Kategorie: Crypto News

After a decisive slump in December, Avalanche (AVAX) and most cryptos have rebounded. Although momentum is starting to die down, we have seen some positive uptrend in recent weeks. But can AVAX sustain enough gains to surge beyond the $147 mark? This will take the coin to all-time highs. Well, before we get to the price action and analysis, here are some highlights:

• Avalanche (AVAX) has in the last two days surpassed its 20-day EMA of $109, suggesting bullish momentum.

• At the time of writing, the coin was trading for $113.74 albeit it was down about 3.68% in 24-hour intraday trading.

• The Relative Strength Index or RSI is also looking bullish with a reading of around 57.

Data Source: Tradingview.com 

Avalanche (AVAX) – Price analysis and prediction

For most analysts watching AVAX, one of the key things in the price action was to see if the coin can surge beyond its 20-day EMA and sustain gains above that. Well, AVAX did exactly that two days ago and even though it has seen some losses over the last 24 hours, it is still way above the 20-day EMA. 

AVAX is however facing stiff resistance at $119.69. The coin had earlier tested that threshold but has since fallen. But as long as the price action is above the 20-day EMA, a surge above $119 is possible. It could also be the momentum trigger needed to push AVAX well above $147.

Should you buy Avalanche (AVAX)

Avalanche is one of the main competitors to Ethereum. It is today among the most promising blockchain projects. If you are a long-term investor, you should definitely have AVAX in your portfolio. The recent price action however makes it a tricky one for short-term plays. Unless the coin drops below its 20-day EMA, it is not primed for short-term speculative trades.

The post Can Avalanche (AVAX) surge towards all-time highs of $147? appeared first on Coin Journal.

Chainlink (LINK) is a smart contracts platform that ranks among the top 20 crypto projects in terms of market cap. At the start of December, LINK, its native token, saw a sizable correction that sent the price tumbling. But the coin was able to find sufficient support around $17 and consolidated there. It has since reported decent gains ever since. Here are the highlights:

• At the time of writing, LINK was trading at $22.43, down 4% in intraday day trading.

• Despite this, the coin is still up over the last 7 days, reporting gains of nearly 15% over that period.

• However, LINK is facing major resistance around the $23 mark, something that could hamper a prolonged bull run.

Data Sources: Tradingview.com 

Chainlink (LINK) – Price analysis and prediction

After a decisive correction, there were fears among analysts that LINK could tumble well below $15. But despite this downtrend, we saw the coin find support and consolidation around $17. It stayed there for some time before breaking out towards $20. At the time of writing, the LINK was trading at $22.43. 

We are however seeing a lot of resistance around $23. LINK must surge beyond that and sustain those gains for any decent uptrend to take hold. It is however important to note that RSI readings suggest that LINK is overbought. For this reason, upward momentum could face severe bear pressure if current LINK holders decide to lock in their profits.

Should you buy Chainlink (LINK)

Chainlink (LINK) has always been a great investment for anyone looking to diversify their crypto portfolio. The long-term fundamentals are just too good to ignore and besides, LINK has also delivered decent returns this year. We think the price right now is still discounted and offers a good opportunity to get in on the action. There will however be significant short-term volatility.

The post Should you buy Chainlink (LINK) today? Price analysis and predictions below appeared first on Coin Journal.

While Bitcoin remains on top of the cryptocurrency market, other upcoming coins challenge this supremacy. One such coin is Polkadot, a relatively new coin carving its niche in this industry. But what is Polkadot, and how does it work? Understanding what this coin is all about will help you determine if it is a worthwhile investment.

Polkadot is a bit different from its predecessor Ethereum. Unlike Ethereum, which has only one avenue for transactions, such that only one transaction can happen simultaneously, Polkadot operates on parachains or parallel chains that are a series of interconnected blockchains. The parachains allow more transactions on the Polkadot blockchain, making it cheaper than carrying out these transactions on Ethereum.

Polkadot developers have also made the platform flexible enough to connect to other blockchains easily. This ability allows it to serve specific requirements. It makes the platform more interactive as compared to Ethereum.

Polkadot has shown some significant growth and seems like a good investment. However, you should keep in mind that there are no clear-cut reasons for investing in any digital currency. All of them are volatile and can either make you money or lead to losses. It all stems down to your research and making informed decisions. That said, here are five reasons why you may want to have the coin in your portfolio.

Polkadot solves interoperability issues

Polkadot protocol is unique as compared to other blockchain platforms. Interoperability has been a challenge for most blockchain-based projects. Blockchain projects are forced to create bridges to connect with other each other. These bridges increase the cost of transactions.

