The crypto market can look back on an enjoyable week of trading. In the slipstream of Bitcoin (BTC), the vast majority of the top 100 Altcoins rise northwards.
The crypto market continues to trend north in the past trading week and is shaking off the weakness of the last two trading months for the time being. Bitcoin is currently regaining its strength, which is also having a positive effect on the overall market. It shows once again that the course of the chart determines the price direction and not supposed messages that Amazon wants to accept crypto currencies as a means of payment. Despite a strong denial on the part of Amazon, the overall market is unimpressed by this official statement and has continued its bullish beginning of the week in the last few days of trading.
Best price development among the top 10 altcoins:
Polkadot has shown itself to be significantly weaker than its competition in the last few weeks. The DOT price even corrected on July 21, 2021 to its breakout level of the bullish price rally at USD 10.73. Only here did a more pronounced trend reversal set in, bringing Polkadot back to the top of the red resistance area at USD 19.67. Today, Monday, the DOT rate corrects slightly to currently USD 18.15. Despite an 86 percent rally from the low, Polkadot continues to trade below the EMA200 (blue) which is trading at $ 20.88. Only a sustained recapture opens up space in the direction of the yellow resistance zone between USD 25.85 and USD 27.85.
Bullish variant (polkadot)
The cops are still alive. After the price development of Polkadot had recently resembled a total crash, the DOT price recovered significantly, especially in the past trading week, and recorded a price increase of 36 percent. Polkadot is currently consolidating in the area of initial resistance, but the recapture of EMA20 (red) and EMA50 (orange) indicate an initial strength of the bulls. If the DOT price can break the daily closing price of USD 19.67, the next step is to break through the EMA200 at USD 20.88. Above that, further potential price targets await at USD 21.71 and especially USD 23.49. The 38 Fibonacci retracement runs at the last-mentioned price mark. If this resist is also overcome dynamically, the DOT rate should quickly march through to the yellow resistance area. Here, with several highs and the MA200 (green), there is a whole bundle of resistance. If the bulls manage to break through this area in the coming weeks and rise back above USD 28.82, the chart will brighten increasingly.
The recapture of the light blue box opens up further price potential towards USD 31.38. A break of this price mark activates the next price target at USD 34.91. Here there is a cross resistance consisting of a horizontal resistance line and the 65th Fibonacci retracement. A break in this resistance level is not to be expected at the first attempt. However, if the bulls manage to get stuck in the USD 34 range and also sustainably overcome USD 34.91, there is room in the range between USD 39.70 and USD 40.69. Above that, USD 42.30 is also a possible target price. Only when this resistance mark is also passed by the closing price of the day does the top of the blue box come into focus again. Profit-taking can be expected again in the area of USD 46.77. Breaking out of this resistance should cost investors some energy. If it is possible to skip this price level in the coming months, investors will focus on the pink area near the all-time high as a price target. A breakout above the all-time high at USD 49.83 is not expected for the time being, so investors should think about profit-taking.
Bearish variant (polkadot)
If, on the other hand, Polkadot does not manage to break through the EMA200 or if it already bounces south in the red zone, there will be a short-term directional decision in the USD 17.25 area. In addition to the 23 Fibonacci retracement, the EMA50 also runs here. If Polkadot dynamically falls below this cross-support, the correction expands to at least USD 15.42. The EMA20 is currently running here. If this is also abandoned, the DOT rate will correct further up to USD 13.70 (supertrend) or even up to USD 13.12. The buyer camp should do whatever it takes to avert another downward wave back to the history low at USD 10.66.
The bending up Bollinger Bands indicate continued volatility and, if the USD 10.66 breaks, could mean a further decline in the price to the purple support area between USD 7.89 and USD 7.19. The annual low of 2021 is found at USD 7.19. A break in this support would be fatal and would send the DOT rate into the orange support area. The USD 5.68 should be planned as a price target. Should the market as a whole correct again significantly, the long-term target price of USD 4.59 could even be targeted. However, as long as Polkadot can stabilize above USD 13.17, a sell-off in this area is not to be expected.
The RSI, like the MACD indicator, shows buy signals on a daily basis. However, the RSI has already reached 70 and indicates an overbought status for a short time. On a weekly basis, both indicators continue to show sell signals, which puts the price increase of the last 14 days into perspective.
Worst price development among the top 10 altcoins:
Price analysis based on the pair of values DOGE / USD on Binance
In the past trading week, Dogecoin once again trended weakly in contrast to its counterparties and rose by just five percentage points to the north. Although Dogecoin was able to overcome the orange downtrend line as well as the MA200 (green) and the EMA200 (blue) in the previous week and rise to the upper edge of the blue resistance area, the bulls subsequently lacked the strength for a “follow-through”. The DOGE price bounced south on the cross resistance of the supertrend and the upper Bollinger band at USD 0.24. The bulls must now do everything in their power not to let Dogecoin break back below $ 0.195.
