The overall market is inconsistent this week. While some altcoins like Solana (SOL) and Terra (LUNA) continue to rise in value, the majority of the top 10 altcoins are indecisively trending sideways.
After the entire crypto market had recovered across the board in the last four weeks of trading, the majority of the market as a whole remained in wait. The previous week’s winners Solana (SOL) and Terra (LUNA), who can outperform the rest of the big altcoins, stand out again. Cardano (ADA) is also pushing itself to new all-time highs in view of the introduction of smart contracts. In addition, the area of non-fungible tokens (NFT) is currently attracting great interest from the media and crypto investors alike.
Best price development among the top 10 altcoins:
Price analysis based on the value pair SOL / USD on Binance.
Institutional investors are also increasingly showing interest in Solana and are pushing the SOL price above the psychological USD 100 mark on Monday morning. Solana’s entire ecosystem is currently benefiting, including Raydium (RAY) and Serum (SRM) have also recently been bullish.
Bullish variant (Solana)
After Solana generated a new all-time high on Saturday, August 28th, there has been slight profit-taking in the past 24 hours. At the time of writing this analysis, the SOL rate stands at 93.7x percentage points. At the beginning of the week, Solana was corrected close to the support level mentioned in the previous week’s analysis at USD 64.06 before the bulls built up buying pressure again. If the bulls manage to stabilize the SOL price above USD 79.00 and sustainably break through the USD 97.60 area, the next important price target at USD 121.79 will come into focus. Here you can find the 261 Fibonacci extension of the ongoing dynamic upward trend.
Investors will want to reap further profits here. Should Solana get stuck above USD 100 in the medium term and also overcome USD 121.79 per day’s closing price, there is upside potential in the direction of USD 160.94. Here the projection target runs in the form of the 361 Fibonacci extension. Depending on the development of other crypto projects around Solana, the price could even reach the 461 Fibonacci extension at USD 200. If the competition succeeds in chasing away users in the long term, even increases of up to USD 239.23 and a maximum of USD 278.38 cannot be ruled out. These longer-term price targets are derived from the 561 and 661 Fibonacci extensions.
Bearish variant (Solana)
After the short and rule-compliant consolidation within a bull flag at the beginning of the week, the bears once again lost their courage. Although the SOL course is currently taking a breather, as long as the support area around USD 79 is not broken at the daily closing rate, the bulls have the reins firmly in hand. Only when the sellers manage to break through the EMA20 (red) at USD 70.85 will price targets be activated at USD 64.06 (supertrend) and USD 58.61. At this price level, the old all-time high of May 19, strong resistance is to be expected again. A daily closing price below this strong support would, however, cloud the chart image for a short time. A price correction to USD 52.83 or even USD 50.07 would then be possible. If Solana falls back into the red support area, a relapse into the area between USD 47.89 and USD 43.49 is also conceivable.
This is where the 61’s Fibonacci retracement can be found. In addition, this area represents the breakout level of the current breakout movement. Should this support also be sustained below, fall back to USD 39.07. If this support mark is also abandoned, the correction expands to at least USD 34.26. In addition to the 61 Fibonacci retracement, the EMA200 (blue) and MA200 (green) are currently also running at this price mark. The current chart situation identifies the area around USD 34 as the maximum bearish price target. Investors shouldn’t lapse into FOMO, but should plan setbacks in the range between USD 70 and USD 80 for initial purchases.
The RSI as well as the MACD indicator were able to avert a sell signal for the time being and continue to trend bullish. However, the RSI is showing its first slight bearish divergence. In view of a value of 80, this is not surprising either.
Worst price development among the top 10 altcoins:
Price analysis based on the value pair DOGE / USD on Binance
Dogecoin is also at the bottom of the top 10 Altcoins this week. After the DOGE rate already weakened a lot last week, it recently fell back to USD 0.264 before a slight countermovement to currently 0.282 began. This meant that the EMA50 (orange) could be defended for the time being. Only a recapture of the EMA20 (red) brightens the chart image for the bulls again.
Bullish variant (Dogecoin)
The price of Dogecoin is currently trading in the area of the EMA20 (red). If investors can heave the DOGE price back above this sliding resistance and break the 23rd Fibonacci retracement, the resistance at USD 0.313 will first come back into focus. If this resist is overcome dynamically, a subsequent increase up to the course high at USD 0.352 is to be planned. The upper Bollinger Band is also found here, which is why a dynamic climb is required to overcome this zone. A break of this resistance activates the cross resistance at $ 0.383 as the next possible target price. Here you can find the upper edge of the orange resistance zone paired with the 38th Fibonacci retracement. If this resist can also be broken sustainably, a break through to the 50s Fibonacci retracement at USD 0.448 is likely.
