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5 Altcoins That Could Breakout If Bitcoin Price Remains Bullish

Published on

January 15, 2023
Read Time:7 Minute, 49 Second

The cryptocurrency markets have made a powerful comeback prior to now few days. Based on CoinMarketCap knowledge, the overall crypto market cap rose to $995 billion on Jan. 14. Bitcoin (BTC) led the restoration from the entrance, blasting previous $21,000 on Jan. 14.

After the sharp rally, the massive query is whether or not the bounce is a useless blip that represents a promoting alternative, or the beginning of a brand new uptrend. It's tough to foretell with certainty whether or not a macro backside has been reached, however the charts recommend a bottoming course of has begun.

Each day crypto market knowledge view. Supply: Coin360

Impartial market analyst HornHairs highlighted that the bear market lasted 364 days from 2017 to 2018 and once more lasted 364 days from 2021 to the present market backside. One other fascinating similarity is that the 2015-2017 bull market and the 2018-2021 bull section each lasted 1,064 days. If historical past repeats itself, then so be it Bitcoin could create the next spike in about 1,000 days.

Bitcoin's short-term value motion has been thrilling for bulls, however are there any altcoins exhibiting related power within the short-term?

Let's research the charts to seek out out.

BTC/USDT

Bitcoin rocketed to $21,258 on Jan. 13, pushing the Relative Energy Index (RSI) above 89, suggesting the rally was overheating within the short-term. The bears are anticipated to mount robust defenses at $21,500.

BTC/USDT day by day chart. Supply: TradingView

Generally when a development reversal happens, the RSI can keep within the overbought territory for a very long time. If the BTC/USDT pair doesn't lose a lot floor from the present ranges, it means that merchants are in no hurry to guide features as they anticipate additional will increase.

If patrons push the value above $21,500, the pair might rally to $22,800. This stage, in flip, can act as a serious impediment.

On the draw back, the bears want to pull the value under the psychological $20,000 stage to dampen the bullish momentum. The pair might then drop to the $18,388 breakout stage.

BTC/USDT 4 hour chart. Supply: TradingView

The 4-hour chart exhibits the bears guarding the $21,250 stage, however a constructive signal is that the bulls haven't allowed the value to dip again under $20,000. Consumers would possibly revisit the overhead barrier at $21,258 and resume the uptrend.

Quite the opposite, a reversal down from $21,250 might tempt short-term merchants to guide earnings. That would sink the pair under the 20 EMA. The bears could attempt to capitalize on this case and drag the pair to $18,388.

LTC/USDT

Litecoin (LTC) broke the overhead resistance at $85 on Jan. 12, signaling the beginning of a brand new uptrend. There isn't a main hurdle till the value hits $107.

LTC/USDT day by day chart. Supply: TradingView

On the upside, the bulls will attempt to vigorously defend the zone between $85 and the 20-day EMA ($79). If the value bounces again from this zone, the LTC/USDT pair would possibly resume its uptrend and attain $107.

The rising transferring averages are signaling a bonus for bulls, however the RSI above 77 suggests {that a} minor pullback or consolidation is probably going.

If the bears need to acquire the higher hand, they should pull the value under the $75 breakout stage. That would give option to a breakdown to $61.

LTC/USDT 4 hour chart. Supply: TradingView

The 4-hour chart exhibits that the pair is in an uptrend and the bulls are fiercely defending the 20-EMA. If patrons push the value above $92, the pair might acquire momentum and rally to the psychological $100 stage.

Conversely, if the value turns down and falls under the 20-EMA, it means that short-term merchants could guide earnings. That would pull the value as much as the 50-SMA. It is a key stage for the bulls to defend as a break under it might enhance the danger of a drop to $80 after which $75.

OKB/USDT

Whereas a number of cryptocurrencies try to backside, OKB (OKB) has began a contemporary uptrend. Often, a great technique is to purchase the dips in an uptrend by protecting an applicable cease loss.

OKB/USDT day by day chart. Supply: TradingView

The rising transferring averages and the RSI within the overbought territory recommend that the bulls are in cost, however a consolidation or correction within the close to time period can't be dominated out. The OKB/USDT pair might drop to the 20-day EMA ($27.64), which is more likely to act as robust assist.

