While the crypto reserve currency Bitcoin (BTC) is not making any lasting progress this week either, many Altcoins are producing new highs for the year. Investors take advantage of Bitcoin’s low volatility and invest widely in the altcoin market.
The overall market tends further north. Many cryptocurrencies can reach a new all-time high this week. In addition to Ethereum and Ethereum Classic (ETC), which were already highlighted in the last analysis, Litecoin (LTC) and Chainlink (LINK) are also rising to new highs and impressively underpin the bullish trend on the crypto market. The temporary price weakness in the second half of April shook off the vast majority of cryptocurrencies for the time being and resumed their rally from the previous months.
Best price development among the top 10 altcoins:
Bitcoin Cash (BCH)
Price analysis based on the value pair BCH / USD on Bittrex
The Bitcoin Cash price ended its long dry spell in April and recently rose significantly northwards. On May 5, BCH’s price exploded, gaining 60 percent within 24 hours. As a result, Bitcoin Cash made a new high for the year at USD 1,603. Although the BCH rate subsequently corrected back to USD 1,267, it has since continued to be bullish and has risen to USD 1,570 on Monday, May 10th. With this, BCH appears to confirm the breakout above the red limiting uptrend line.
Bullish variant (Bitcoin Cash)
In the last hours of trading, Bitcoin Cash tends to be bullish again and is likely to attack the annual high of USD 1,603 soon. If the bulls manage to break the annual high dynamically and the BCH rate can end the day above USD 1,603, a further rise can be expected. As a result, the price is likely to rise to the orange resistance area between USD 1,777 and USD 1,860. In addition to the higher-level 423 Fibonacci extension, there is also an important resistance zone from April 2018. The 461 Fibonacci extension of the upward trend also runs just above it. Only when Bitcoin Cash can sustainably break through the resistance at USD 1,925, the upward movement should pick up further. Initially, the BCH rate is likely to attack the 561 Fibonacci extension at USD 2,313. If Bitcoin Cash overcomes this resist, the red resistance zone between USD 2,490 and USD 2,569 comes into focus.
This area was highly competitive in January 2018. In addition, the 361 Fibonacci extension of the current trend movement can be found here. If there is no clear reversal in this area and the bulls stay on the trigger, a march through to the 661 Fibonacci extension at USD 2,702 is conceivable. If this price mark is broken, further price targets are activated at USD 2,953 and USD 3,093. In particular, the 461 Fibonacci extension of the current movement is a quite achievable goal for Bitcoin Cash in the current altcoin season. If investor interest remains high in the coming trading months, Bitcoin Cash could continue to rise towards its all-time high. Should the BCH rate approach and break through the 561 Fibonacci extension at USD 3,612, a price increase of up to USD 4,200 cannot be ruled out in the second half of the year. The 661 Fibonacci extension of the current upward movement is also just below the all-time high. The area around USD 4,132 should therefore be viewed as the maximum price target.
Bearish variant (Bitcoin Cash)
On the other hand, if the BCH rate does not manage to sustainably break the high for the year at USD 1,603 and turn down before then, the bears will do everything in their power to push the rate back below the red upward trend line. Then the green support area between the weekly low at USD 1,267 and the selling high at USD 1,214 comes back into focus. If this zone is also broken, a relapse to the EMA20 (red) is likely. This sliding support can be found at USD 1,148 and, together with the 261 Fibonacci extension, represents a cross support. If this area does not hold, a correction widening to USD 1,021 is likely. The breakout level from the beginning of the month and the 61’s Fibonacci retracement run at this chart mark.
Here the bulls will try again to stabilize the BCH rate. Should the bears continue to build selling pressure, the range between USD 908 and USD 885 will move into focus. This zone has acted as support and resistance several times in the recent past. The EMA50 (orange) also runs here. If the overall market comes under more pressure and BCH gives up the 885 USD on a sustained basis, a correction expansion into the pink support area is conceivable. In the USD 695 area, in addition to the low of April 23, the outbreak level from mid-April 2021 can be found. For the time being, this area of the chart represents the maximum bearish price target for Bitcoin Cash. In this zone, increased resistance from bullish investors is to be expected.
Indicators (Bitcoin Cash):
The RSI and the MACD indicator both show an active buy signal on a daily basis. The same can be seen with a look at the weekly chart. Since neither of these indicators is in overbought territory, there is still room for an upward trend in the BCH rate.
Worst price development among the top 10 altcoins:
Price analysis based on the value pair UNI / USD on Binance
The price of the DeFi project Uniswap broke upwards from the uptrend channel at the beginning of the week and reached a new all-time high at USD 45.06. The bulls subsequently failed to confirm the outbreak. Uniswap slipped back into the trend channel and was only able to stabilize at USD 38.90 in the EMA20 (red) area.
