The coronavirus crisis came at a very unfortunate time for Algorand (ALGO), a cryptocurrency that represents the blockchain platform for decentralized applications that was built by a well-known computer scientist Silvio Micali on the basis of the Pire Proof-of-Stake consensus algorithm.
1-year ALGO chart
In early 2020, ALGO was a fully-fledged participant of the altseason as its price had finally torn itself away from the long-standing range between $0.2 - $0.3 and went on a bull rally that peaked at $0.48. Traders who analyze the macro price levels in their line of work must have registered the head and shoulders pattern that finalized itself right at the edge of the collapse zone, and closed their positions in a timely fashion or started shorting ALGO.
After the March price dump, Algorand began to recover the same way it did during the preceding price cycle, going to the upside slowly yet stubbornly in a tight rising channel. Notice how the price got glued to the support line at $0.2 again, although the resistance was located much lower this time around, at $0.25.
1-week ALGO/USDT chart
This particular price behavior could be illustrative of the way big market participants are acquiring the position before initiating a bullish spike. The level at $0.5 is crucial since it represents a borderline between the downtrend continuation and the commencement of the secondary uptrend. Therefore, if you still haven’t taken a position in this market, try to refrain from diving into it headfirst, unless you are in for a quick trade. It is important to see how the price responds during the encounter with $0.5 in order to understand who would be playing the first fiddle.
The more aggressive traders could consider $0.38 as an entry point for a long trade, on the condition that traders’ remorse confirms the bullish sentiment and the 14-period RSI stays in the overbought area. In that case, the spot for take-profit would be at $0.48 or slightly higher, depending on the market depth and order book composition at that time. The last three days of price action produced three spinning top candles that reflect the general indecision in the market. The trading volume has suffered a sharp decrease, which is a common prerequisite for the sideways action or the retracement that could pull the price down to ALGO’s another magnetic point at $0.3. In fact, the retracement would constitute a better scenario because it would indicate the healthiness of trend development. MACD, however, tells that the bullish momentum might stay intact that would confirm the preparation for an upswing from $0.38 to $0.48.
The price action in the Bitcoin market virtually mimics the one seen in the USDT pair - the same strong upswing with the subsequent loitering near the resistance at 4000 satoshis.
1-day ALGO/BTC chart
Obviously, a lot will depend on the behavior of BTC that continues to saunter down the hill. Should Bitcoin remain passive during the next two weeks, Algorand will keep on plotting to the upside, although it could meet significant resistance at 4300 sats.
|#||Crypto||Prediction||Accuracy||CVIX||Price||24h||7d||Market Cap||7d price change|
|1||BTC||Bitcoin predictions||86%||13||$23 377.12||-4.18%||-4.83%||$447 075 937 480|
|2||ETH||Ethereum predictions||68.8%||57||$1 842.25||-5.57%||-2.51%||$224 771 545 069|
|3||USDT||Tether predictions||92%||1||$1.000068||0%||-0.03%||$67 570 562 281|
|4||USDC||USD Coin predictions||90.8%||1||$0.999915||-0.01%||0.01%||$53 159 903 576|
|5||BNB||Binance Coin predictions||66%||64||$306.80||-4.80%||-7.81%||$49 498 485 536|
|6||XRP||XRP predictions||92.4%||10||$0.374134||-3.28%||-1.89%||$18 473 812 799|
|7||BUSD||Binance USD predictions||93.6%||1||$1.000141||0.01%||0.02%||$18 288 013 118|
|8||ADA||Cardano predictions||82.4%||30||$0.536096||-6.82%||-1.61%||$18 191 903 489|
|9||SOL||Solana predictions||82.4%||33||$40.80||-8.29%||-8.88%||$14 232 149 113|
|10||DOGE||Dogecoin predictions||82%||28||$0.081156||-7.02%||12.66%||$10 767 081 650|
|11||STETH||Lido stETH predictions||92.4%||1||$2 941.39||-0.40%||-3.32%||$10 258 752 564|
|12||HEX||HEX predictions||67.6%||66||$0.058867||-5.25%||-5.51%||$10 208 131 428|
|13||DOT||Polkadot predictions||70%||54||$8.44||-7.64%||-10.97%||$9 351 379 972|
|14||SHIB||SHIBA INU predictions||77.2%||45||$0.000015||-8.13%||18.92%||$8 164 105 683|
|15||AVAX||Avalanche predictions||71.2%||63||$25.73||-8.40%||-14.00%||$7 332 766 147|
Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.
© 2015-2022 Crypto-Rating.com
The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.