If the value bounces off this stage, the pair might contact the robust overhead barrier at $34.18. Breaking this stage is perhaps an uphill job, but when the bulls handle to achieve it, the pair might rally to $42.

If bears need to halt the upward motion, they should drag the value under the 20-day EMA. In the event that they succeed, the pair might crash to the 50-day SMA ($24.05).

OKB/USDT 4 hour chart. Supply: TradingView

The 4-hour chart exhibits that the uptrend met robust promoting close to $33 and the pair might right to the 20-EMA. If the value bounces off this assist, it's going to point out that the bulls will purchase on each small dip. That would push the value to $34.18.

Conversely, if the value breaks under the 20-EMA, the correction might deepen in the direction of the 50-SMA. If the value bounces off this stage, the bulls will strive once more to proceed the upward transfer however would possibly face resistance at $31 and close to $33 once more.

Associated: Bitcoin fails to persuade at $12,000 “nonetheless possible” that backside is in

BIT/USDT

BitDAO (BIT) rallied sharply from $0.26 on Dec 27 to $0.53 on Jan 14, indicating robust bullish momentum. Moreover, the slight pullback on Jan. 15 suggests merchants are slower to exit positions as they anticipate the upside to proceed.

BIT/USDT day by day chart. Supply: TradingView

If the bulls propel the value above the overhead resistance at $0.54, the BIT/USDT pair might proceed its upward transfer. The following resistance on the upside is $0.68. The bears might current a powerful problem at this stage as a break and shut above it might open the doorways for a possible rally to $0.80.

On the upside, preliminary assist lies at $0.46 after which the 20-day EMA ($0.42). A robust bounce off both assist suggests merchants are shopping for on the dips. This might result in a retest of $0.54. The bears might take management if the value sinks under the 20-day EMA.

BIT/USDT 4 hour chart. Supply: TradingView

The 4-hour chart exhibits the pair dealing with resistance close to $0.54, however the bulls are more likely to defend the drop to the 20-EMA. A robust bounce from this stage suggests the bulls are shopping for on slight dips. That would enhance the prospects for a break above $0.54.

Alternatively, a number of short-term merchants can guide earnings if the value turns down and falls under the 20-EMA. That would pull the pair as much as the 50-SMA. If this stage can be damaged, the pair might drop to $0.41.

FTM/USDT

Fantom (FTM) broke above the downtrend line on January ninth, signaling a attainable development reversal. The breakout was adopted by a pointy rally that pushed the RSI to closely overbought ranges.

FTM/USDT day by day chart. Supply: TradingView

Vertical rallies aren't sustainable, so a pullback was to be anticipated. The FTM/USDT pair might drop to the $0.30 38.2% Fibonacci retracement stage after which the $0.28 50% retracement stage.

When the value breaks out of this zone, it signifies a change in sentiment from promoting on rallies to purchasing on dips. The bulls will then try to proceed the restoration and propel the pair above $0.36. In the event that they do, the pair might rally to $0.42.

In distinction, a break and shut under $0.28 might pull the pair to the 61.8% retracement stage of $0.26. A deeper dip might break the bullish momentum and enhance the opportunity of a spread construct.

FTM/USDT 4 hour chart. Supply: TradingView

Each the transferring averages are sloping up and the RSI is in constructive territory, indicating a bonus for patrons. The pair might slide all the way down to the 20-EMA, which is more likely to act as a powerful assist. If the value bounces off this stage, the bulls will attempt to proceed the upward motion.

Quite the opposite, when the value falls under the 20-EMA, it means that merchants are aggressively reserving earnings after the current rally. The pair might then prolong its correction to the 50-SMA.

The views, ideas, and opinions expressed herein are solely these of the authors and don't essentially replicate or symbolize the views and opinions of Cointelegraph.

This text doesn't comprise any funding recommendation or advice. Each funding and buying and selling transfer includes threat and readers ought to do their very own analysis when making a choice.

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Azeez Mustafa
Azeez began his FinTech career path in 2008 after growing interest and intrigue about market wizards and how they managed to become victorious on the battlefield of the financial world. After a decade of learning, reading and training the ins and outs of the industry, he’s now a sought after trading professional, technical/currency analyst and funds manager – as well as an author.
Last Updated : January 15, 2023
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