Market leaders Bitcoin and Ethereum are currently trading in a consolidation phase, with the latter managing to recover some lost ground. Meanwhile, DOT and DOT were among the few winners of the top 10 altcoins. Additionally, the USDC, USDT, and BUSD stablecoins showed some price appreciation.
Overall market sentiments are positive, but plenty of downside pressures are still looming. The August 27 crypto selloff saw most cryptocurrencies lose a large chunk of their value. However, some coins have recovered and are currently consolidating ahead of the next move. For example, ADA, DOGE, and Polkadot are some of the top ten crypto assets that have seen gains in the last 24 hours.
Since then, the market has struggled to gain traction. However, Bitcoin’s recent bullish price action might just be what the market needs for a relief rally.
The top crypto performers of the week are Filecoin which gained 12.25% followed by Axie Infinity which gained 8.96%. The losers for the week are 1inch Network and Lido DAO which fell by 5.81 and 5.31% respectively.
Weekly Crypto Price Analysis: A Breakthrough In Sight?
Bitcoin, the world’s largest cryptocurrency by market cap, is currently trading at $19,805.02. The king coin has been consolidating for some time in a descending wedge pattern and looks set for a breakout. However, the question remains as to which direction the breakout will occur. The currency’s short-term momentum is strongly negative, with an RSI below 30.
BTC/USD price chart, Source: TradingView
On the 4-hour chart, we can see that BTC has formed a descending triangle. The pattern is a bearish reversal pattern and is usually seen at the end of an uptrend. The pattern is created when price action forms a lower high and a series of lower lows. As the name suggests, a breakout of this pattern will occur in the downward direction.
The MACD indicator is currently in bearish territory and is falling. The RSI indicator, on the other hand, is close to oversold levels and may experience a reversal soon.
If the price breaks out of the descending triangle on the downside, the next level of support will be found at $18,600. The upside breakout, on the other hand, the biggest crypto could see the price rally towards the $21,000 level.
Ethereum, the second-largest crypto by market cap, is currently trading at $15,548.57, down 2.73% in the last 24 hours. The coin faced a lot of selling pressure and even fell below the $15,000 level. The short-term momentum of the coin is strongly bearish with an RSI below 30.
On August 30, Ether fell below $1,500. However, the bulls have been active enough to buy lower levels, which is a positive sign. Since September 3, 2022, buyers have been trying to restore Ether above the moving averages. Most technical indicators signal a short-term downtrend.
The MACD indicator is currently in bearish territory and is falling. The RSI indicator, on the other hand, is close to oversold levels and may experience a reversal soon. The current resistance and support levels are $1,643.18 and $1,542.30 respectively.
ETH/USD price chart, source:TradingView
Ethereum started to retrace again retesting the previous swing high resistance as support. If this level holds, we could see a move towards the $1,700 level. On the other hand, a break below $1,500 could see the price drop towards the $1,400 level. We can expect Ethereum to continue its rally early next week and potentially break above the current all-time high at $2,000.
Ripple’s XRP price analysis reveals that Ripple has started to rally over the past few hours as the price reached $0.3293. Bullish momentum begins to build after XRP opened the weekly chart with a huge red candlestick. Furthermore, the coin is now trading above the 20- and 50-day SMAs, which is a bullish sign for the crypto.
XRP/USD price chart, source:TradingView
The MACD indicator is currently in bearish territory but is starting to flatten out. The RSI indicator, on the other hand, is close to oversold levels and may experience a reversal soon. The current resistance and support levels are $0.3360 and $0.3250 respectively.
The DOT/USD pair has been positive for the past 24 hours. Over the past week, DOT has been making higher highs and lower lows. The cryptocurrency is currently trading at $7.24 after opening the trading session at an intraday high of $7.55. The DOT witnessed a retracement over the weekend as it dipped below the $6.50 level.
As of this writing, Polkadot is trading sideways as it attempts to breach the $7.50 level. Technical indicators are signaling a short-term bullish trend. Meanwhile, the Relative Strength Index indicator is currently stable at 52. The coin could break out in either direction depending on market conditions.
DOT/USD price chart, Source:TradingView
The current resistance and support levels are $7.50 and $7.00 respectively. If the bulls can push the price above the $7.50 level, we could see the crypto move towards the $8.00 level. On the other hand, a break below $7.00 could cause the DOT to decline towards the $6.50 level.
The VET/USD pair formed a descending triangle as it attempted to break above the $0.02487 level. The price has been making lower highs and higher lows in recent days. Vechain is currently trading at $0.02416, down 1.13% in the last 24 hours.
VET/USD price chart, Source:TradingView
The price is below all moving averages, which is a bearish sign. The MACD indicator is also in bearish territory and is falling. The RSI line is currently close to oversold levels but is not yet in oversold territory. The current resistance and support levels are $0.02487 and $0.02334 respectively.
If the bulls can push the price above the $0.02487 level, we might see a move towards the $0.02600 level. On the other hand, a break below $0.02334 could cause prices to decline towards the $0.02250 level.
In conclusion, the best coins should see some short-term price volatility as they attempt to make a move in either direction. Market conditions will dictate the direction of the breakout. The general market may see some consolidation in the coming days as bulls and bears battle for control. Nonetheless, we can expect positive price action early next week as buyers attempt to drive prices higher.
Disclaimer. The information provided is not commercial advice. Cryptopolitan.com assumes no responsibility for investments made on the basis of the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.