Bitcoin surged to $19,788 at the time of writing and the ATH was a stone’s throw away for the king of crypto. Cardano exhibited a bearish divergence and dipped almost 4% before the bulls got back in the driving seat. Tron was set to test the level of resistance at $0.0355 in the near-term, while Dogecoin also posted gains in the past few hours and was trading right beneath a level of resistance.
ADA’s rise from $0.098 to $0.182 was used to plat some important levels of retracement for ADA. During the recent drop, ADA found support at the $0.124 level.
$0.124 represented the 61.8% retracement level for ADA, and also coincided with a horizontal level of support.
The price was making steady gains after a strong rise past the $0.158 level, but a bearish divergence was seen. The price made higher highs while the RSI made lower highs. The trading volume has also trended lower in the same time period.
Subsequently, it dipped from $0.172 to $$0.165, before the bulls drove the candle to close at $0.169.
For TRX, the Stochastic RSI has been in overbought territory for a couple of days now. It does not mean a dip is imminent, but rather it was bound to occur.
Considering the fact that $0.033 has been a pocket of liquidity for TRX in the past, there are two outcomes likely. Either TRX rises further to test resistance at $0.035 (5% hike) or TRX sees a dip from $0.033 to $0.0324, measuring 4.3%.
In either scenario, the outlook for the crypto asset remains bullish in the near-term. The Directional Movement Index showed the ADX (yellow) on the verge of crossing above 20, to indicate a strong trend (upward) in progress.
The sharp spike and the drop that was just as sharp, both in price as well on the OBV, was very characteristic of a blow-off top. This is similar to the profile on many other altcoins as well.
And, like many altcoins, DOGE has also recovered from the drop, and seen good buying volume in recent days to justify its rise in price.
The 50 SMA (yellow) acted as support for DOGE, while the 20 SMA (white) moved beneath it in response to the recent drop.
DOGE was likely to break past a level of resistance at $0.00358 and could flip it to support in the coming days. Failing this, it can expect to find support from the 20 SMA or the horizontal level of support at $0.00335.