Altcoin Newsletter #111

Do not index

In today’s Altcoin newsletter, I cover 8 different Altcoins, specifically:

Ravencoin (RVN/USDT)

Cardano (ADA/USD)

Near Protocol (NEAR/USDT)

Thorchain (RUNE/USDT)

Zilliqa (ZIL/USD)

Vulcan Forged (PYR/USDT)

TrustToken (TWT/USDT)

Polygon (MATIC/USDT)

Let’s dive in.

Ravencoin - RVN/USDT

RVN is positioning itself well to reclaim the black horizontal as support.

Because after all, RVN lost this level a couple of months ago and now it has the chance to reclaim it.

The other level that is noteworthy is of course the black Macro Downtrend.

If RVN is able to retest the black horizontal as support, it will bounce towards the Macro Downtrend for an all-important breakout attempt and a chance at securing a new macro uptrend.

Cardano - ADA/USD

ADA is in a potentially precarious position as it is facing the mid-2018 resistance (black), as the yellow circle shows.

So if this level continues to act as resistance, ADA could see drawdown.

However, the lower timeframes, specifically the Weekly, suggest that ADA may be in the process of a retest attempt of the black level as support:

If indeed ADA is able to retest this level then it could end this recent multi-month downtrend and challenge the blue area above.

The possibility of this move up is contingent on that successful retest.

As long as ADA maintains this black level as support as we head into the new Monthly Close, then ADA may actually be able to reverse the fate of mid-2018.

Near Protocol - NEAR/USDT

If NEAR is able to turn the bottom of the orange box into support, then NEAR could even rally to the blue level above at $3.35.

However, if NEAR fails to do that then a dip into the purple $1.72 would be next.

Generally, this orange area acted as support in mid-2021 and now may be acting as resistance.

So it’s crucial for NEAR to turn the orange area back into support to avoid a rejection from here.

Thorchain - RUNE/USDT

In mid-2022, RUNE lost the blue level as support and now RUNE has revisited this blue level but it is acting as a resistance for the time being.

Failure to turn the blue level into support could spell a rejection and subsequent dip into the black level below.

Turn black into support however and blue would be challenged again in which case RUNE would have a better chance at reclaiming blue as support at that stage.

Many Altcoins are at resistance, much like RUNE right now, so it’s all about how these resistances continue to act; can they be flipped into support before the January Monthly Candle Close?

Zilliqa - ZIL/USD

ZIL has rebounded from its historical blue region of support.

And historically, ZIL tends to upside wick beyond the top of this blue region.

But often, ZIL tends to fail to breakout from this blue boxed area; historically, it has taken ZIL a few months for price to stabilise in the blue area before being well prepared for a new uptrend.

So based on history, ZIL may not breakout on its first breakout try from the blue area.

However, the key thing to watch in terms of confirmation is a Monthly Close above the blue box top and/or a retest of the blue box top as support.

This would be the confirmation for a new uptrend towards the green level above.

But in the event that ZIL fails to retest the top of the blue box as support, then a rejection into the blue box bottom could take place.

Generally, this blue box could develop into a consolidation range before the next major trend, as has been the case in the past.

Vulcan Forged - PYR/USDT

PYR recently broke out from a small Double Bottom which developed at the blue historical support area.

It’s possible PYR could dip into the top of this small DB for a retest.

Successful retest there and PYR could revisit the red highs that PYR previously failed to retest as support to promote a breakout beyond red.

What’s interesting about the prospect of a potential dip soon is this:

PYR may have broken beyond it’s Weekly Macro Downtrend (black).

The top of the small Double Bottom is approximately confluent with the Macro Downtrend itself.

So a dip in towards that confluent area of potential support could set PYR up for a retest of that region.

Successful retest there and not only would PYR confirm a breakout from its Double Bottom and revisit the red highs, but it may very well confirm a new macro uptrend as the Macro Downtrend will have turned into one of support rather instead of the point of rejection it has acted as in recent months.

TrustToken - TWT/USDT

TWT broke out from a macro Ascending Triangle, with the breakout point being the top of the pattern (i.e. green box).

TWT has rallied to new highs since the breakout but is now retracing, getting closer towards the top of the pattern it broke out from.

It’s possible TWT is setting itself up for a post-breakout retest of the green area as support.

A successful retest of green would enable trend continuation.

Polygon - MATIC/USDT

MATIC is ranging at highs, inside this green-red range.

MATIC has produced upside wicks beyond the red Range High before so it’s key for MATIC to turn the red area into a support via a retest.

Successful retest of red would enable a move to at least the blue level above.

Fail the retest however, MATIC could drop back down into the green Range Low.

Generally, a Monthly Close above red would confirm a breakout followed by a retest that is successful.

Thank you for reading.

P.S.