Since there is also strong horizontal resistance here, further efforts by the bull camp are required. Only a daily closing price above this activates the red resistance area between USD 0.520 and USD 0.570 as a medium-term target area. A stabilization above the 61 Fibonacci retracement at USD 0.520 would be an important partial success. If the bulls can then leave USD 0.571 behind and also overcome the Fibonacci 78 retracement at USD 0.618, an increase to USD 0.697 should be planned. A retest of the all-time high at USD 0.743 would also be increasingly likely. If the all-time high is overcome sustainably, an increase into the pink target area between USD 0.90 and USD 0.96 is possible in the long term. Investors are likely to realize more profits here. In the long term, an increase up to the 161 Fibonacci extension at 1.10 USD would be conceivable. The maximum, albeit currently unrealistic, price targets are USD 1.32 and USD 1.68. These goals are derived from the 200 and 261 Fibonacci extensions.
Bearish variant (Dogecoin)
The bears must do everything possible to keep the price below $ 0.313 and target $ 0.264 again. A break in the strong support at $ 0.264 should create further selling momentum. The correction should extend to the next key support at $ 0.238. This is where the supertrend and the lower Bollinger band can be found. Here the cops will presumably make a new attempt at stabilization. If the seller’s warehouse manages to dynamically undercut this price level, a preliminary decision is made at the blue support zone. In addition to horizontal support, EMA200 (blue) and MA200 (green) sell here. In addition, the current upward movement started here. A task would have fatal consequences for Dogecoin. The Doge price is likely to give way back to the maximum bearish price targets at USD 0.195 or even USD 0.175. Investors should therefore consider a new entry in the range between $ 0.238 and $ 0.225.
The RSI has slipped back into the neutral zone between 45 and 55 at 52. A break below 45 generates a fresh sell signal. This would mean that the RSI would follow the MACD indicator. This already has a short signal active. The same applies to the weekly chart. Here, too, both indicators tend to the south and threaten to trigger new sell signals in the near future.
Top 10 stability
The mixed picture on the overall market is also evident when looking at the top 10 altcoins. Half of the top coins show a price increase in a weekly comparison. In particular, Solana (SOL) with a 24 percentage point increase in value, as well as the newcomer among the ten largest crypto currencies, Terra (LUNA), with 21 percentage points, are convincing. Cardano (ADA) and Binance Coin (BNB) also show strong performance with 17 percent and seven percentage points, respectively. In contrast, the underperformer among the top 10 altcoins, Dogecoin (DOGE), loses 12 percentage points in value. Uniswap (UNI) and Polkadot (DOT) are also weak, with a loss of around eight percent.
After several strong weeks, Ripple (XRP) also has to accept a 6 percent price decline, despite recent positive news. This week, too, a newcomer among the top 10 is stirring up the overall market. Terra ousts Bitcoin Cash (BCH) from the list of the 10 largest cryptocurrencies. The uneven development among the top 10 Altcoins has resulted in several changes in the ranking. Apart from Terra’s rise to the top 10, Solana continues to grow and overtakes Polkadot to seventh place. New ecosystems such as Solana and Terra are increasingly coming into the focus of investors and are pushing past crypto veterans such as Bitcoin Cash (BCH) and Litecoin (LTC).
Winner and Loser of the Week
The current consolidation of the crypto key currency with a price discount of around three percentage points is also causing inconsistent price developments on the market as a whole. The Bitcoin Cash ABC (BCHA), which emerged from the fork of Bitcoin Cash (BCH), is the strongest. BCHA increases by 100 percent and thus leads the top 100 altcoins. Tezos (XTZ) and Arweave (AR) also stand out positively, each with a price jump of almost 60 percent. Overall, around half of the 100 largest crypto currencies show a price increase over the week. XDC Network (XDC) recorded the largest price drop among the weekly losers with a 20 percent price decline.
Sushi (SUSHI) are also weak with a 16 percent drop in value, followed by THORChain (RUNE) and the meme coin Shiba Inu (SHIB) each with a 13 percent drop in price. Despite the restrained course of the week, the price premiums and discounts are moderate overall. Altcoins from the third row, especially from the area of non-fungible tokens (NFT), are showing considerable increases in value in some cases. Quite a few investors are waiting for a decision on the direction of the crypto key currency Bitcoin before making new investments.
Disclaimer: The price estimates presented on this page do not constitute buy or sell recommendations. They are only an assessment of the analyst.
The chart images were created using TradingView created.
USD / EUR exchange rate at the time of going to press: 0.84 euros.