Altcoin
Is the altcoin market due for an ‘explosive rally’? Analysts Keep an Eye on These 3 Indicators — TradingView News
The altcoin market is currently in a “disbelief phase” that, if history repeats, could soon turn into an “explosive rally,” according to cryptocurrency traders who are carefully watching three technical indicators for confirmation.
“The altcoin market cap is currently in a phase of disbelief, historically followed by an explosive rally,” crypto analyst Milkybull crypto told his 66,600 X followers in a May 11 post.
The disbelief phase occurs when investors remain skeptical despite positive market indications, as evidenced by a significant decline of 24 index points on the Fear and Greed Index over the past 30 days. The “Greed” score is currently 56.
Added to this, the total altcoin market capitalization, which excludes the top 10 cryptocurrencies, is down 17.55% over the past 30 days to $264.9 billion, according to TradingView data.
However, it is still holding above the $250 billion support level and is “positioning itself for a future upward move,” the cryptocurrency trader under the pseudonym Rekt Capital told his 465,300X followers in a post from May 12th.Cointelegraph
Traders are keeping an eye on three indicators in the broader cryptocurrency market – the 20-day exponential moving average (EMA), the stochastic RSI, and Bitcoin dominance – to support their predictions about the direction of the altcoin market.
The EMA is the average price over the period, with a greater weight in more recent periods. If the total cryptocurrency market capitalization “retests” the EMA20 and at the same time “crosses up” on the Stochastic RSI – which measures the relative strength and weakness of the RSI indicator itself – it could lead to “rally time” , pseudonym of cryptocurrency trader Titan of Crypto. stated in a May 11 post.
This article does not contain investment advice or recommendations. Every investing and trading move involves risk, and readers should conduct their own research before making a decision.