Kategorie: Crypto Analysis

Polkadot (DOT) has finally managed to stop its prolonged correction. The price appeared to have settled a bit after bottoming at around $7.35. DOT now has a good opportunity to reverse the downtrend and could rally significantly despite growing uncertainty in the market. Here are some points:

• DOT is testing the $10 which could be significant in any bull run

• It’s the first time the coin has reported gains after 4 days of retreat

• Crossing the $10 could trigger a rally towards $13 or thereabout

Data Source: TradingView 

Polkadot price analysis and prediction

The most important thing for DOT bulls is that the downtrend appears to have slowed. The coin had reported losses in 4 straight sessions, and there were fears it could actually fall below $5 for the first time this year. But it seems the price action started to consolidate at around $7.35. 

Eventually, DOT was able to trigger a run and is now trying to cross above $10. If indeed this happens, we could see the token rally towards $13 or beyond. This will represent an upswing of around $30 from this price. However, despite this bullish outlook, there are still several uncertainties in the market.

For example, we have not seen enough trading volume to suggest DOT is going bullish. It is possible that DOT may in fact get rejected at the $10. This will push it downwards toward its previous bottom price of $7.35. But if bulls are not able to keep the price above $7.35, there will be more downside to come.

How to trade DOT in this setup?

The first entry would be above $10. If DOT is able to cross above this price, then you can buy and exit at $13. 

However, if the price action remains suppressed below $10, then wait for it to bottom at around $7 before you buy. But there is a risk that a drop towards $7 could continue until DOT hits $5.

The post Polkadot could still hit a bull run despite uncertainty appeared first on CoinJournal.

After the Terra collapse, increased risk perception could see AVAX outperform SOL.

Key Points:

• Avalanche is a platform blockchain that can handle 4500 transactions per second. While it has a fast-growing ecosystem of Dapps, AVAX’s price has been affected by the correction in the broader crypto market. 

• Solana is one of the most scalable platform blockchains in the market today. While adoption is growing, SOL price has been weighed down by the correction in the broader market. 

• While both Avalanche and Solana will do well long term, AVAX could outperform SOL in the short to medium term. This has a lot to do with SOL’s frequent network outages in 2021 and the risk awareness that Terra’s collapse has triggered amongst investors. 

Avalanche (AVAX)

The decentralized applications space is on a growth trajectory, and launch platforms are growing in demand. Avalanche is one of those that have recorded fast growth in a very short time. While it is only three years old, Avalanche now has one of the largest and fastest-growing ecosystems of Dapps in crypto. This is due to its strong core metrics. They include low fees and high throughput – up to 4500 transactions per second. Despite the fast-growing Dapps ecosystem, Avalanche’s price has taken a nosedive in 2022. This has a lot to do with the bearish nature of the broader cryptocurrency market. 

Solana (SOL)

Like Avalanche, Solana is a launch platform for Dapps and has seen a significant level of adoption in the last 2-years. This is due to its scaling capabilities and super-low fees. Solana can handle up to 50k transactions per second, and its fees go as low as $0.001 per transaction. In 2022, there has been an upsurge in investments in the Solana NFTs ecosystem running into 100s of millions of dollars. 

Which one is a better buy?

Due to the fast-growing nature of their ecosystems, both Avalanche and Solana have strong odds of growth going into the future. Now that their prices are at record lows from their last all-time highs, the chances are that once the broader market makes a comeback, these two could perform well. However, Avalanche is more likely to outperform Solana in the next bull run. 

This has a lot to do with the history of the two networks. Avalanche has been consistently stable since it launched. On the other hand, Solana has suffered several network outages in the recent past that put its reputation at risk. After the recent Terra collapse, the chances are that many investors will be a lot more conscious of the risks associated with the cryptocurrencies they invest in. This could disadvantage SOL over AVAX in the short to medium term. 

Conclusion 

While both AVAX and SOL are good long-term investments, the odds favor AVAX in the medium term. The collapse of Terra LUNA has driven up investor awareness of cryptocurrency risks, and SOL has more perceived risks than AVAX.

The post Avalanche v Solana – Which one is a better buy? appeared first on CoinJournal.

Shiba Inu’s deflationary tokenomics give it a clear edge over Dogecoin

Key Points:

• Both SHIB and DOGE have strong prospects for growth. They are trading at massive lows while their core fundamentals are getting stronger. 

• Shiba Inu recently launched a Metaverse and a layer-2 scaling solution. 

• Many top organizations now adopt Dogecoin for payments, including Tesla. 

• While the two are likely to perform well long-term, SHIB’s deflationary tokenomics give it an edge over DOGE. 

Shiba Inu (SHIB)

Shiba Inu made history in 2021 as one of the best-performing cryptocurrencies ever. Shiba Inu launched in August 2020, and by November 2021, it was up by 48,000,000%. However, for most of 2022, things have not been rosy for Shiba Inu. Shiba Inu is currently down by over 80% from its November 2021 highs. 

