While Bitcoin’s (BTC) dominance fell from about 48% on October 20 to 42.3% on November 7, total crypto market capitalization continued its northward journey. This indicates that the price movement has shifted from Bitcoin to altcoins.
According to a survey conducted by PlanB, most of the market participants continue to rise in Bitcoin and expect a rally to $288,000 at the beginning of 2022.
Real Vision founder Raoul Pal also predicted a bullish picture for cryptocurrencies in an interview on Nov. 3. He said the current bull run is unlikely to peak in December of this year and could extend into March and June of next year.
In this content, let’s analyze the charts of 5 cryptocurrencies that should be followed this week and can perform better in the short term. Bitcoin (BTC)
Bitcoin climbed above the bullish flag model on November 2, but buyers could not take advantage of this move, pushing the price from $64,854 to $67,000 above the general resistance zone. This indicates that the bears have not yet given up and are trying to stop the upward movement.
However, a positive sign is that the bulls are aggressively defending the 20-day exponential moving average ($60,794). Buyers will make one more attempt to push the price above the general resistance zone.
If they can achieve this, the bullish momentum may increase and the BTC/USDT pair will likely rally towards the $89,476.12 model target.
This bullish outlook will be invalid if the price breaks and returns to the flag pattern. The pair can then fall to the 50-day simple moving average ($54,883). The zone between the 50-day SMA and $52,920 is likely to pull strong buying support from the bulls.
But a break below the moving averages could push the pair into the strong support zone between $59,500 and $58,000. If there is a breakdown in this region, the bears will gain the upper hand. Therefore, in this case, the price can be pulled back to the level of $ 55,267.61. Polkadot (DOT)
Polkadot (DOT) rose and rose above the general resistance at $49.78 on November 1. The RSI broke above the downtrend line, invalidating the negative divergence. This indicates that the uptrend has started again.
Ascending moving averages and an RSI near the overbought zone indicate that the path to least resistance is upwards.
If the bulls push the price above $55.09, the DOT/USDT pair could rally to $63.08. But a break below the 20-day EMA ($46.82) and a close will be the first sign that the bulls are losing control. The pair may then decline to the 50-day SMA ($38.54).
The 4-hour chart shows the pair rising within a rising channel. On the other hand, the pair has recovered from the centerline of the channel and the bulls will try to overcome the front barrier again. If the bulls succeed here, the price of DOT may regain momentum. Terra (LUNA)
The LUNA token of the Terra protocol broke above the general resistance at $49.54 on November 4 and closed. This suggests that the bulls are buying in the downturns.
If the bulls break above $53.18, the LUNA/USDT pair could rally towards the resistance line of the wedge, where the bears are expected to form a hard resistance. Also, if the bulls push the price above the wedge, the bullish momentum can gain momentum.
Alternatively, if the price breaks below the current level or general resistance, the pair may fall to the wedge’s support line. A break below this support and a close will signal a possible change in the trend. Therefore, the pair may then decline to the $35 levels.
Both moving averages on the 4-hour chart are rising and the RSI is in positive territory, which gives buyers an advantage. If the bulls price breaks above $53.18, the pair could rally to the $62.59 target. Avalanche (AVAX)
Avalanche (AVAX) managed to break above the resistance after trading at $79.80 near the overall resistance over the past three days. This indicates that the uptrend may resume.
Rising moving averages and an RSI in the overbought zone indicate that the bulls are in control. If the price stays above $79.80, AVAX price can rally as high as $93.04 and then try to challenge the psychological level of $100.
Contrary to this assumption, if the price breaks below the current level and breaks below $79.80, it will indicate that the markets are rejecting higher levels. The pair may then decline to the 20-day EMA ($69.51).
The 4-hour chart shows the formation of a rolling bottom pattern that completed a breakout and closed above $79.80. If the bulls hold the price above $79.80, the pair can start its upward uptrend towards the formation target at $108.56. Elrond (EGLD)
Finally, Elrond (EGLD) rose above its all-time high of $303.03 on Nov. 3. The bears tried to push the price below the breakout level on November 5 and 6 but failed.
This suggests that the bulls are trying to defend the breakout level and turn it into support. A break above $329 and a close will signal a resumption of the uptrend. The rising 20-day EMA ($281) and the RSI near the overbought zone indicate that the path to least resistance is upwards.
Contrary to this assumption, if the EGLD/USDT pair breaks below the current level and breaks below $303.03, the next stop could be the 20-day EME. A strong recovery of this support will keep the uptrend intact, but a break below it could open the doors for a deeper correction in the 50-day SMA ($249).
The 4-hour chart shows the formation of an ascending triangle pattern, which is completed with a break and closes above $303.03. This positive set-up has a model target of $427, but the rally may not occur in a linear manner as the bears are likely to pose a tough challenge at $355.
