Excitement is waning in the cryptocurrency market as the spot Bitcoin ETF hype dies down. However, we are approaching the Bitcoin halving event, which is expected to take place in April. It is possible that this will be a new catalyst for the market. Analysts draw attention to 2 altcoin projects that are currently in a technically bullish position. Crypto analyst David expects a strong run from ATOM. Analyst Akash Girimath predicts a recovery rally for BNB.
ATOM price prediction: A strong run is in the cards for Cosmos!
The price of Cosmos (ATOM) has been trading within a descending parallel channel since September 2022. This is a bullish pattern that leads to a breakout in most cases. This means the bulls have an advantage when the price trades within this formation. After being rejected by the resistance line of the channel in the last week of 2023 (red arrow), the altcoin price is currently consolidating above the middle line of the channel (blue arrow). The middle line of the channel coincides with the 0.618 Fib retracement support level of the previous upward move. Therefore, the bulls will defend this level strongly.
Meanwhile, the weekly RSI has broken above the long-term downtrend line. Now the RSI has an uptrend, which supports the possibility of a bounce. If ATOM price bounces, a rally to the channel resistance line at $12.2 is possible. A break above the channel will help the price rise by 80.45% to the next key resistance zone at $17.
The most likely scenario shows that the ATOM price will continue to rise in the near future. The closest target for the altcoin is $12.2. Additionally, ATOM has the potential to rise to $17. However, the bullish view will be invalidated if ATOM price closes below the middle line of the channel at $8.7 on the daily time frame.
BNB price prediction: Altcoin price is ready for recovery rally!
Binance Coin price broke the daily resistance level of $255 on December 20, 2023. This led to a 27% rally. This movement created a local hill. Thus, the altcoin eventually retreated 13% to $293, where it is currently trading. If the ongoing correction continues to pull BNB lower, it will fall into the $285 to $268 imbalance zone. This area was formed when the altcoin rose 12% on December 26, 2023. The imbalance zone, also known as the Fair Value Gap (FVG), occurs when there is a significant discrepancy between buying and selling pressure at a particular price level.
Usually, price re-entering this area causes a sudden increase in buying pressure. Therefore, the altcoin price is likely to witness a similar increase after entering the buy-side imbalance zone of $285 to $268. It is possible that the resulting bounce could pick up buy-side liquidity, pushing BNB up 18% above $337. Additionally, if the bullish momentum remains strong and the Bitcoin price recovers, the altcoin buying spree may continue. In such a case of rise, BNB will probably rise. In this case, it is likely to tag the 161.8% Fibonacci Retracement level at $403. This move would yield a 42% gain from the upper end of the buyside imbalance.
On the other hand, if Binance Coin price cannot break out of the imbalance zone from $285 to $268, the correction will likely push BNB lower. A daily candlestick close below $255 would create a lower low relative to the December 24, 2023 low at $260, thus invalidating the bullish thesis. In such a situation, it is possible for the altcoin price to drop by 9.40%.
The opinions and predictions in the article belong to the analysts and are definitely not investment advice. cryptokoin.com We strongly recommend that you do your own research before investing.
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