Altcoins have recently broken out while most traders are fixated on Bitcoin’s price. Is this the real deal, or is the crypto market due to sink further? Top-performing altcoins Ripple (XRP) and Cardano (ADA) are analysed.
Altcoins breakout and confirm
Source: TradingView
The Total2 chart tracks the combined market capitalization of all the altcoins, without Bitcoin. As can be seen in the chart above, the downtrend has been broken. Also, the price has been back to confirm the breakout trendline. It might be expected that the trend is back to the upside from here.
Besides making a new local high here, the last swing high at $1.64 trillion will need to be surpassed in order to keep this upward trend intact. The all-time high is just above this at $1.7 trillion.
$XRP breaks out
Source: TradingView
As can be seen in the daily chart for $XRP, the price has broken through the descending trendline. All that remains is a test of the trendline before the price goes higher. A resistance band is formed by the top of the previous descending triangle pattern and more recent price action just above this. Breaking above this band would likely lead to a new all-time high.
$XRP heading to last overhead resistance
Source: TradingView
The weekly chart view shows well the support and resistance lines are functioning for the $XRP price. After a recent retest of the $2.74 horizontal support line, the path is now open for the bulls to have another go at breaking through the overhead resistance. If they succeed, new price discovery awaits.
$ADA primed for breakout
Source: TradingView
After another quick retest of the $0.73 horizontal support, the $ADA price is right below the descending trendline and primed for a breakout. If successful, this should allow the price to head up to the $0.85 resistance level. The Stochastic RSI on the daily has plenty of upside, and once the indicators are through the 20.00 level, this should signal upside price momentum.
Can $ADA bulls break the psychological $1 barrier?
Source: TradingView
Zooming out into the weekly time frame the scale of the task confronting the $ADA bulls becomes apparent. The key to much further advancement in this bull market is for the bulls to break above the descending trendline and then to break through the psychological barrier of $1.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
