Top 3 Trending Cryptocurrencies Dogecoin, Cardano, Chiliz: CHZ Rebounds Sharply, Not Out Of The Woods Yet
- Dogecoin is breaking higher, eyeing an upswing towards 50-SMA on the 4H chart at $0.2982.
- Cardano looks to recapture 100-SMA on the 4H chart at $1.2690 after the falling channel breakout.
- Chiliz’s 20% rebound faces stiff resistance around $0.5010/40 region, as the 1D chart shows.
A new week brings hope for the crypto markets, as Bitcoin sees an impressive recovery from the weekend’s crash to $47,000 levels. The rest of the digital assets follow suit, with Ethereum reverting to around $2,500 while XRP/USD recaptures $1.24.
The DeFi tokens are also powered by returning love after the recent sluggish price action. Dogecoin is attempting a bullish breakout, once again cheering the latest misspelt tweet from the founder of Tesla Inc., Elon Musk. Musk tweeted out, ‘what does the future hodl? Investors believe that there could be a typo by Musk, as he wrote ‘hodl’ instead of ‘hold’ while referring to his favourite coin.
Further, IntoTheBlock’s In/Out of the Money Around Price (IOMAP) model points to a lack of healthy resistance levels for the Shibu Inus-inspired coin while its funding rate recovers sharply from the negative territory, as the speculative interest returns.
Cardano also remains one of the most favourite tokens, especially after reports that 21SharesAG, a Switzerland-based fintech company, is planning to roll out ETPs based on Cardano, effective Monday. The investment product signifies increasing acceptance among investors for the so-called Ethereum-killer.
Meanwhile, Chiliz is also gain investors’ attention as the Malta-based company has emerged as the first blockchain company to hold an MMA fight through an increasingly popular genre of cryptocurrencies known as “fan tokens” to express their devotion. It’s worth noting that Chiliz’s in-house token, CHZ, has risen 20-times so far this year.
How are these hot cryptocurrencies positioned on the technical graphs?
Dogecoin: Awaiting a Symmetrical Triangle Breakout as Bulls Look to Extend Control
After closing the week on a negative note, DOGE/USD kicks off a new week in the green, gaining almost 9% so far.
The meme-based coin is hovering around $0.2750, holding well within Sunday’s trading band, as the bulls remain motivated to break higher from the weekend’s range play.
Looking at the four-hour chart, Dogecoin found strong support from the ascending 100-simple moving average (SMA), now at $0.2233, allowing the price to stage an impressive comeback.
The lower highs and higher lows witnessed on the said time since April 22 have carved out a symmetrical triangle formation.
The DOGE bulls are currently teasing a triangle breakout, awaiting a four-hour candlestick closing above the pattern resistance at $0.2701 to confirm an upside break.
The Relative Strength Index (RSI) looks north while trading at 50.37, which suggests that the bias remains in favour of the bullish traders.
Therefore, a triangle breakout could call for a test of the horizontal 50-SMA at $0.2982, an immediate barrier.
Acceptance above the latter could prompt the DOGE bulls to take on the April 22 high of $0.3170, which could emerge as a powerful resistance.
DOGE/USD: Four-hour chart
However, if the price faces rejection at the 50-SMA hurdle, a quick retracement towards the pattern resistance now support at $0.2701 would be inevitable.
The 21-SMA at $.2591 could limit the downturn, although the rising trendline support at $0.2386 is expected to be the ultimate saviour for the celebrity-endorsed DeFi token.
Read Also: How to Invest in Dogecoin
Cardano: Upsurge Stalls at This Key Resistance, Biding Time Before the Next Leg Higher
Cardano has reversed the last week’s downtrend, with a 13% surge so far this Monday, taking cues from a bullish wave seen across the crypto board.
The ADA bulls appear to face exhaustion over the last hours, as they catch a breather before resuming the renewed upside.
The four-hour chart shows that the Cardano price has hit the critical 100-SMA resistance at $1.2690 after charting a falling channel breakout earlier on.
ADA/USD’s rejection at that level has recalled the sellers, as the price now hovers around the 200-SMA resistance-turned-support at $1.2290.
The RSI, a leading indicator, has turned south while within the bullish zone, suggesting waning bullish pressures.
Therefore, Cardano could likely pullback towards the channel resistance now support at $1.1867. The bearish 50-SMA coincides at that level, forming a strong demand area for the ADA buyers.
The next relevant support is seen at the 21-SMA of $1.1350, which is mildly bullish and hence, could slow the pace of decline.
ADA/USD: Four-hour chart
On the flip side, the 100-SMA barrier could be retested should the fierce support at $1.1867 hold.
A four-hourly closing above that supply zone could revive the upbeat momentum, with eyes set on the April 22 high of $1.2820.
The focus will then turn towards the $1.30 round number. All in all, the pullbacks appear shallow amid a rising channel breakout and bullish RSI.
Check Out: Can Cardano Make Me Rich?
Chiliz: Technical Setup Remains in Favour of Bears Despite CHZ Seeing Some Fresh Signs of Life
CHZ/USD is seeing some temporary reprieve over the past two days, as the hopes may have been revived for an uptrend but not quite yet.
Chiliz is on a solid recovery rally from six-week troughs of $0.3134 reached last Friday, as the fan token has gained almost 16% on a daily basis this Monday.
Despite the uptick, the technical picture for Chiliz warrants caution for the bulls, with the 14-day RSI still trending below the midline. The indicator currently trades at 47.44, having bounced off the lower ground around 41.80.
Further, powerful resistance near the $0.5010/40 region will be a tough nut to crack for the buyers. Around that zone, the 21-daily moving average (DMA) pierces the 50-DMA from above, confirming a bearish crossover on the daily chart.
Sunday’s high at $0.4342 could be on the sellers’ radars. A sustained break below that support, the intraday low of $0.3866 is expected to be put at risk.
CHZ/USD: Daily chart
Alternatively, the CHZ buyers need a strong foothold above the abovementioned crucial resistance zone just above $0.50 on a daily closing basis, in order to validate a bullish reversal.
The token could then look for a test of the April 22 high at $0.5521. To conclude, the bears remain hopeful so long as Chiliz holds below the crossover of the 21 and 50-DMAs.
Don't Miss: The Best 7 Cryptocurrencies To Buy