Polkadot is becoming popular with both investors and users because it is solving this problem. The protocol allows communication from public to private networks and private to public networks at no additional cost.

The protocol will enable the networks to transfer any data, assets and tokens. Solving this issue has seen Polkadot rise in popularity and value as it attracts more users, making it a worthwhile investment.

Polkadot allows for specialisation and customisation

This feature is another cause for the popularity of the Polkadot platform. There are many blockchains, and each has different functionalities. No one blockchain provides a platform able to support all functionalities. Polkadot provides a Substrate development framework that allows other blockchains to customise their platforms to fit a particular use case. With different blockchains operating on the same platform, developers can now focus on only the necessary code. This simplification allows more projects on the Polkadot platform that will continue attracting more developers, users, and, by extension, investors. As the Polkadot community continues to grow, so will its value. Investing in it now could see your investment grow tremendously soon. You can make good money if the coin rises even with a small margin.

Polkadot has a robust team

Polkadot project is spearheaded by a group of skilled and experienced developers. This project is part of the Web3 Foundation founded by one of Ethereum developers and co-founder Gavin Wood. Gavin is well known for developing Proof-of-Authority (PoA) consensus, Whisper and Solidity, among other developments. Other developers include Robert Habermeier, an experienced developer with expertise in distributed systems, cryptography and blockchains, as well as Peter Czaban, who holds a Master’s degree from Oxford University and has experience in data analytics. With such a team behind this project, you can expect better and bigger developments to take place in the future. With such prospects, the Polkadot project is likely to grow in value, making it a coin worth investing in.

Polkadot has a high market cap

In addition to its functional features, Polkadot has also shown some impressive growth in its financial side. The coin currently has a market cap of more than $24 billion. Such a market cap indicates that the coin is highly stable. It is unlikely to be affected by sudden market shocks as its high capitalisation keeps it stable. You acquire the market cap by multiplying the total number of coins in circulation with the coin’s current price. Even though all cryptocurrencies are volatile and are adversely affected by sudden market shocks, a high market cap provides some form of cushion from this shock. The market cap also indicates the value of a particular coin. Coins with high market caps are lower-risk investments since they can sustain market shocks. Polkadot has shown that it can do this by holding on to its value despite the crypto market going through severe shocks in the last few months.

Polkadot has a high liquidity

The liquidity of a cryptocurrency is the ease with which you can buy or sell it when you need to convert it into fiat currency without significantly affecting its price. It reflects the general health of a cryptocurrency. A highly liquid coin is easier to trade as you will always find willing buyers and sellers in real-time. You can quickly capitalise on any trading opportunities that present themselves in the market. To determine the liquidity of a coin, check its daily trading volume. The higher it is, the higher the coin’s liquidity. In the last 24 hours, Polkadot has recorded a trading volume of more than $1 billion. This volume indicates that there is enough demand in the crypto market for this coin. Whether you plan to buy it and keep it for the long or short term, you will be able to sell it when you need to.

The post 5 Reasons to Buy Polkadot appeared first on Coin Journal.

Yearn Finance (YFI) saw a very decent uptick in December, even as the broader crypto market reported a dip in sentiment. But it seems the coin has lost some of that upward momentum. Although there is still an upside for growth, it looks highly unlimited. YFI could plunge towards $25 000 in the coming days as a result. Here are some of the highlights so far:

• Despite seeing a bullish surge, YFI has entered a downward spiral, losing nearly 17% over the last 7 days.

• At the time of writing, YFI was trading at $29,919, down over 10% in intraday 24-hour trading.

• There appears to be significant bear pressure on the coin, and estimates show a near-term plunge.

Data Source: Tradingview.com 

Yearn Finance (YFI) – price action and analysis

Analysts are becoming increasingly bearish about YFI. There are several reasons for this. First, after recording significant gains in December, the upward trajectory has somewhat stagnated. We were looking to see how long YFI could test the overhead resistance of $33.750 but the coin has since fallen sharply from there and is trading at below $30, 000. 

Also, a look at the chart shows YFI is significantly overbought, leaving very little room for a bullish upside. In fact, the RSI is well into bear market conditions. For this reason, we expect YFI to show some weakness in the price action in the coming days, pushing it well towards $25 000.

Should you buy Yearn Finance (YFI)

Right now, it would be best to wait a bit. The downtrend expected could give investors the chance to buy YFI at a discount. And since this is a promising DeFi project that has superb long-term potential, getting in while the price is low is always highly advised. Just give it a few days and see how the price action plays out.

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