Following the recent altcoin crisis in the cryptocurrency market, a number of cryptocurrencies are currently marked down significantly, providing excellent possibilities for traders. The top three undervalued altcoins are discussed in this post, and they have achieved critical support levels, offering a high return on investment potential.
Price Analysis Of Zilliqa (ZIL): Provides Bottom Fishing
The ZIL price fell to a monthly low of $0.0155 due to increased selling pressure in the cryptocurrency market. The daily chart’s protracted lower price rejection shows that buyers have started to build up at this support level, suggesting the possibility of a bullish turnaround.
Additionally, there is a little increase in the weekly RSI slope, pointing to an underlying bullish momentum that gives buyers more assurance. On the other hand, a downsloping trendline that has prevented buyers from taking control during the past ten months is seen on the technical chart.
So, traders looking for a secure entry position should hold off until the above trendline breaks. A post-breakout rally might possibly push the price back down to the $0.05 psychological level.
Price Analysis Of Stacks (STX): Stands At Crucial Support
The ascending trendline and $0.467 served as support for the Stacks price on June 10th, which resulted in a rejection candle with a long tail. This candle shows that buyers are fiercely defending this support level after being able to make up the majority of the day’s losses.
The STX price may retest the much-anticipated support after suffering an intraday loss of 1.68% to verify its sustainability above it. This support level’s probable reversal would give buyers more power to challenge the above trendline.
An early indication of a trend reversal would be a breakout over the resistance trendline, which might drive the Stacks price back up to the $1 level.
Price Analysis Of MultiversX (EGLD): Bullish Pattern Setup
The EGLD price exhibits a classic falling wedge pattern on the daily time chart. Theoretically, a breakthrough above the overhead trendline would present traders with a long entry opportunity for this pattern, which is a well-known bullish continuation pattern.
The EGLD price has, however, achieved the pattern’s bottom trend as a result of the most recent market sell-off. A positive reversal may occur given the lower price rejection at this support level and the momentum indicator’s oversold signal.
The MultiversX coin might reach the initial target of $40 with the help of this reversal, which would put the overhead trendline under pressure.
Disclosure: This is not investing or trading advice. Before purchasing any cryptocurrencies or making any investments in services, always conduct your research.