Bitcoin is still in action this week, but it is also causing a little bit of chaos with the altcoin market too. Most of the time altcoins are happy to ride BTC’s coattails, but the recent lull from the major coin has seen altcoins going it on their own.
Now, with Bitcoin being back in action, traders are wondering if this will dull the chance of an altcoin season, or if they can co-exist together. The market is of course good for Bitcoin, and that is one coin worth watching, especially after a liquidation squeeze last week.
Ethereum continues to be one to keep an eye on, but more because it has faced a pull back but has pushed on with strength again anyway. Ethereum has a lot going on at the moment and will likely keep going strong for some time to come.
Other smaller altcoins, like Chainlink and even VeChain, are also worth watching as they are showing promising signs in the technical analysis side of things, and also have positive news and happenings to bolster their current patterns.
Bitcoin’s break out from the lower rungs of $9,000 has seen it not only climb quickly to a new yearly high of near $11,700, but also sustain this growth pattern and bolster it with good volume. However, the coin did see a quick pull back and drop in value.
Bitcoin took traders by surprise on its way to $12,000, as the price crashed almost 12% in just 6 minutes with more than $1 billion futures positions getting liquidated in an instant.
Since that drop the coin has been back to trading sideways with the expectation that another big move is on its way this week — however, the move could be downwards, but it may well continue climbing as well.
Ethereum reached a high of $415 at the end of last week which means it has rallied over 60 percent in a short space of time. But this has been a bit of an unsuitable climb and as such a pull back was seen.
Yet, the pull back was brief as ETH seems to be back on its climbing trend. It is still under $400, which will likely be a resistance level, but a level that it has already crossed. If Ethereum can keep this trend up, and profit from DeFi and its ETH 2.0 upgrade, there is a strong chance of big gains in the coming months.
VeChain, the 20th ranked coin by market cap, is certainly worth watching this week as its chart indicates that there could be a breakout coming soon.
VeChain (VET) is currently trading inside a bullish flag pattern. The 20-day EMA ($0.016) is flat and the +DI and -DI are close to each other, which suggests a balance between buyers and sellers.
This coin is on the precipice of going one way or another which makes it an exciting prospect for the coming week.