion of the up-move that was brought about because of the “Elon pump” on Jan. 29. This reveals that barring a number of emotional consumers, {most professional} merchants might have used the rally to lighten their lengthy positions.

Crypto market knowledge day by day view. Supply: Coin360

Stack Funds head of analysis Lennard Neo believes the Bitcoin miners are promoting on rallies and that development might proceed because the Chinese language New 12 months vacation approaches. Neo expects Bitcoin’s worth to stay risky within the close to time period.

Whilst Bitcoin’s worth consolidates, the decentralized finance tokens proceed to surge, which suggests merchants’ focus has shifted to the DeFi area. Let’s analyze the charts of the top-5 cryptocurrencies that would development within the subsequent few days.

BTC/USD

Bitcoin’s lengthy wick on Jan. 29 reveals the bears aggressively bought the rally above the downtrend line of the descending triangle. That was adopted by a Doji candlestick sample on Jan. 30, indicating indecision among the many bulls and the bears.

BTC/USDT day by day chart. Supply: TradingView

The failure of the bulls to push the worth above the downtrend line as we speak has attracted additional promoting. The bears are at the moment making an attempt to maintain the worth beneath the 20-day exponential transferring common ($33,395).

In the event that they succeed, the BTC/USD pair might drop to the 50-day easy transferring common ($30,631) after which to $28,850.

A breakdown and shut beneath $28,850 will full the bearish descending triangle sample that has a goal goal at $15,741. Nonetheless, it’s unlikely to be a straight fall as a result of the bulls will attempt to arrest the decline on the 50% Fibonacci retracement stage at $25,897.42 and once more on the 61.8% retracement at $22,106.73.

This damaging view will invalidate if the worth turns up from the present stage or rebounds off the $28,850 assist and sustains above the downtrend line. Such a transfer will counsel sturdy accumulation at decrease ranges, which may end in an increase to $40,000.

BTC/USDT 4-hour chart. Supply: TradingView

The 4-hour chart reveals the breakout above the downtrend line met with sturdy promoting strain and the worth rapidly retracted again into the triangle.

The failure of the bulls to push the worth again above the downtrend line has attracted promoting and the bears have pulled the worth beneath the 20-EMA. The bulls are at the moment making an attempt to defend the 50-SMA but when this assist additionally cracks, the pair might begin its journey in direction of $28,850.

This damaging view will invalidate if the worth rebounds off the present stage and rises above the downtrend line. Such a transfer may push the worth to $38,519.63.

ETH/USD

Ether (ETH) broke above the $1,400 resistance on three earlier events however the bulls couldn’t maintain the breakout, which reveals profit-booking at greater ranges. Nonetheless, the optimistic factor is that the bulls haven’t given up a lot floor up to now few days. This reveals the bulls are accumulating on dips.

ETH/USDT day by day chart. Supply: TradingView

The ETH/USD pair had shaped a Doji candlestick sample on Jan. 30, indicating uncertainty. That indecision has resolved to the draw back as we speak and the pair might now drop to the 20-day EMA ($1,253), which is more likely to act as sturdy assist.

A bounce off the assist will counsel the sentiment stays bullish and merchants are shopping for on dips. The bulls will then attempt to resume the uptrend. If the bulls can drive the worth above the $1,400 to $1,473.096 resistance zone, the pair may rally to $1,675 after which to $2,000.

This bullish view will invalidate if the bears sink the worth beneath the 20-day EMA and the uptrend line. In such a case, the pair might drop to the 50-day SMA ($990).

ETH/USDT 4-hour chart. Supply: TradingView

The 4-hour chart reveals the formation of an ascending triangle sample, which is able to full on a breakout and shut above $1,440. This bullish setup has a goal goal of $1,768.

Nonetheless, the transferring averages have flattened out and the relative energy index (RSI) is just under the midpoint, which suggests a steadiness between provide and demand.

If the bears sink the worth beneath the assist line of the triangle, it would invalidate the sample. The following assist on the draw back is the uptrend line after which $1,050.

UNI/USD

Uniswap (UNI) is in a powerful uptrend that has pushed the RSI deep into the overbought territory. Whereas the RSI can stay overbought for an prolonged interval, merchants must be cautious as corrections from overbought ranges may be swift and sharp.

