Crypto Update: Top 3 Altcoins To Watch This Week

While the bitcoin price is currently stuck in a sideways trend, some altcoins on the crypto market are currently showing strong momentum. These three altcoins are currently attracting the attention of investors and traders alike: Shiba Inu (SHIB), Solana (SOL), and Polygon (MATIC). Let’s dive into the technical chart analysis of these altcoins and examine the potential price movements that could unfold this week.

Shiba Inu (SHIB) – A Make or Break Moment

SHIB finds itself at a turning point, where its next move could determine its trajectory for the rest of the year. After experiencing a notable rally earlier this year, SHIB entered a descending trend channel in early February, taking its price below yearly highs. However, there was a breakout from this channel over the weekend, indicating a possible reversal.

As SHIB bulls attempt to validate this breakout, their success could propel the price by as much as 30%, as NewsBTC reported yesterday. This will bring SHIB towards the resistance zone between $0.00000969 (200-day EMA) and $0.00000977 (38.2% Fibonacci), with an important psychological milestone of $0.00001 within reach.

However, confirmation of the breakout is still pending. While Shiba Inu price managed to stay above the trend channel yesterday, the bulls are still hesitating to make an impulsive move towards the 23.6% Fibonacci level at $0.00000834. A breakout above this can be seen as a confirmation of a trend change.

Solana (SOL) – Crypto Surging Against the Odds

Solana (SOL) took the crypto market by storm last week, registering an impressive 39% price increase over the past 12 days. This surge took SOL to a key resistance level represented by the 200-day exponential moving average (EMA).

Breaking this level has been a persistent challenge for SOL since April 2022, but recent developments raise hopes of a possible breakthrough. As of press time, SOL price crossed the 200-EMA to reach $21.98 and was trading at $22.07. A daily close above this price level would be broadly bullish.

SOL’s rally is particularly noteworthy, given the FTX drama and the setbacks it faced due to the SEC classifying it as a security. Should the 200-day EMA be breached, the 50% Fibonacci retracement level and the yearly high of $27.00 could serve as the next targets for an extended rally, which could give investors an additional 22% gains, as described in our previous analysis.

Polygon (MATIC) – New Speed

Recent developments have increased the interest and potential opportunities for investors. The announcement of former Chief Legal Officer Mark Boiron as the new CEO has generated positive sentiment within the community. On-chain data indicates a significant increase in social volume following the news, suggesting increased attention and potentially bullish sentiment for MATIC’s price.

From a technical perspective, MATIC has seen a 40% increase since its local bottom in June. The price is currently below the 23.6% Fibonacci retracement level, and a breakout above this level could potentially lead MATIC towards the 200-days EMA and the 38.2% Fibonacci retracement level, which offers a 22% rally. However, a break of the first Fibonacci level resistance at $0.756 is an important step in keeping an eye on potential upside momentum.

Please note: The analysis and comments in this article should not be considered financial advice. Cryptocurrency investments carry inherent risks, and readers are urged to conduct thorough research before making any investment decisions.

Featured Image from iStock, Chart from Tradingview.com