Key Takeaways:
- AI crypto tokens recent price action defied the wider market's downtrend.
- AGLD, RLC, and UMA prices have formed bullish patterns while ORAI and VIDT price struggled against bearish pressure.
NEW DELHI (CoinChapter.com) — The wider crypto market remains mostly flat as the year comes to a close. AGLD, RLC, and UMA prices have formed bullish patterns while ORAI bears piled on the selling pressure. Meanwhile, VIDT price struggled against descending trendline resistance.
Meanwhile, Bitcoin (BTC) price remained below $17,000 as the prime crypto lacked volatility. As a result, bears and bulls remain unwilling to place bets during 2022’s last week of trading, waiting to see how the market unfolds.
However, the indecisive phase might not last long, as an increase in volatility often follows periods of low volatility.
1. VIDT Price Struggles Against Descending Trendline Resistance
VIDT DAO’s in-house token, VIDT, has been trading below multi-week descending trendline resistance. On Dec 26, the AI crypto token price jumped 11.5% to form a daily high near $0.029, but bulls failed to needle above the trendline resistance.
Moreover, the downward-sloping 20-day EMA (red wave) highlights the short-term bearish pressure for VIDT price action. But, the momentum oscillator MACD is forecasting bullish signals for the VIDT crypto token.
Negative bars on the indicator’s histogram are contracting, indicating that the MACD line (difference between 12-day and 26-day EMA) is moving towards the MACD signal line (9-day EMA of MACD). When the MACD line moves above its signal line, it will form a bullish crossover.
A bullish crossover would make VIDT’s MACD bullish for the first time in weeks.
If a bullish crossover forms, the bullish pattern might attract buyers to the market, helping push the VIDT crypto price to needle above the trendline resistance to reach $0.0294.
A break and hold above immediate resistance could help VIDT price target the resistance confluence of the 50-day EMA (purple wave) and 100-day EMA (blue wave) near $0.033 before downside corrections pare gains.
Conversely, if the trendline resistance rebuffs VIDT price action, the AI crypto token price might fall to test support near $0.0258. Moreover, breaching below immediate support might result in VIDT price dropping to $0.023 before recovering.
2. Loot’s AGLD Price Moving Inside Falling Wedge Pattern
Loot’s in-house token, Adventure Gold (AGLD), has formed a bullish reversal pattern called the Falling Wedge.
In detail, the technical pattern forms when the price fluctuates inside a pair of falling trendlines that would converge down the slope. The outcome of such downside patterns is typically a price breakout to the upside.
One key feature of the pattern is that volumes usually decline as the trendlines converge.
The upside target for the breakout is equal to the maximum distance between the falling wedge’s upper and lower trendlines. Per the rules of technical analysis, AGLD price might jump more than 214% to reach $0.846 if the AI crypto token confirms the pattern.
AGLD Price Struggles To Conquer EMA Resistance
The Adventure Gold bulls struggled to push the AI crypto price above its 50-day EMA (purple wave), which has been acting as dynamic resistance for the token’s prices since Sept. Though AGLD price action has flipped the EMA multiple times, bears have defended the EMA aggressively, pushing prices lower.
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If the crypto token fails to start an uptrend, AGLD price might drop to test support near $0.263. Moreover, a breach below immediate resistance could see the AGLD crypto shed 11.5% from its current levels and fall to $0.239 before prices recover.
Meanwhile, the momentum oscillator MACD showed bullishness for the Adventure Gold crypto.
Negative bars on the indicator’s histogram started contracting on Dec 26, indicating that the MACD line (difference between 12-day and 26-day EMA) is moving towards the MACD signal line (9-day EMA of MACD). When the MACD line moves above its signal line, it will form a bullish crossover.
On Dec 26, AGLD price registered a minor jump of 1% to form a daily high near $0.272. However, buyers would need to actively enter the market for AGLD to challenge the 20-day EMA (red wave) and 50-day EMA (purple wave) resistance confluence near $0.28.
Breaking and holding above immediate resistance could help restore investor confidence in the AI crypto token. As a result, AGLD price might target the 100-day EMA (blue wave) resistance near $0.31 before downside corrections pare gains.
3. Oraichain Bears Pare Gains, But ORAI Might Flash A Bullish Signal
AI-powered oracle and blockchain ecosystem Oraichain’s native token, ORAI, saw its prices rise 76% in just seven days to reach a daily high of $2.2 on Dec 26.
