Altcoins
Which Altcoin Should You Buy?
With the start of the bull run in the cryptocurrency market, the silent altcoins are now creating huge upward waves. As the prices of XRP and ADA increase, the bull run of these altcoins is teasing a surge above the $1 milestone.
Currently, XRP price is outperforming Cardano (ADA) token and well above the 50 cent level. As the altcoin season approaches, let’s take a closer look at the XRP and ADA price analysis.
XRP Breakout Rally Reaches $0.60
Over the past two weeks, XRP price has shown a remarkable recovery amid the broader market rally. From the $0.382 level, the altcoin price has increased by 56.8% to trade at $0.60, while the market cap has risen to $33.6 billion.
The rising price of XRP managed to reclaim the daily EMAs (20, 50, 100 and 200), indicating a first sign of the return of bullish sentiment on this asset.
However, an analysis of the daily chart shows that the current recovery is still contributing to the formation of a symmetrical triangle. This chart pattern is known to drive a consolidation trend in an asset, causing the prevailing market trend to regain strength.
Therefore, a bullish breakout of the altcoin will signal a bullish phase and push buyers to chase a potential target of $1.94.
ADA price stuck below 200-day EMA
Amid the recent market recovery, Cardano’s price correction formed a suitable bottom at $0.33. Renewed demand pressure lifted the altcoin by 33.7%, sending it trading at $0.44, while the market cap jumped to $15.8 billion.
The rising price managed to gain support at the 50-day EMA and break the descending trendline, which led to the prevailing correction. Holding this breakout will signal a change in market sentiment from selling on rallies to buying on dips.
With a sustained buy, ADA price breaks out of the immediate resistance of 200D EMA and the 50% Fibonacci retracement level around $0.558. Both these levels are crucial to signal a trend reversal in the altcoin.