Despite the price crash mainly being a function of the broader cryptocurrency market, the Shiba Inu ecosystem is growing fast. For instance, Shiba Inu recently launched a Metaverse and a layer-2 solution to help scale and cut down on transaction costs. Adoption of SHIB for payment is growing too, which points to Shiba Inu’s potential as a cryptocurrency likely to rebound once the bear market ends. 

Dogecoin (DOGE)

Dogecoin is the oldest meme coin. While it was created as a joke coin, Dogecoin has maintained its position as one of the top cryptocurrencies by market cap since 2013. However, Dogecoin only started making headlines in 2020 after Elon Musk got interested. His tweets about Dogecoin saw it pump and record gains of 12,000% by April 2021. 

Since then, Dogecoin has been in a correction and has struggled to retest its all-time highs. That aside, Dogecoin adoption continues to grow, and many large corporations now accept Dogecoin payments. These include the Dallas Mavericks and Tesla, which now sell some of their low-cost merchandise in Dogecoins. 

As adoption grows, Dogecoin has a good chance to perform well once the market turns bullish again. The fundamentals are getting better, and Dogecoin in 2022 is miles ahead of where it was in 2020. 

Which one is a better buy?

Both Dogecoin and Shiba Inu are among the best meme coins to bet on in the long term. However, in terms of absolute gains, the odds favor Shiba Inu as the likely winner of the two. That’s because of its deflationary tokenomics. SHIB also has a more robust ecosystem that includes a Metaverse. 

Conclusion

While both Shiba Inu and Dogecoin have the potential for long-term growth, SHIB could perform better. It has a more extensive ecosystem, and its deflationary tokenomics favor long-term value growth.

The post Shiba Inu v Dogecoin – Which one is a better buy? appeared first on CoinJournal.

Ankr (ANKR) continues to show bearish signs and could remain on the downside for weeks. The coin is suppressed below several crucial resistance zones. It will take time and a significant change in sentiment for this overall bearish outlook to reverse. Here are some points:

• ANKR was largely exposed to the UST collapse about a week ago.

• UST’s recovery in recent days has however failed to translate into gains for ANKR.

• The coin lost nearly 5% in the last 24 hours.

Data Source: TradingView

Will ANKR recover in 2022?

The long-term outlook for ANKR has always been positive. However, there is still a long way to go before the coin reaches any meaningful milestones. First, the biggest challenge will be to overcome the $0.041 resistance zones. At the moment, ANKR is roughly 15% away from this. 

However, we don’t see the token testing of $0.041 in the coming days. In fact, owing to the broader weakness in the crypto market, ANKR will likely retreat by at least 10% by the end of the week before its next leg up. This will push the token towards its next support of around $0.031. 

Now, here is where things might get interesting. If indeed ANKR consolidates above $0.031 for a few days, it may reverse the downtrend and test $0.04. But if bulls fail to hold that, then ANKR will likely bottom at $0.023 by the end of June.

Is ANKR worth buying?

Despite the price decline over the last few weeks, ANKR still retains very good fundamentals. In fact, the project recently announced a major partnership with the Tron Network. 

So, for the long term buyer, ANKR is a decent buy. However, wait a few weeks for the price action to retreat further. That way, investors can get an even bigger discount as they await a long term ANKR recovery.

The post Ankr’s (ANKR) bearish outlook continues as the coin struggles to escape major resistance appeared first on CoinJournal.

After days of trading sideways and showing very little appetite for trending upwards, Litecoin has finally broken below a crucial support zone. The coin is now facing a major downside and could crash over the coming days. Here are the main takeaway points:

• LTC has broken below the crucial $64.34 support.

• The coin is exposed to a 30% downswing as a result of this.

• However, so far LTC is yet to decisively drop and could still regain this support this week.

Data Source: TradingView 

LTC price analysis: What to expect Next

At the moment, it doesn’t seem like LTC will crash. If anything, the bulls are trying to regain the $64 mark. The coin will need to gain around 5% over the next 24 hours to reclaim the support. However, although this may look like a simple thing, LTC has actually remained suppressed below that price for most parts of the day. 

We do not think there is enough buying activity in the market to push LTC above $64. As a result, we expect the coin to remain closer to the price at the end of the day but ultimately, LTC will not close above this price. 

This will trigger a decisive sell-off over the coming days that could see LTC drop by nearly 30%. The altcoin will eventually settle at around $51 in this bearish cycle before it tries to find its next run. But if more weakness follows and LTC loses $51, it could crash to $40.

How to trade this set-up?

The downside risk for LTC is significant right now. The best you could do is to wait a few days to see if bulls can regain $64 and keep the price action above it. 

But if you are looking to buy LTC for the long term, there will be an opportunity to get it cheap when it tanks to $51 or thereabout.

The post Litecoin (LTC) breaks below crucial support – What to expect next appeared first on CoinJournal.