Although Ethereum, the world’s largest altcoin, is breaking one ATH after another, the same cannot be said for the majority of the market’s altcoins, such as Binance Coin and Polkadot. Others, such as MATIC, were able to follow ETH’s example, with the former posting substantial gains of its own over the last week.
Binance Coin [BNB]
Source: BNB/USD on TradingView
Binance Coin, the crypto-premier market’s exchange token, has been one of the year’s top earners, with YTD returns of 1675 percent as of press time. However, the altcoin’s uptrend has slowed in the last 10 days or so, with the cryptocurrency trading about the $650 mark. In reality, at the time of writing, BNB was less than 5% away from its all-time high on the charts.
About the fact that BNB chose to stabilise its position rather than hike, the altcoin’s technical indicators were already flashing bullish signals.
Although the Parabolic SAR’s dotted markers were under the price candles, emphasising the bullish essence of the BNB market, the Relative Strength Index was on the verge of overbought territory. With space to the north, RSI is likely to move into the overbought range if the price of the cryptocurrency rises again.
It is worth remembering that the market activity of BNB this year has fuelled hopes that the alt will reach $1000 by the end of the year.
Polkadot’s spot on CoinMarketCap has been usurped somewhat due to its inconsistent movement over the past few months, with the likes of Dogecoin and ICP trading well ahead of it at press time. DOT’s movement has followed the crest and trough pattern throughout the specified time frame, with the alt unable to register a sustained trend in either direction.
DOT dropped by more than 12% in three days in the last week alone, before quickly rising back to the top of the rankings.
The mouth of the Bollinger Bands was widening, indicating the possibility of incoming market fluctuations. The MACD line was just above the Signal line, indicating that the probability of a bearish crossover in the near term was strong.
The foregoing results were consistent with those highlighted by a recent study, which predicted that the MACD would quickly sink below the histogram.
MATIC was one of the few alts to rise in tandem with Ethereum, with the cryptocurrency increasing by more than 50% in just 5 days. Indeed, as of press time, the crypto had risen to yet another ATH on the rankings, with the alt’s bullish momentum looking poised to last for a bit longer, at least before ETH’s surge loses steam.
Interestingly, unlike its late-April rally, MATIC’s recent uptick was not followed by a consistent increase in trading volume.
Although the Awesome Oscillator’s histogram showed that market momentum was increasing around the board, the Chaikin Money Flow was going towards 0.20 as capital inflows increased.
With MATIC’s stock virtually depleted on exchanges, it’s worth considering what a retail investor might foresee from the cryptocurrency throughout the foreseeable future.