Bitcoin (BTC) has had an impressive week, with gains of about 6%, signaling that the demand from the bulls continues to be strong. During a speech at the 2023 Australia Crypto Convention on Nov. 10, Michael Saylor, the co-founder of MicroStrategy, mentioned that Bitcoin’s demand on a monthly basis could surge between two to 10 times by the end of 2024. He also pointed out that the halving of Bitcoin will reduce the supply by half, and expects that both of these events will cause the price to adjust upwards. With most analysts predicting that Bitcoin’s price will move higher in 2024, there is now increased speculation on how high the rally could reach. Using its Terminal Price on-chain indicator, Look Into Bitcoin creator Philip Swift suggested that Bitcoin could hit at least $110,000 in its next bull cycle.
The increased attention on Bitcoin has not diminished the performance of several major altcoins. The broad-based cryptocurrency rally has raised hopes that an altcoin season may be approaching. This could lead to a rotation wherein the high performing altcoins will see some profit booking, and the underperforming ones may experience a surge in value. Let’s now take a closer look at the charts of the top-5 cryptocurrencies that may outperform in the near term.
Bitcoin (BTC) has been able to maintain its position above the ascending channel pattern for the past three days, indicating that the bulls are successfully defending the breakout level. However, with the price continuing to be overbought and the RSI at an overbought level, there is a risk of a potential correction. If the price were to fall back into the channel, it would suggest that the markets have rejected the higher levels, which could potentially lead to a drop in price.
Moving on to VeChain (VET), it has completed a double bottom pattern after the bulls pushed the price above the overhead resistance of $0.021 on Nov. 6. The bulls have managed to prevent the bears from pulling the price back below $0.021, which indicates that buyers are attempting to turn the $0.021 level into support. However, if the price fails to rise above the $0.023 resistance, there could be a drop to the 20-day EMA. Alternatively, with a successful move above $0.023, the VET/USDT pair could rally to the pattern target of $0.028.
As for Immutable (IMX), the recovery has been significant in the past few days, indicating a potential comeback from the bulls. However, the price is expected to face strong resistance at $1.30. If it does not give up much ground from this level, it will increase the chances of a break above the overhead resistance, leading to a rally to $1.59. It’s worth noting that the overbought level on the RSI suggests a possible correction or consolidation in the near term.
Moving on to The Graph (GRT), it has corrected after a sharp up-move, but the bulls have managed to keep the price above the 20-day EMA. The upsloping moving averages and the RSI in the positive territory indicate that the path of least resistance is to the upside. If bulls manage to overcome the obstacle at $0.16, the pair may resume its uptrend.
Lastly, Algorand (ALGO) is forming a rounding bottom pattern, which will complete on a break and close above the overhead resistance at $0.14. The upsloping moving averages and the RSI in the overbought zone indicate that the bulls are at an advantage. If buyers maintain the price above $0.14, it will signal the start of a new up-move.
In conclusion, with Bitcoin showing strong gains and the altcoin market gaining momentum, the cryptocurrency space continues to heat up. As always, investing in cryptocurrencies involves risk, and it’s important for readers to conduct their own research and due diligence before making any investment decisions.