Top 5 cryptocurrencies to watch this week: BTC, AVAX, ALGO, XTZ, EGLD

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China has tried several times to stifle the growth of the cryptocurrency sector over the past 12 years, but aside from a small hint, a complete ban on cryptocurrency trading hasn’t changed the long-term growth of cryptocurrencies. This shows that no country, not even the second largest economy in the world, can stop the emergence and growth of cryptocurrencies.

Bitcoin (BTC) is likely to “remain very volatile for the foreseeable future” as most people buy it either for investment or speculation rather than as a medium of exchange, Deutsche Bank analyst Marion Laborie said in an update on the website. jar.

However, Labor believes that Bitcoin could become the “digital gold of the 21st century,” a trend that could continue for centuries without much government control.

See daily cryptocurrency market data. Source: Coin360
At Morningstar’s annual investment conference, Dennis Lynch, Counterpoint’s head of asset management, compared Bitcoin to a cartoon of Kenny from South Park. “I like to say that bitcoin is like Kenny from South Park – it dies in every episode and comes back again,” Lynch said.

As the influence of Chinese R&D diminishes, let’s examine the charts of the top five cryptocurrencies that may remain strong in the short term.

BTC / USDT
Bitcoin bounced off its 100-day simple moving average ($ 41,002), indicating that bulls are trying to aggressively defend this level. The bulls will now try to push the price above the 20-day exponential moving average ($ 45,178).

BTC / USDT daily chart. Source: TradingView
The sloped 20-day EMA and Relative Strength Index (RSI) are in negative territory, indicating the bears’ advantage. If the price falls below the 20-day moving average, the likelihood of a break below the 100-day single moving average increases.

Such a move will complete the bearish head and shoulders pattern, which is targeting $ 32,423.05.

The bulls should push the price and hold it above the total resistance of $ 48,843 to open the door for potential gains to $ 52,920. A breakout and close above this level could indicate a resumption of the uptrend.

4-hour BTC / USDT chart. Source: TradingView
BTC / USDT is witnessing a fierce battle between bulls and bears around the neck. The bulls pushed the price above the 20-EMA and then try to lift the upper barrier to $ 45,200.

If they can do this, the pair could grow to $ 49,000. Conversely, if the price falls below the current level, the bears will try to pull the price below the critical support range to $ 41,000- $ 39,600. A violation of this range could signal the beginning of a downtrend.

AVAX / USDT
Avalanche (AVAX) is trading in a bullish wave pattern. The long tail of daylight hours indicates that bulls are buying aggressively on the dip against the 20-day moving average ($ 61).

AVAX / USDT daily chart. Source: TradingView
Bullish moving averages and RSI in positive territory indicate benefits for buyers. The AVAX / USDT pair may now try to test the all-time high of $ 79.80. This is an important level to look out for as a break above it could signal a renewed trend.

The pair could then rally to the channel’s resistance line and the bullish momentum could rise if this obstacle is overcome.

Conversely, if the price breaks below the current level or upper resistance and below $ 60.04, it signals the start of a deeper correction towards the 50-day moving average ($ 45).

4-hour AVAX / USDT chart. Source: TradingView
The pair has rebounded from the 100-SMA and the bulls are trying to keep the price above the 20-EMA. If they succeed, the pair could start marching north to $ 79.80, where the bears can again offer serious resistance.

On the other hand, the critical level is to look at the guide line of the channel. A breakout and stopping movement during this support would be the first sign that the bulls might lose their grip. If the price falls below $ 60.04, the decline could extend to $ 55.

ALGO / USDT
Algorand (ALGO) is trading below the 20-day moving average ($ 1.77), but a long tail of daylight indicates bulls are trying to defend support at $ 1.51.

ALGO / USDT daily chart. Source: TradingView
If the bulls move and keep the price above the downtrend line, this would indicate that the short-term correction may be over. Then the ALGO / USDT pair may rise to $ 2.15 and then to $ 2.55.

Source: CoinTelegraph

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