Yerevan (CoinChapter.com) — Reef is among the most blockbuster altcoins on Tuesday, just as the entire cryptocurrency takes a break from its bullish bias and log aggressive intraday losses. The low-cap digital asset surged by more than 20 percent on a 24-hour adjusted timeframe against the US dollar. It performed equally strong against top rivals Bitcoin and Ethereum, both of which corrected lower amid escalating profit-taking sentiment among day traders.
Other altcoins failed to grab onto rich tokens’ weaknesses. Cardano, counted among the high-ranking blockchain projects, saw its native token ADA rising but by comparatively small margins. However, the ADA/USD exchange rate promised upsides owing to its transition to proof-of-stake much before its rival Ethereum. Weiss Crypto, a crypto-focused research group, also noted that ADA might be ready for mass adoption sooner than Ethereum due to its speedier protocol upgrades.
Holo’s HOT token also posted minimal profits but showed signs of rebounding higher in the coming sessions. Altcoins like BitTorrent’s BTT and Wink’s WINK underwent a similar reversal trajectory to promise extended gains.
Let’s go through the potential entry and exit points in each tokens’ market.
Death Cross Looms Over WINK
The WINK/USDT exchange rate has been trending inside a descending triangle range, confirmed by a falling upper trendline acting as resistance and a flat support trendline serving as support. The pattern shows that sellers are more aggressive than buyers as prices make a sequence of lower highs. It completes when the price breaks out in the direction of its previous trend.
The short-term trade setup looks like this: traders could enter a long position towards the upper trendline resistance on a rebound move from the Triangle support. Meanwhile, an extended sell-off below the lower trendline increases WINK’s risks to test $0.0006 as its downside target.
One has to notice that the descending triangle appears during a bearish correction phase, as shown in the chart above. That shows that the market’s bias is skewed towards the bears. More negative tailwinds come from a potential death cross formation between WINK’s 20-day exponential moving average and 50-day simple moving average.
Meanwhile, a bullish break above the Triangle channel pattern — should it come — could have traders extend their long positions to the next upside range of $0.0016-0.0018.
BitTorrent (BTT) Triangle Pattern Like Other Altcoins
BitTorrent’s trade setup is more or less the same as WINK. The Tron-backed altcoin is trading inside a Descending Triangle, as shown in the chart below.
A breakout move above the Triangle’s upper trendline could have traders open long positions towards the next upside target levels near $0.009, $0.010, and $0.011, depending on their risk appetite. Meanwhile, a break below the range could have them place a short entry towards $0.004 as their primary downside target.
Holo (HOT) Death Cross In Action
WINK setup continues to influence other altcoins. Holo’s HOT token is no different. It continues to trade inside a descending triangle pattern, except it has already confirmed a death cross formation between its 20-day exponential moving average and 50-day simple move average.
The $0.016, $0.021, and $0.024 levels provide a potential long opportunity should the HOT price break above the triangle range. Meanwhile, the 0.010-level serves as a downside target on a break below the pattern.
REEF Different from Other Altcoins
Unlike other altcoins above, the REEF/USD exchange rate attempted to break a classic trendline resistance on Tuesday but fell short of confirming a breakout. So it appears, traders shorted the pair at its intraday high to land it back inside its prevailing sideways parallel range.
A pullback from the channel’s upper trendline could have traders test the $0.0386-level as an interim short target, extendable towards the lower trendline that coincides with the $0.026-level. Meanwhile, a bullish breakout move could have traders open long positions towards $0.05, $0.071, and $0.088, based on their risk profiles.
Cardano (ADA) Seeking Breakout Confirmation
Cardano’s is among the only altcoins among the ones mentioned above that currently seeks a breakout confirmation. It has broken out of a previous sideways channel range and now tests the pattern’s upper resistance trendline as its newfound support.
Meanwhile, a successful breakout move above the Channel range could take the price up to $2. Meanwhile, returning to the previous trading area tends to lead altcoin’s traders into intra-range trading.
That’s it, altcoins’ folks!