Bullish variant (Dogecoin)
The course of Dogecoin held its ground above EMA20 (red) and EMA200 in the last few days of trading. Now it is important not to fall back into the green support area. If Dogecoin can use USD 0.20 as a springboard and rise back to USD 0.23, a new directional decision will be made. Only when the USD 0.23 and subsequently also the USD 0.24 are recaptured will the chart light up further. A subsequent increase up to USD 0.264 would be conceivable. If this resistance is also broken, the purple resistance area comes into focus again. The 23rd Fibonacci retracement can be found between USD 0.29 and USD 0.31. If this zone is recaptured, there is space up to USD 0.35 or even USD 0.38. The 38th Fibonacci retracement of the current price movement is at USD 0.38. The first profit-taking should come as no surprise. If Dogecoin can subsequently leave the orange resistance area and thus the 38 Fibonacci retracement behind, the 50 Fibonacci retracement at USD 0.45 will move into the focus of investors.
The monthly high from June 2021 also runs here. If the DOGE price dynamically breaks through this strong resistance, a subsequent increase to the red resistance range between USD 0.52 and USD 0.57 must be planned. In particular, the USD 0.52 represents an important hurdle on the way towards USD 0.60. This is where the 61 Fibonacci retracement can be found, which often represents the maximum retacement target of a corrective upward movement. If the bulls manage to overcome this resistance at the daily closing price, the next price target will be activated at USD 0.57. Only when the red resistance area is sustainably breached is a breakthrough to the 78 Fibonacci retracement at USD 0.62 possible. Should the overall market also find its way back to its old strength, Dogecoin could also develop further upward momentum and head for the resistance line at USD 0.70. Then the all-time high of USD 0.74 would also be within reach.
Bearish variant (Dogecoin)
If the DOGE rate cannot hold the EMA200 and falls dynamically back to USD 0.195, the bears will have to make a directional decision. If they manage to push Dogecoin below this support level by the daily closing price, the trend low at USD 0.16 will come back into focus. The lows from June and July of this year as well as the lower Bollinger band can be found here. Therefore, increased resistance on the part of buyers can be expected again. If the bears manage to push Dogecoin below this support cluster via the daily closing price, the next bearish price target in the area of 0.12 USD will be activated.
A renewed price weakness of Dogecoin could even lead the price to the support at 0.086 USD in the medium term. This is where the old all-time high from February 2021 can be found. If Dogecoin does not stabilize and continues to trend weakly, the downward momentum could initiate a relapse to USD 0.05. For the time being, this price mark is to be seen as the maximum bearish price target.
The RSI failed to generate a buy signal despite rising above USD 0.20. The MACD indicator currently shows a slight buy signal, but a renewed price weakness could quickly turn this signal into a sell signal.
Top 10 stability
In the slipstream of Bitcoin (BTC), which increases again by 14 percent on a weekly basis, all other top 10 Altcoins are also tending further north. The outperformer of the week is Polkadot (DOT) with a 36 percent price increase, followed by the newcomer in the top 10, Chainlink (LINK). Uniswap (UNI) and Ripple (XRP) are also bullish, each with a 22 percent increase in value. On the other hand, the Dogecoin (DOGE) cannot match its strong previous week’s performance and only increases in value by 5 percentage points. Cardano (ADA) also only gains just under 8 percent and has to let its opponents go this week. Looking at the ranking of the top 10 altcoins, there is a change in place. The comeback of Chainlink washes him by two rankings from 12th place back to the top 10 to tenth place. LINK displaces Litecoin (LTC) to 10th place and can thus climb back into the top 10 for the first time in more than two months of abstinence.
Winner and Loser of the Week
The strength of the crypto key currency Bitcoin has also had a positive effect on the price development of many Altcoins on the overall market this trading week. With just a few exceptions, most of the top 100 altcoins will go up in value. A good 80 percent of the 100 largest cryptocurrencies show a price increase over the week. The winners list is headed by Bitcoin Cash ABC (BCHA) with a 122 percent price increase, followed by one of the underperformers of the previous week THORChain (RUNE) with a 77 percent price increase. Here the restart seems to have been successful for the time being after the fatal hacker attack. The third, Quant (QNT), also impresses with a 65 percent increase in value. Furthermore, Ankr (ANKR) with 47 percent and the crypto veteran NEO with 43 percent increase in value are bullish this week.
Around 40 percent of the top 100 altcoins show a percentage increase of more than 20 percent in a weekly comparison. The short list of weekly losers is again headed by the Meme-Coin SafeMoon (SAFEMOON) with a 19 percent drop in price. With Telcoin (TEL), an outperformer from the previous week also had a price discount of around 13 percentage points. Theta Fuel (TFUEL) is also weak, with a price decline of almost 11 percent. Currently, the entire crypto market seems to be stabilizing for the time being, the bullish month-end Bitcoin price gives hope that the bearish mood of the last two months will soon end.
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.
USD / EUR exchange rate at the time of going to press: 0.84 euros.