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The cryptocurrency market has now calmed down after intense buying activity in January. This has caused many cryptocurrencies to behave marginally or retrace. However, this strengthening period has revived the bullish trend and created new opportunities for investors. Today we are going to review the best altcoins that have the potential for substantial growth in 2023. These altcoins are: Ripple, Chainlink and Atom.
Ripple price shows the formation of a flag pattern in the daily time frame. Therefore, the current correction is part of the desired pattern that promises to revive the upward momentum.
This partial retracement is guided by two parallel downward trend lines and has increased the price by 11.45% in the last three weeks.
Under the influence of the flag pattern, Ripple will most likely have an upward breakout. A daily candle above the upper trend line will increase buying pressure and signal a continuation of the recovery.
Therefore, in the ideal bullish scenario, the rally after the breakout could push Ripple up to $0.50.
The price of China Link is rising within an ascending channel. This pattern has led a steady upward trend in the short term. The current situation shows the possibility of a breakdown and a sharp drop from the support trend line.
A break below this trend line will cause a minor correction. With the continuation of the sale, there is a possibility of a 22% drop to the range of $5.5 to $5.42.
This level of support has controlled the price for the past nine months and could be a good opportunity for traders. Considering the rally limited to the current range, the price of China Link may touch the ceiling of $9.4.
In the last three months, the price action of Cosmos has shown the formation of a cup and handle pattern on the daily time frame. The current correction in price has formed part of this pattern, which indicates a loss of bullish momentum.
The current correction may continue to the $13 or $11.2 support. This pullback should stabilize the upward trend of the atomic price and attract more buyers to the market.
Therefore, buyers can buy at the said support or wait until the break below the neckline at $15.46 for further confirmation. In a bullish scenario, the neckline can guide the price to $22.6.
This week, Ripple made another attempt to break through the $0.42 resistance but was unsuccessful. With the formation of a ceiling near $0.4204, the price started to fall.
Moving below the support of $0.4120 brought the price into a short-term bearish range and tested the support of $0.3860.
A floor was formed near $0.3861 and Ripple is now strengthening. The price is trading below $0.40 and the 100 (4-hour) simple moving average. The first resistance is around the $0.4040 range and close to the 50% Fibonacci retracement level in the downward movement from $0.4204 to $0.3861.
The next important resistance is near the $0.412 level. A bearish trend line with resistance of $0.4110 can also be seen on the 4-hour chart.
This trend line is near the 61.8% Fibonacci retracement level. A successful break above the 0.412 resistance could push Ripple up to the $0.42 resistance. A further increase could lead the price to the $0.45 level.
Support breakdown
If Ripple fails to break through the $0.412 resistance area, further downside is likely. The first support below is near the $0.3860 level.
The first important support is located near $0.38, the breaking of which will reduce the price further. In this case, the price may drop below the $0.35 support.
Among the technical indicators, Makadi is gaining momentum in the bearish range.
The digital currency market has been in the red for two days, and Bitcoin and Ethereum have also dropped in price. However, in the last 7 days, Polkadat has made significant progress and has grown by 15%.
Although the price change for 1 hour and 1 day is negative, considering the progress and activities of this network, there is a high probability of improving the conditions.
From the beginning of this month until today, the price of this token has been maintained between $7.83 and $6.05. This shows a gradual price improvement compared to the beginning of 2023. This growth has taken place as a result of the increase in the volume of transactions and activities of traders in the network.
At the same time, increased scalability and network efficiency have helped to increase prices. This can be seen from the continuous growth of the number of developers on this platform.
The general sentiment of the market is also an important factor in attracting investors and the growth of the token price. The fear and greed index is now at the level of 59, which shows the interest of investors to enter the world of digital currency. Also, this index has been out of the fear zone since January.
Polkadat is trading in the red range today and has experienced a 7.25% drop compared to yesterday. However, in the past one week, the price has recorded $7.54 as the highest rate of the week. The RSI indicator is at the level of 57, which is neutral. This indicator is moving downward, which indicates the possibility of a downward change in the short term. The support levels are $6.67, $6.90, and $7.08, and the upcoming resistances are $7.49, $7.72, and $7.90.
DOT price is trading above the 50-day and 200-day simple moving averages, indicating bullish sentiment and a recovery signal despite today’s decline. The MACD indicator, above the signal line, shows bullish pressure.
If the buyers persist, the Polkadat price will advance above the resistance of $7.49 to the support of $7.08 before starting a rally.