Bullish variant (uniswap)
For the time being, the price development of UNI is to be assessed further bullish. As long as Uniswap does not drop below USD 38.90 on the daily closing price and at most tests the support at USD 36.82 and bounces upwards, a renewed increase towards the all-time high is likely. If the cross resistance at USD 43.01 is attacked and overcome, an attack on the all-time high at USD 45.06 is to be planned. If UNI can stabilize above this chart mark, the 361 Fibonacci extension at USD 49.79 will move into the focus of investors.
Social tokens – the next big thing?
Investment trend: social tokens
Find out more in the leading magazine for blockchain and digital currencies
(Print and digital)
☑ 1st edition free of charge
☑ Over 70 pages of crypto insights every month
☑ Never miss any more investment opportunities
☑ Free postage to your home
To the crypto compass magazine
If the interest in decentralized financial solutions remains high in the coming months, it is also possible to march through to the 461 Fibonacci extension. This target projection runs at 63.07 percent. Although increased profit-taking is to be expected at this resistance level, a price increase of up to USD 76.35 is realistic in the future. The UNI exchange rate could even march towards USD 89.62 at most in the second half of the year. The 661 Fibonacci extension runs at this maximum price target.
Bearish variant (uniswap)
If, on the other hand, the price of Uniswap falls back below the EMA20 (red) and slides back to the horizontal support at USD 36.82, a short-term directional decision is made. If this chart mark is broken down dynamically, the UNI rate will immediately correct up to USD 34.95. At this cross-support of old highs and the EMA50 (orange) it is decided whether Uniswap should go to the lower edge of the trend channel again or whether the bulls start another attack.
Should this support be undercut sustainably, the next intermediate target is 32.99 USD. If this support level does not hold either, the correction extends to around USD 30.09. Here you can find multiple support from the lower edge of the trend channel, the lower Bollinger band and important turning points of the last few months. If the bears manage to sustainably break this strong support, a relapse into the green zone between USD 28.31 and USD 25.44 can be expected. This area currently represents the maximum bearish price target. As long as the DeFi sector does not break away sustainably, it is unlikely that the price will fall significantly below USD 25.44.
The RSI is currently trending south in the daily chart and threatens to slide into the neutral zone between 45 and 55. This development would cloud the price potential, at least in the short term. This bearish tendency is underpinned by an active sell signal from the MACD indicator. As long as both indicators tend to be weaker, bullish investors should stay on the sidelines for the time being.
Top 10 stability
Bitcoin can only increase slightly in value on a weekly basis, but this does not prevent the vast majority of its pursuers from generating sometimes remarkable price increases. In addition to Dogecoin (DOGE), Cardano (ADA) and Ethereum (ETH) can also convince with a good 30 percent price increase. However, the weekly winner is Bitcoin Cash (BCH) with a 57 percent price increase followed by Litecoin (LTC) with a 48 percent price increase. With Uniswap (UNI), only one cryptocurrency among the top 10 has a discount. Uniswap loses around 4 percent. The ranking of the 10 largest cryptocurrencies is meanwhile being mixed up. Uniswap loses three places and is pushed to 11th place by Bitcoin Cash, Litecoin and Chainlink (LINK) and thus falls out of the top 10 after a long time.
Winner and Loser of the Week
The vast majority of the top 100 altcoins can confirm the stabilization of the previous week and continue to increase in price. Around 70 percent of the top 100 altcoins can generate a price increase on a weekly basis. The list of the 100 largest cryptocurrencies is headed by the relatively unknown Telcoin (TEL) project with a price increase of 320 percent. The project aims to offer a cheap mobile payment solution in Africa. The Bitcoin Fork Bitcoin Diamond (BCD) is also bullish with a price premium of 280 percent.
Ethereum Classic (ETC) also benefits from its dynamic price jump in the first half of the week and increases in value by 184 percent. The fact that around 40 percent of the top 100 altcoins can gain more than 20 percent in a weekly comparison impressively underpins the current bullish view of the altcoin market. The short list of underperformers is topped this week by OKB (OKB) and Hedera Hashgraph (HBAR) with 12 and 10 percent price drops respectively. The Ravencoin (RVN) and Filecoin (FIL) also tend to be weaker and lose around 9 percent of their value on a weekly basis.
Disclaimer: The price estimates presented on this page do not constitute buy or sell recommendations. They are only an assessment of the analyst.
The chart images were created using TradingView created.
USD / EUR exchange rate at the time of going to press: 0.83 euros.
How do I buy Dogecoin? Guide and provider comparison 2021
We explain quickly and easily how you can buy Dogecoin safely and cheaply and what you should pay attention to!
To the guide >>