However, bears aggressively defended the 200-day EMA (green wave), forcing the AI crypto token to shed the day’s gains. Furthermore, long upper wicks on some of the recent daily candles suggest bears have been booking profits on relief rallies.
If the downtrend continues, ORAI price might seek support near $1.68. A breach below immediate support would likely see the Oraichain crypto token price drop 14% from current levels and reach $1.51 before recovering.
Meanwhile, ORAI’s recent price action has resulted in its 20-day EMA (red wave) getting ready to needle above its 100-day EMA (blue wave), forming a bullish chart pattern called the Golden Cross. Traders consider the pattern a buy signal and an indicator of positive market sentiment.
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If the cross forms, the resulting buying activity might help ORAI price rise to resistance near $1.97. Moreover, a break and hold above immediate resistance could see ORAI price challenge resistance from its 200-day EMA near $2.25 before retreating.
4. UMA Project Price Forms Bullish Pattern With Nearly 3x Price Target
Ethereum-based open-source protocol UMA’s price has formed a bullish reversal pattern called the falling wedge.
As mentioned above, the pattern forms when a crypto asset’s price fluctuates between two downward-sloping, converging trendlines. The trading volumes decline as the trendlines move closer, but traders wait for volumes to expand before confirming a breakout.
The upside target for the breakout is equal to the maximum distance between the falling wedge’s upper and lower trendlines. Hence, UMA might jump to $6.11 once the AI crypto confirms the wedge pattern, a rise of 284% from current price levels.
Meanwhile, the long upper wicks on UMA’s daily candles suggest bears are booking profits on minor relief rallies. On Dec 26, the crypto token jumped 2.4% to reach a daily high of $1.61 before bears started selling and pared gains.
Furthermore, the downward-sloping EMA trendlines underscore the bearish pressure against the UMA crypto token. If bears continue to defend the 20-day EMA (red wave), UMA price might end up testing support near $1.56.
Breaching below immediate support could force UMA price to drop 7.55% from current levels and reach $1.47 before recovering.
However, if buyers enter the market, the AI crypto token might target the 20-day EMA resistance near $1.64. Breaking and consolidating above immediate resistance could give UMA price the momentum to challenge resistance from its 50-day EMA (purple wave) near $1.75 before retreating.
Meanwhile, the RSI for UMA remains neutral, clocking at 44.05 on the daily timeframe.
5. iExec’s RLC Token Forms Ascending Triangle Pattern
RLC, native token of the blockchain platform iExec, has painted a bullish technical pattern called the Ascending triangle.
A horizontal trendline that connects swing highs and an ascending trendline connecting swing lows forms an ascending triangle pattern. Volume helps determine if a breakout is strong.
In an ideal world, buyers would enter the market as the trendlines close the gap, pushing prices above horizontal resistance with heavy volumes. Unfortunately, a low-volume breakout on the upside will likely fail, resulting in a pullback.
Per the rules of technical analysis, the price target for a breakout is equal to the triangle’s height at its thickest point. Therefore, the AI crypto token might rise to $2.345, nearly 81% from current price levels.
RLC Price Spikes More Than 18% Over The Weekend
RLC price has been trending upward since Dec 8 despite the relatively flat price action of the wider crypto market. Moreover, the AI crypto token reached a daily high of $1.41 on Dec 25, spiking nearly 18.5% from Dec 24’s low of $1.19.
The iExec crypto token carried the momentum into 2022’s last week, with the token jumping nearly 5.5% to form a high near $1.35 on Dec 26. However, long wicks on both ends of the day’s candle highlight the market’s indecisiveness.
If RLC price continues to rise, the crypto token might break above immediate resistance near $1.36. Breaching above immediate resistance might help RLC price challenge resistance near $1.51 before downside corrections pare gains.
However, a further uptrend might push iExec’s RSI, currently neutral at 65.06, into the overbought region. Overbought RSI levels often precede a bearish trend reversal.
Hence, RLC price might drop to test support from its 200-day EMA (green wave) near $1.23. If the 200-day EMA support fails, RLC price could needle below its 20-day EMA (red wave) to test the support confluence of its 50-day EMA (purple wave) and 100-day EMA (blue wave) near $1.13 before recovering.
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