UNI/USDT day by day chart. Supply: TradingView

The primary assist on the draw back is the 38.2% Fibonacci retracement stage at $15.3963. If the worth rebounds off this stage, it would counsel the bulls are aggressively shopping for the dips and should not ready for a deeper correction to enter.

If the bulls can push the worth above $20.5612, the UNI/USD pair may rally to $28 after which to $32. Each transferring averages are rising and the RSI is above 79, indicating the bulls are in management.

Nonetheless, if the correction deepens beneath $15.3963, the following assist is on the 20-day EMA ($11.85), which is close to the 61.8% Fibonacci retracement stage at $12.2054. A deeper fall often delays the beginning of the following leg of the uptrend.

UNI/USDT 4-hour chart. Supply: TradingView

The 4-hour chart reveals the pair has made a flag sample. If the bulls can push the worth above the flag, the uptrend may resume and the pair might rally to $22 after which to $25.

One other risk is that the pair continues to appropriate and drop to the 20-EMA. If the worth rebounds off this assist, it would counsel the sentiment stays optimistic and the bulls are shopping for on minor dips.

In the course of the present leg of the uptrend, the worth has repeatedly taken assist on the 20-EMA. Subsequently, a break beneath the 20-EMA will counsel the bullish sentiment could also be waning and will end in a drop to $15.3963 after which to the 50-SMA.

ATOM/USD

Cosmos (ATOM) has shaped a cup and deal with sample that may full on a breakout and shut above $8.877. If the bulls can propel the worth above the $10.20 resistance, the uptrend may start.

ATOM/USDT day by day chart. Supply: TradingView

The primary goal on the upside is $11.151 and the following stage to be careful for is $13.554. The rising transferring averages and the RSI’s bounce from the midpoint counsel the bulls have the higher hand.

If the bears sink the worth beneath the 20-day EMA ($7.65), the ATOM/USD pair might stay range-bound between $6.603 and $8.877 for a number of extra days.

The bullish assumption might be negated if the bears sink and maintain the worth beneath the 50-day SMA ($6.4). Such a transfer might pull the worth right down to $5.50 after which to $4.50.

ATOM/USDT 4-hour chart. Supply: TradingView

The 4-hour chart reveals the bulls have pushed the worth above the downtrend line of the descending triangle. This has invalidated the bearish setup however the bulls are struggling to thrust the worth above the $8.877 resistance.

The flat transferring averages and the RSI close to the midpoint counsel the pair might stay range-bound between $8.877 and $6.726 for some extra time. If the bulls can propel the worth above $8.877, the pair may rise to $10.20, whereas a break beneath $6.726 will counsel the bears are attempting to make a comeback.

COMP/USD

Compound (COMP) accomplished a rounding backside sample on Jan. 29 when it broke and closed above the $272.61 resistance. This reversal setup has a goal goal of $464.60.

COMP/USDT day by day chart. Supply: TradingView

The upsloping transferring averages and the RSI close to the overbought territory counsel bulls are in command. After the breakout from a sample, the worth often retraces and retests the breakout stage, but when the development could be very sturdy, it solely consolidates or enters a minor correction earlier than resuming the up-move.

If the COMP/USD pair rebounds off $272.61, it would counsel the bulls have flipped the earlier resistance into assist. That would then act as a launchpad for the following leg of the uptrend.

This optimistic view will invalidate if the bears sink and maintain the worth beneath $272.61. Such a transfer will point out profit-booking at greater ranges and an absence of shopping for on dips.

COMP/USDT 4-hour chart. Supply: TradingView

The 4-hour chart reveals merchants booked earnings close to $340 however the correction was short-lived as the worth turned up from $304.84. If the bulls can now drive the worth above $340, the pair might rally to $405.

Then again, if the worth once more turns down from $340, the pair might drop to the 20-EMA. If the worth rebounds off this assist, the bulls will once more attempt to resume the up-move, but when the bears sink the pair beneath the 20-day EMA, a drop to $272.61 might be on the playing cards.

The views and opinions expressed listed here are solely these of the writer and don’t essentially mirror the views of Cointelegraph. Each funding and buying and selling transfer entails danger, it is best to conduct your individual analysis when making a call.

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