Markets
These Altcoins Could See a Big Drop Next Week
With Bitcoin moving back towards the $60,000 support zone, the crypto market suffered a huge drop last night. The 3.62% drop in BTC price amplifies the wave of supply in the altcoin market, resulting in the crash of many coins.
While Bitcoin remains in the support zone, altcoins could break next week if the market rests. Furthermore, the Fear and Greed indicator now returns to the Neutral zone at 56, a step back from the greed sector.
Here are the potential altcoins that could see a drop next week as Bitcoin battles $60,000. Let’s take a closer look
SUI puts $1 at 25% downside risk
With an intense pullback phase on the daily chart, the SUI price trend is at a 30% discount in just 20 days. This leads to a bearish reversal at the 50-day and 200-day EMA, resulting in an imminent death cross.
Furthermore, the possibility of double bottom reversal is under extreme pressure as SUI price falls below the 61.80% Fibonacci level and the 200D EMA. This puts the psychological $1 level at risk and warns of a drop to the 78.60% Fibonacci level at $0.73.
Hence, the next week for SUI could be bearish and see a decline if Bitcoin stagnates or falls.
Bearish dominance in this Altcoin warns of a 40% drop
Failing to reach $100 in early 2024, the market crash in April resulted in a massive drop in ORDI’s price. The downtrend in ORDI breaks below the 200D EMA, the $50 psychological milestone and the 50% Fibonacci level.
As the death cross is on the verge of the 1D chart, ORDI price struggles to sustain above the 61.80% Fibonacci level at $33.74. The altcoin currently trades at $36 after dropping 8% last night.
With a small divergence in the daily RSI, double bottom reversal remains a possibility. However, as the pullback intensifies into a downtrend, the risk of a breakdown below $33 is greater.
A breakdown will drop the altcoin’s price to the 78.20% Fibonacci level at $20, almost a potential 40% drop next week.
Altcoin Stacks at 200D EMA Warns 40% Drop
Down 45% over the last 40 days, STX price breaks under multiple support levels and tests the 200D EMA. Furthermore, the decline places the crucial $2 level at a solid resistance trendline.
Furthermore, the falling prices of this altcoin break the long-standing support trendline. This increases the chances of a decline in STX price if the 200D EMA does not provide a dynamic cushion.
A break below $2 and the 200D EMA will result in a massive supply dump on the Stacks. In this case, the altcoin price could fall to the $1.25 mark or the 78.60% Fibonacci level.
Celestia (TIA) is at risk of losing $9 support
Under the influence of a high-resistance downtrend line, TIA price struggles to regain upward momentum. As the altcoin trades at almost 55% off, the pullback phase undermines the bull run in the early stages.
The drop below the 50% Fibonacci level finds solid support at the $9 support zone or the 61.80% Fibonacci level. However, the downward trend and increasing supply keep the bullish recovery in check.
If supply increases on the altcoin and Bitcoin falls below $60,000, a drop to $6 is possible.
Will These Altcoins Survive Next Week?
In the event of a bullish return for Bitcoin influencing a broader market recovery, these altcoins could reverse the trend. However, as Bitcoin struggles to sustain itself, a dip or consolidation below $60,000 will amplify the fall for these altcoins. Hence, secondary traders may find a short selling opportunity for the above-mentioned coins.