A bottom is imminent for BTC as it is aiming to reverse its downtrend while Bit IQ, LINK, ONE, and FLOW are indicating early signs of early accumulation.
On the 29th of January, the relief rally of bitcoin rose high above $38,500 even though the higher levels have been difficult for the bulls to sustain. bulls are striving to maintain. Therefore, analysts advised traders to watch it and not do so much reading into any probable weekend rallies when there is a shut down of the traditional markets because it might probably be a pitfall.
However, a “near-term relief bounce” is likely to happen according to an explanation in a recent report from the trading suite Decentrader. It was also emphasized in the report that “serious buyers” were coming on board and that it could likely bring about a possible change in a more increased period from bearish to bullish.
The leading 5 cryptocurrencies that might experience a quick recovery are;
BTC/USDT
A resistance zone in the region of $37,332.70 and $39,600 has been reached by the relief rally of Bitcoin’s relief rally. It is also important for the bears to strongly defend this zone because of the presence of the 20-day exponential moving average (EMA) which is at $39,475.
In the case that the sellers are strong enough to pull the price down below resista6 at $37,332.70, a low dip to $35,507.01 of the BTC/USDT pair could occur and thereafter retest the intraday low formed on the 24th of January at $32,917.17. A successful close and break below the support might drop the price to $30,000.
In contrast, if the price breaks above the market price of $39,600, the downtrend might be coming to an end. Price could then push up to $43,505 and then $48,833 which is the 200-day simple moving average.
LINK/USDT
The range bound for Chainlink (LINK) has been between $15 and $36 for many months. Various attempts to break out of the range have not been successful, implying that there is lots of buying pressure from bulls at the support and high selling pressure at the resistance from bears. In the past few days, the bears have tried pulling down prices below $15 but all to no avail as the lower levels could not be sustained. Aggressive traders might have been attracted by this action and have been striving to raise the price above $18.91, the 20-day EMA.
If this is achieved, there could be a rise in its price to $24.75 for the pair. Otherwise, a new downtrend might begin as bears try to push down to $15 the 20-day EMA.
HNT/USDT
On the 21st of January, Helium (HNT) dropped below $26.67 during the 200-day SMA but the lower levels could not be sustained by the bears. The dip was aggressively purchased to $20 by the bulls and raised the price beyond the 200-day Simple Moving Average on the 26th of January.
HNT/USDT 4-hour chart indicates that the bears are somewhat losing control because the price rose from the downtrend line
The bears attempted to drop prices far below the significant 20 day EMA but there is a strong defense coming from the bulls at support.
FLOW/USDT
For the past few months, there has been a strong downtrend for Flow (FLOW). On the 22nd of January, the bears successfully pulled the price below $6 which is strong support but they haven’t been able to capitalize on it. Thereforeindicatesg lower levels of accumulation
On the 30th of January, the bulls raised the price above $6.41. If the bulls maintain the price above the level of resistance, it will suggest a possible alteration in the trend.
ONE/USDT
A wide price region of $0.16 and $0.36 has been the trading range of Harmony (ONE). An attempt by the bears to plummet the price below the recognized range has been strongly rejected by the bulls.
There has been a rebound from the support and the bulls will attempt to push the pair above $0.19, the 200-day SMA. Once they prevail, the pair could rise above $0.23at the 20-day EMA where bears may once again cause stringent defiance. Oppositely, if the price declines from the recent level, the bears will try to pull the pair below $0.16. If they succeed, there will be a signal of a new downtrend.
The 4-hour chart predicts the form of a symmetrical triangle pattern. The 20-EMA has flattened out and the RSI is merely below the midpoint suggesting an equilibrium between supply and demand.
If the price rises and sustains above the triangle, the uncertainty could tilt in favor of the bulls. That could imply a possible trend reversal and the ONE/USDT pair may rise to $0.22 and later to $0.26.