According to crypto analyst Tony M, the leading altcoin Ethereum network activity marks red days. Analyst John Isige explains why another free fall in the price of Binance Coin would not be a surprise. According to analyst Filip L, Cardano is in clear and present danger. We have compiled analysts’ analysis of ETH, BNB and ADA for our readers.
“Leading altcoin preparing for a correction”
On-chain metrics for Ethereum show that investors should be careful. According to Santiment’s 30-Day Active Address Indicator, more than 750,000 addresses became active in October. Statistically, once the indicator starts to rise, a sharp correction occurs in price shortly after.
The altcoin price is currently up for auction at $1,299. The bears successfully crossed the 8-day exponential moving average (EMA). The Relative Strength Index also made a final rejection in the ideal region for a strong downtrend. If market conditions are indeed bearish, Ethereum will continue to move south towards the accurate $1,220 and lower levels in real strides.
The bulls will need to push both the 8-day EMA and the 21-day Easy Moving Average (SMA) above $1,330 to create an alternative bullish scenario. A plausible bullish scenario is possible if the turbulence is surpassed. This marks the October high of around $1,380. Such a move would mean a 7% increase from the current Ethereum price.
“It is possible that these factors send BNB to $226”
The supply held by addresses in the middle 10,000 to 100,000 rose from 3.14% in July to 3.33% in mid-August. It subsequently fell to 3.21%. BNB’s peak near $300 was supported by the cluster’s held supply rising to 3.33%. However, with the chart below on a negative slope, BNB’s near-term future remains bleak. In other words, as whales avoid the token, selling pressure increases. This increases the chances of a long downtrend.
The BNB technical outlook did not improve after the free fall from the highs near $300. A rectangular pattern on the daily chart confirms an untradable volatile market.
Considering that the movement before its formation is a decrease from the August peak, a bearish rectangle comes into play in the middle of the downtrend, as in BNB. Sellers usually buy the asset again after placing a middle. Therefore, the previously claimed motion would be lower. Ordinarily, the length of the breakout is equal to the height of the rectangle that predicts a drop to $226. To short BNB, traders must wait for a confirmed move below the rectangular baseline before activating their orders.
The Directional Movement Index (DMI) adding confidence to the possibility of another leg up to $226. A sell signal will occur when the 12-day EMA (Exponential Moving Average) turns orange, below the 26-day EMA (blue). On the other hand, if the bulls manage to break above the 100-day SMA (Simple Moving Average), the blue $278 and the 50-day SMA (red) at $281, it is possible for BNB to permanently escape the 13.17% bearish move below the breakout point.
An upward-sided refraction cannot be behind the eye. Stubbornly bullish traders may consider $300 on the rectangular ceiling or $320 on August highs as take-profit positions.
“ADA is in clear danger”
Altcoin price action makes traders ask why it is so valuable to follow developments in the UK. The reason is very easy. Koindeks.com As you follow, global markets are still being squeezed by inflation. Moreover, central banks are trying their best to control it. The largest and most sensitive economics exposed to this is the UK, where the current chaos is guiding the US and Europe. If the UK economy collapses and sees a significant recession, it is inevitable that the US and the eurozone will be affected by a calm.
The altcoin price is therefore undergoing a correction. Wait for the ADA to make new drops and look for the next level of reinforcement. For this, around $0.3240, which he saw on January 17, 2021, is reasonable. Looking back, more bottoms and a new two-year low lie ahead.
Alternatively, a quick turnaround is possible. This is due to another strong benefit from the stock market. Of course, many tech stocks will report profits in the days and weeks ahead. So, this is likely to push the Nasdaq higher, which is highly tied to the crypto market. In such a scenario, expect some tailwinds to kick in. In this case, ADA is likely to rally to $0.39 and open the door to $0.44 with a possible break above the red descending trendline.