Last week, many altcoins in their BTC pairs continued to shed blood as bitcoin (BTC/USD) pulled off a massive disbelief rally. The king of cryptocurrencies rose to as high as $7,581.82 on Coinbase yesterday, May 12, 2019. As a result, many coins capitulated over the weekend.
So for this week, we look at altcoins in their USD pairs. Many show signs of stability. Some are even bullish as bitcoin’s rising tide managed to lift some boats. Here are the five altcoins to watch this week.
With all the attention on bitcoin, many people seem to miss that Ethereum is slowly creeping up. It is gradually positioning to take out resistance of $200. Take that out and we might see Ethereum pull off its own massive disbelief rally.
The weekly chart reveals that the market is painting an ascending triangle. The structure reminds me of bitcoin’s ascending triangle before it breached resistance of $4,250. You know what happened after BTC/USD took out the resistance.
If you want to open a fresh long position, wait for ETH/USD to breakout and retest $200 as support. Above $200, the target is $365.
We like Litecoin because it managed to retest weekly support of $65. In the process, it converted the former resistance into a support level.
With $65 now acting as support, Litecoin is positioning to take out resistance of $100. If you’re looking to open a fresh long position, buy as close to $65 as possible. Your target is range high of $100.
Looks like Stellar is back from the dead. We have this view because the market managed to recover critical support of $0.0957. The recovery appears to have charged Stellar with bullish momentum as it also broke out of a large falling wedge on the 12-hour chart.
If you’re looking to long the market, buy as close to $0.0957 as possible. The target is the resistance of $0.1098.
Tezos is in a strong uptrend. In about a couple of months, it climbed from $0.40 to as high as $1.51 on April 23rd. While the market is correcting, we have the chance to buy the dip.
If you’re looking to long this coin, buy as close to $1.10 support as possible. The daily RSI is painting a large falling wedge. A breakout will likely lead to the resumption of the uptrend.
Our targets are $1.50 and $1.75.
Our final entry for the week is Cosmos. We like the market because even though it is still in accumulation, it wants to get out of it very quickly. A look at the 4-hour chart shows that Cosmos is creating an ascending triangle.
If you want to long the market, the best move is to wait for Cosmos to take out $5.00 and retest it as a support area. Should that happen, the initial target is $7.00.
This week, we look at altcoins in their USD pairs. Many have benefitted from bitcoin’s rise. Even if bitcoin corrects this week, we’re convinced that the coins on this list will continue to perform well.
Disclaimer: The writer owns bitcoin, Ethereum, and other cryptocurrencies. He holds investment positions in the coins but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.