Weekly Cryptocurrency Market Analysis: Altcoins Commence Recovery as Cryptos Resume Relief Rallies

The best performing cryptocurrencies have risen above their moving average lines. Some of the altcoins are struggling with the overbought condition of the market. Others are rising in the bullish trend zone. However, in a market with a strong uptrend, the overbought condition may not last.

Convex Finance

The price of Convex Finance (CVX) is in a downtrend, but has risen above the 21-day line SMA. The cryptocurrency is also approaching the 50-day line SMA. A break above the 50-day line SMA will push the CVX price to a high of $10. The bullish momentum will extend to the high of $18. However, if the bulls fail to break the 50-day line SMA, the cryptocurrency will be forced to move between the moving average lines for a few days. CVX has risen to $4.81 at the time of writing. CVX/USD is above the 40% area of the daily stochastic. This indicates that the altcoin is in an upward momentum. It is the best performing cryptocurrency asset this week. It has the following characteristics:

Price: $4.77

Market capitalization: $476,593,815

Trading volume: $32,864,934

7-day gain: 13.55%

Curve DAO Token

Curve DAO Token (CRV) is in a downtrend but has crossed the 21-day line SMA. It is above the 21-day line SMA, but below the 50-day line SMA, indicating a possible range-bound move of the cryptocurrency. A break above the 50-day line SMA will propel the altcoin to rally to the highs of $1.5 and $2.60. Currently, CRV is above the 80% area of daily stochastics. This indicates that the altcoin is trading in the overbought zone of the market.

Further upward movement of CRV is unlikely. Curve DAO Token will be forced to a range bound move if it fails to break the 50-day line SMA. CRV is the second best performing cryptocurrency this week. It has the following characteristics:

Price: $0.8798

Market capitalization: $2,909,335,416

Trading volume: $170,909,241 

7-day gain: 13.12%

Arweave

Arweave (AR) is in an upward correction as the market has reached the overbought zone. The cryptocurrency has reached bullish exhaustion. Sellers are popping up in the overbought region and pushing prices down. Currently, the altcoin is above the 80% area of the daily stochastic. This indicates that the coin has reached the overbought region of the market.

Further upward movement of the coin is unlikely. The cryptocurrency will be forced to move within the trading range if it falls back above the 21-day moving average line. Selling pressure will increase again if the price falls below the 21-day line SMA. AR is the cryptocurrency with the third best performance this week. It has the following characteristics:

Price: $11.62

Market capitalization: $767,080,776

Trading volume: $35,813,918

7-day gain: 12.59%

Cosmos

Cosmos (ATOM) is in an upward correction as the price is above the moving averages. The current upward correction is met with rejection at the 50-day line SMA. The bulls have failed to break the 50-day line SMA. The altcoin is above the 80% area of the daily stochastic. This indicates that the market has reached the overbought zone. Sellers will show up and push prices down.

Meanwhile, on May 12, the downtrend has seen a retraced candlestick testing the 78.6% Fibonacci retracement level. The retracement suggests that ATOM will fall, but reverse at the level of the 1.272 Fibonacci extension, or $4.97. From the price action, ATOM fell to a low of $5.54 and then recovered. However, ATOM is the fourth best performing cryptocurrency this week. It has the following characteristics:

Price: $8.49

Market capitalization: $2,432,139,677

Trading volume: $617,372,538

7-day gain: 8%

Basic Attention Token

Basic Attention Token (BAT) is trading in the bullish trend zone as the price is above the moving averages. The downtrend has eased after the altcoin fell to the low of $0.25. On the upside, BAT will rise to reach the previous highs of $0.66 and $0.98 if the current uptrend continues. The altcoin is at level 60 of the Relative Strength Index for period 14, indicating that BAT is in the uptrend zone and capable of further upward movement. The coin could fall back to the previous low of $1.39. It is the fifth best performing cryptocurrency this week. It has the following characteristics:

Price: $0.4258

Market capitalization: $638,626,304

Trading volume: $127,273,076 

7-day gain: 6.23%

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.

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