Over the past 30 days, AI-related tokens have shown impressive performance. So much so that the Bitcoin pump in the same period looked like child’s play compared to them. Crypto expert Victor Olanrewaju focuses on the top 3 altcoins in this space. The expert states that these have the potential to grow further in November.
Artificial intelligence chronicle is back, altcoin prices have skyrocketed!
Altcoin projects such as Injective (INJ), Fetch.ai (FET) and Render (RNDR) gained 82.60%, 62.19% and 68.38% respectively in the same period. It goes without saying that the dominance of Bitcoin and the rise of some altcoins are effective in the price increase of these tokens. However, BTC’s rise is not the main factor driving the increase. Instead, the surge in interest in AI tokens has had more impact. This is mainly due to the large number of AI conferences scheduled to take place in November. So, investors and traders alike seem to be employing a “buy the rumor, sell the news” strategy that has seemed to work in the past.
Therefore, despite the recent double-digit increase, it is not unreasonable to expect another rise for these 3 altcoins. So can these tokens continue to advance the AI narrative? An indicator that can give an idea about this possibility is Open Interest.
For now let’s shift our focus to the Injective (INJ)
According to data from Coinglass, INJ’s Open Interest has been rising since October 14. An increase in Open Interest combined with an increase in price is a confirmation of the bullish trend. When Open Interest decreases, the opposite happens. At the time of this writing, INJ was changing hands at $13.75. If Open Interest continues to rise, price action may gain more strength. In this case, the $13 zone would probably be a good entry point. Because another uptrend is likely.
The scenarios for FET and RNDR are no different. However, we will use the volume metric to establish the initial status of these altcoin projects. Market players may be familiar with FET as it has been in the market for a while. However, Rendering may seem a little strange, especially to those who are not religious followers of market events.
Bouncing volume, optimistic sentiment!
According to Santiment, RNDR’s volume jumped to 94.32 million. FET reached 125.09 million on October 29. However, at the time of writing, the volume has decreased to 100.22 million. Increasing volume due to rising prices is a sign of a sustained uptrend. However, a decrease in volume along with a decrease in price indicates a downward trend. In the last 24 hours, the value of FET decreased by 5.27%. This should be considered a retreat. However, given the current conditions, the altcoin price is likely to recover if interest in the token remains high and transactions increase.
RNDR also tends to retreat. However, like the FET, it is destined for another rally similar to the one it showed last month. Regarding Weighted Sentiment, on-chain data shows that INJ, FET, and RNDR have optimistic outlooks. Weighted Sentiment measures comments about projects over a specific period. Over the past 30 days, all three altcoins have dominated the positive axis of the metric. As of this writing, Weighted Sentiment has decreased for all three. However, the metric is still in positive territory. Therefore, it is possible that investors are making positive comments about the project. At the same time, they are cautious due to the incredible performances of these cryptocurrencies recently.
Altcoin bulls remain firm despite this…
For FET, the bullish structure remained the same despite sellers’ attempts to halt the trajectory. On the 4-hour chart of the altcoin price, it appears that some profit taking has occurred. However, the bulls are trying to regain control of the market by forming a support at $0.36. If the support holds, a move towards $0.40-0.45 is possible. This will only happen if strong buying momentum re-emerges. However, the Relative Strength Index (RSI) fell to 64.85. Meanwhile, at press time, buyers still had a solid presence according to the RSI. Therefore, increased buying pressure may cause a new rise.
INJ’s movement on the daily chart is similar to FET. The reason for the rally is linked to the strong support at $7.28. However, INJ faced rejection at $13.57. Thus, the buying pressure was subsequently invalidated as it pushed the altcoin price up to $13.68. At the time of writing, the Moving Average Convergence Divergence (MACD) was 0.47. This value shows that investors avoid taking short positions. Therefore, the possibility of another rally in the short term is quite high.
RNDR may be the biggest winner again!
RNDR, for its part, shows more promise than INJ and FET. The reason for this claim is indicators such as Money Flow Index (MFI) and Awesome Oscillator (AO). With AO’s ascending green bars, the daily chart at press time shows that buying momentum for RNDR appears to be too strong for the bears to extinguish it. Additionally, MFI jumped to 88.69. This data is a sign of increasing buying pressure and strength for the altcoin price movement.
However, MFI rising above 80 indicates that RNDR is overbought. Therefore, a pullback is possible. However, the retreat will likely be short-lived. Therefore, traders should not ignore a possible trip towards $3.00 to $3.50.
The opinions and predictions in the article belong to the expert and are definitely not investment advice. cryptokoin.com We strongly recommend that you do your own research before investing.
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