Technical Indicator Flags Bullish Signal for 4 Digital Currencies!
Recent Crypto Market Slump After U.S. Inflation Data Has Traders in Limbo. Still, Technical Indicators Show Meaningful Signs of Seller Exhaustion Amid the Recent Corrective Wave, Pointing to a Possible Price Rebound. Ali Martinez, a well-known market analyst, using […] The post A Technical Indicator for These 4 Digital Currencies
The recent fall in the cryptocurrency market after the release of US inflation data has left traders in a state of uncertainty. However, technical indicators show significant signals of seller fatigue amid the recent correction wave; An issue that informs about the possibility of price return.
Ali Martinez, a well-known market analyst, has spotted new bullish signals for Ripple, Solana, Dogecoin and Hyperliquid using the TD Sequential indicator. Next, relying on a report from CryptoNews, we will examine the conditions of these 4 popular altcoins.
Why did the US inflation data shake the market?
According to the US Bureau of Labor Statistics, the consumer price index rose 0.6 percent in September from August, bringing annual inflation to 3.7 percent. The data exceeded market expectations, prompting cryptocurrency activists to revise their earlier predictions about the Federal Reserve's interest rate; This led to the intensification of sales pressure and the temporary decline of digital assets.
Is Ripple ready to jump to $1.50?
Ripple is trading in the $1.29 range, which represents a 4% drop over 24 hours and a 7% weekly drop. The market value of this asset reaches 83.1 billion dollars and its daily trading volume has reached 2.39 billion dollars.
According to Ali Martinez, the TD Sequential indicator on the Ripple chart has simultaneously issued three different buy signals. This could be a sign that the sellers are weakening and the price is approaching a possible comeback.
The TD Sequential indicator is a tool in technical analysis that, by examining the pattern of price candles, identifies the possible time of weakening of the current trend and the return of the price.
Martinez sees the $1.40 level as the first price reversal target and identifies the next resistance at $1.50. The realization of this scenario depends on maintaining close support and the inflow of capital from buyers.
The possibility of further correction of Ripple to the support of $1.25. An examination of the 1-hour chart of Ripple shows that the price fluctuates within a parallel channel. Martinez believes that the price of Ripple may once again return to the bottom of this channel in the $1.25 range before starting a stronger upward movement.
In his analysis, he has explained that he is monitoring the $1.25 range as a possible buying opportunity. If the price recovers from this support, it could first reach $1.42 and then the ceiling of the channel near $1.60.
Therefore, although buy signals have appeared on the Ripple chart, there is still a possibility of a further drop to the $1.25 support.
Institutional money flows vs. whales move into Binance's Soso Velo analytics data reveals an interesting contrast between price drops and institutional investment. Spot Ripple exchange-traded funds in the US have recorded 13 consecutive weeks of net capital inflows, totaling around $1.80 billion. However, weekly money inflows slowed after hitting a record $75.6 million in late September, posting $4.7 million and $11.3 million in the following two weeks, respectively.
On the other hand, the Binance exchange has seen a significant influx of tokens from large holders. Arab China, a cryptocurrency analyst, announced that the 30-day arrival of whales to Binance has reached about 1.669 billion Ripple units, which is the highest level in the last seven months; An event that can increase the supply pressure in the open market.
Solana on the psychological border of $100. The price of Solana was around $101 at the time of the report. This digital currency has dropped by 3% in 24 hours and by 10% in a week, and has had the largest weekly decrease among the four currencies examined. The market value of Solana was also reported to be around 60.46 billion dollars and its daily trading volume was 4.08 billion dollars.
Martinez pointed out that as the price approaches the support level of $100, the TD Sequential indicator has shown a bullish signal in the daily timeframe. He reminded that the previous sell signal of this indicator at the end of September led to a 14% drop.
Ali Martinez explained: If the new signal is confirmed by increasing demand, Solana has the ability to return to $111 and then $120 resistance.
A sustained break of the $100 support would distort the credibility of this scenario and pave the way for a deeper decline.
Expanding Solana Foundation's Activities in China Beyond chart fluctuations, Solana Foundation is expanding its advertising activities in China. Solana Foundation's chief strategy officer, Rachel Conlan, released images of the organization's new Shanghai office and its billboards in the city.
Changpeng Zhao, the founder of the Binance exchange, said in a reaction that the BNB China network has not managed to register such an advertising presence in China. However, despite Solana's plans to hold events in Shanghai, Hangzhou, Shenzhen and Beijing, cryptocurrency trading in China still faces legal bans.
Dogecoin is in the $0.080 trench. Dogecoin price fluctuates in the range of $0.079 and has recorded a 4% drop overnight and a 9% weekly drop. Its 24-hour trading volume is 1.03 billion dollars and its market cap is estimated at 12.47 billion dollars.
According to Martinez's analysis, TD Sequential's daily buy signal has been activated at the same time as the top memecoin has returned to the $0.080 support zone. Maintaining this area can lead the price to $0.087 first and then to $0.094.
Longer-term Outlook for Dogecoin Some traders envision bigger bullish scenarios for Dogecoin. An analyst with the pseudonym CryptoPatel believes that a decisive break of the $0.1186 resistance will mark the bullish breakout of the multi-year structure of Dogecoin and could activate ambitious targets of $0.2818, $0.7559 and even $2 in future bull markets; A scenario that goes beyond short-term goals.
On the other hand, Trader Tadigrid's analyst points to the formation of an inverse head and shoulder pattern in the monthly chart of Dogecoin. The neck line of this pattern is located near $0.10 and closing the monthly candle above it will be considered as a sign of an upward failure. However, holding the immediate $0.080 support remains a top priority for traders.
Hyperliquid is trading near $77 with a 24-hour drop of 3% and a weekly drop of 9% in an attempt to recapture $80. The daily volume of this token has reached 859.3 million dollars and its market cap has reached 17.70 billion dollars. Hyperliquid recorded the lowest daily decline compared to the other three assets.
Martinez posted a TD Sequential buy signal activation around $80. He noted that the previous similar signal construction on October 1 was followed by an 11% increase. Repeating the past behavior can raise the price to $86 and then to the resistance area of $93.
HyperLiquid Founder's View on US Laws Jeff Yan, the founder of HyperLiquid, spoke to the Bloomberg podcast about how decentralized platforms are regulated.
He believes that US regulatory bodies should focus more on companies that use the Hyperliquid infrastructure to provide financial services, rather than the blockchain itself, which provided the technical infrastructure for these services.
HyperLiquid does not currently offer its services directly to US users. However, Payward, the owner of the Kraken exchange, has made plans to use HyperLiquid's technology to provide regulated derivatives trading services. The implementation of these programs depends on obtaining the necessary permits.
Do the buy signals of these 4 altcoins mean the end of the fall?
Issuing a buy signal on the chart of Ripple, Solana, Dogecoin and Hyperliquid indicates that the selling pressure in some price ranges may be decreasing. However, it is still not possible to talk about the definitive end of the market correction.
For Ripple, the $1.25 support is very important. Solana needs to maintain the $100 range, DOJ is dependent on $0.08 support, and Hyperliquid needs a retracement above $80 to start an upward move.
On the other hand, higher-than-expected inflation data in the US and an increase in XRP transfers by whales to Binance suggest that market risks remain. Therefore, the current signals are mostly signs to check possible buying opportunities and without confirming the return of demand, they cannot be considered as a guarantee of price growth.