During a bull market, negative news assimilates quickly and collateral damage is usually limited. Even if the price of XRP has fallen aggressively due to the uncertainty surrounding the outcome of the U.S. Securities and Exchange Commission lawsuit.other altcoins have remained largely untouched.
As the strong rally in Bitcoin (BTC) takes a breather, several altcoins have broken through their resistance levels and are trying to resume their uptrend.. Let’s take a look at some tokens that have risen sharply in the past few days and analyze their charts to see if the rally could stretch any further.
ZIL / USD
Zilliqa (ZIL) rose sharply in 2020. Part of the rally could be attributed to the decentralized funding boom that dominated much of the year.
After the start of the decentralized exchange ZilSwap on October 5 and the non-custody participation on October 14, the token recovered significantly.. These new features enabled the community to participate directly in the smart contract, while previously they had to do so through an outside intermediary.
To date, the municipality has staked out approximately 30.49% of the total outstanding offer and the low eligibility threshold of 10 ZIL It may have attracted more participation from token holders.
During the coronavirus pandemic, most people stayed indoors and spent their time on social media. Therefore, the timing for the launch of Zilliqas SocialPay couldn’t have been better. The platform launched in May and rewards users for sharing Zilliqa updates and announcements on Twitter.
All of these fundamental developments could be the reason for the increase in the number of wallet addresses and monthly transactions in 2020. But can the token continue its superior performance in 2021? Let’s study your diagrams to find out.
The altcoin was in a strong uptrend, rising from an intraday low of $ 0.0296388 on Dec. 12 to an intraday high of $ 0.0996 on Dec. 27, rallying 236% in about two weeks .. These vertical rallies are generally unsustainable in the long run. Regular corrections or consolidations are needed that can cool the upward move and increase the longevity of the trend.
The ZIL / USD pair formed consecutive candlestick patterns on December 28th and today. This indicates a decline in volatility as the bulls and bears decide on the next change of direction.
If the inner day dissipates upwards, the uptrend could resume. Conversely, if the inner daily candle is followed by a sharp downward move, the bears may have gained the upper hand and a deeper correction could be expected.
If the bears cut the price below the 38.2% fib retracement level to $ 0.0728748A decline to the 50% retracement level at $ 0.0646194 and then to the 20-day exponential moving average ($ 0.0570) is possible.
A strong rebound from that support in the sense that positive sentiment will remain intact as traders build up on the dips. Then the bulls will try to resume the uptrend and if they can push the price above $ 0.0996 a rally to $ 0.14 is possible.
Conversely, if the price falls below the 20-day EMA, it suggests that a near-term high may exist as the bulls are unwilling to buy in the dips.
MOON / USD
Terra Protocol’s LUNA appears to have benefited from the increased takeover of existing products and the planned introduction of new products. The payment app Chai recorded more than 2.8 million transactions with a payment volume of more than 90 million US dollars in November.
To capitalize on the strong demand for US stocks, commodities and ETFs, Terra introduced the Mirror Protocol on December 4th, which enables the creation and trading of synthetic assets.. This could continue to attract traders as long as assets remain in a strong trend.
Terra also tries to address the category of product recommendation marketing, which primarily benefits the direct referrer. The protocol envisages the official launch of BuzLink, a marketing tool in February 2021 that will reward the entire chain of referrals after the sale.
LUNA has risen from an intraday low of $ 0.45 on December 24th to an intraday high of $ 0.70 today, up 55% per week. The rising moving averages and the relative strength index (RSI) near the overbought zone suggest that the bulls have the upper hand.
The LUNA / USD pair crossed the overhead resistance of $ 0.57 on Dec 28, completing a lower rounding pattern. This bullish setup has a target of $ 0.86.
However, today’s doji candle pattern with a long wick shows that traders are taking profits at higher levels. This could bring the price down to the breakout level of $ 0.57.
If the pair bounces off this level or even the 20-day EMA ($ 0.51), it suggests that the bulls are in control. A break above USD 0.70 could resume the uptrend.
Contrary to that assumption, this suggests that the recent breakout was a bull trap if the bears sink and hold the price below $ 0.57 and the 20-day EMA.. The trend could favor the bears if the pair breaks below $ 0.45.
Vocational Education / USD
The coronavirus pandemic has made individuals and companies even more aware of the power of digital technology. VeChain (VET) developed the E-HCert application in collaboration with the Mediterranean Hospital of Cyprus to save COVID-19 test records. After its successful implementation, Aretaeio Hospital has also joined the VeChain ecosystem to integrate its laboratory testing services and make the data easily accessible to patients when needed.
The VeChainThor blockchain was recently awarded a 5-star blockchain service certificate by TÜV Saarland, a European certification body.. This could increase confidence in your ecosystem and also improve investor confidence in the vocational training label. In another batch, Grant Thornton Cyprus was exposed as one of the VeChainThor Authority’s masternodes. These developments could open up new possibilities for the future.
Vocational education has bounced back from an intraday low of $ 0.011724 on December 23rd to an intraday high of $ 0.02120375 today, an 80% gain in no time.. The bears are likely to defend the $ 0.02210 level aggressively as it has acted as stiff resistance for the past several months.
However, if the VET / USD pair doesn’t break below $ 0.018, the bulls will make one more attempt to keep the price above $ 0.02210. If successful, the pair will complete a rounded basic pattern with a target of $ 0.0353.
The 20-day EMA ($ 0.0165) has started to appear and the RSI is above 60, suggesting that the bulls have the upper hand.. Even a consolidation between $ 0.018 and $ 0.0221 is a positive sign and increases the possibility of an overhead resistance breakout.
Contrary to this assumption, if the price rejects $ 0.02210 again, it could attract a reserve of earnings from short-term traders, which could cause the price to drop back below the moving average. Such a move could indicate that the pair could consolidate widely for a few days.
The views and opinions expressed are those of the author only and do not necessarily reflect the views of Cointelegraph. Every investment and trade movement carries a risk. You must do your own research when making a decision.
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