Old coins of the week: Algo and BCH could break out and confirm the old coin season
- Algo breaks out of a falling wedge because RSI and MacD support a possible 22% recovery towards $ 0.27.
- With 4.13 million daily addresses, the BCH network activity reaches an all-time high and supports the upward dynamics over $ 368.
Algorand (ALGO) and Bitcoin Cash (BCH) develop into the most important old coins this week and show strength again after small winning on Monday. Algo stabilized by $ 0.22, while BCH was traded near $ 368 on Tuesday and thus retained the support after he rose by more than 4% in the previous session.
Analysts pay attention to these movements, since both old coins have patterns that indicate a possible upward breakthrough. On-chain metrics and technical indicators indicate that further upward dynamics could develop, which is why these assets are observed closely in the current market cycle.
The crypto market has again recorded a new interest in old coins, while Bitcoin remains relatively stable over $ 64,000. Since attention is shifted to assets that show independent strength, Algo and BCH position themselves with advantageous technical setups.
Data from Coinglass and Santiment as well as chart -based indicators indicate increasing pressure, which could lead to remarkable price gains if the resistance levels briefly break through.
Algo breaks pattern and signals potential for 22% upward movement
The latest outbreak of Algorand from a falling wedge pattern has given additional weight to a possible continuation of the upward trend. The pattern began to form in early December and was defined by a number of lower highs and lower lows. As soon as an outbreak is confirmed, this structure is usually associated with interest bullies.
The upward movement of Algo on Monday brought him over the upper limitation of the wedge. On Tuesday, the share was stable at $ 0.22. It is located near the technical support at $ 0.21. If this is not broken, the price could increase up to the level of $ 0.27 – an increase of 22% compared to the current price range.
The relative strength index (RSI) on the daily chart of Algo recorded a value of 64 and is therefore significantly above the neutral value of 50. This value reflects a persistent interest bully momentum. In addition, the MACD indicator (Moving Average Convergence Divergence) confirmed an interest bullish crossover, which is often interpreted as a continuation signal if it is supported from increasing volume and price strength.
According to Coinglass, Algo’s long-short ratio was 1.07 on Tuesday and thus at the highest level in over a month. A ratio of over 1.00 generally indicates that more dealers open up long positions, which is a sign that the market expects the price upwards.
BCH activity increases and the key resistance comes closer
Bitcoin Cash also offered a similar technical point of view when it went up on April 16 and the descending green trend line broke through. At this point, the course had increased by 15.41 % within eight days. Another 5.38% were won on Monday after the course had dropped slightly over the weekend, and on Tuesday BCH held the $ 368 mark.
The most important brand to consider remains $ 390.50. A daily closure above this line could pave the way for a 17%price increase and lead the prices towards the resistance zone of $ 459.20. Like Algo, BCH also has an RSI on a daily basis over 60 and an interest bullic MacD crossover, which indicates a positive momentum.
The technical network indicator has recently shown higher activity. According to the data from Santiment, BCH’s active addresses reached 4.13 million on Tuesday, which is a historic high. This key figure indicates how many people use this or that address in the network, and is usually used to determine the actual traffic and demand.
As with most old coins, the general market trend has strongly influenced the movement this week, but the local strength of ALGO and BCH cannot be overlooked. These two assets show combined physical signals, a technical upswing, an increase in networking management and a positive positioning in the derivative markets.
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