When it comes to cryptos, it’s all about the benchmark blockchain asset. According to Reuters, the original virtual currency reached a record price of $68,999.99 in November 2021. As of this writing, the decentralized asset stands at just over $68,200. While nothing is guaranteed, breaking the record seems a formality at this point.
By magnitude, we’re talking about a little over 1% difference. That’s nothing in the world of cryptos. Further, the bulls that got the benchmark blockchain asset to this point are likely thinking the same thing: we got this far, we must as well finish the job.
Indeed, it’s similar to reaching the South Col camp but never making it to Mt. Everest’s peak. To risk life and limb – not to mention sacrifice every creature comfort you’ve enjoyed since birth – and not reaching the summit would be a tragic letdown.
I don’t think that’s going to happen. There’s just too much enthusiasm driving the price of virtual currencies higher. On that note, below are seven cryptos to keep on your watch list.
Bitcoin (BTC-USD)
Of course, when I refer to the benchmark blockchain asset, I’m talking about Bitcoin (BTC-USD). In the past 24 hours, BTC gained over 7%. Over the past seven days, it shot up nearly 25%. At this moment, Bitcoin is within spitting distance of matching its all-time high. Just one more push by the bulls and the milestone is theirs.
Even more encouraging, BTC – like many other cryptos – may have more momentum to enjoy. According to its point-and-figure (P&F) chart, which purely measures price movements without time consideration, Bitcoin printed a bullish triangle breakout pattern. Essentially, this formation resolves the tension between the optimists and pessimists to the former category’s favor.
One factor to note is volume. Late last month and also earlier on Monday, Bitcoin enjoyed strong acquisition volume, which implies rising conviction. It’s possible that a little breather may occur. However, I would be shocked that when we do this again next week if Bitcoin hasn’t already popped to a new high.
Ethereum (ETH-USD)
Similar to Bitcoin and other major cryptos, Ethereum (ETH-USD) enjoyed a tremendous rally. Over the past 24 hours, the virtual currency posted a return of slightly more than 4%. In the past week, it gained nearly 12%. Right now, ETH trades hands at just over $3,600. Clearly, the bulls are eyeballing the technically and psychologically significant $4,000 mark. Per CoinGecko, its all-time high was $4,878.26.
Now, unlike Bitcoin, Ethereum has some ways to go before setting a fresh benchmark. However, from a momentum standpoint, it’s the one to keep your eyes on. Per its P&F chart, ETH posted what’s known as an ascending triple top breakout. According to StockCharts’ education blog, this pattern demonstrates an asset’s ability to forge back-to-back higher highs. Basically, it proves underlying strength indicative of an uptrend.
Notably, Ethereum enjoyed strong acquisition volume on Feb. 28 and earlier Monday. However, a near-term correction is possible given the appearance of a doji-star-like pattern on ETH’s candlestick chart. Still, I think you can trust the P&F assessment: this rally has legs.
Tether (USDT-USD)
As a stablecoin, Tether (USDT-USD) might not seem instructive when it comes to deciphering cryptos. After all, it’s pegged on a one-to-one ratio with the dollar: how much more boring can USDT get? While I’m not going to necessarily disagree with that notion, the benchmark stablecoin – which is the world’s third-most valuable cryptocurrency – deserves attention because of what it signals for the ecosystem.
While USDT is pegged to the greenback, it’s not perfectly pegged. That means there will be cycles where Tether will be worth more than the peg, boding well for cryptos. Conversely, other cycles may see the dollar win out, suggesting opportunities for “fiat-based” investments. At the moment, the peg is perfectly dead-even, one-to-one.
You might be asking, so what? Well, just moments ago – when I began writing this story – Tether traded for $1.0016. As of this writing, though, it’s 1:1 with the dollar.
To be sure, these fluctuations are normal among cryptos. However, it also confirms my suspicions that a near-term recuperation period may materialize before the digital assets bounce higher.
Solana (SOL-USD)
As one of the top altcoins or alternative cryptos over the past few months, Solana (SOL-USD) has again rewarded stakeholders with a strong performance. Over the past seven days, SOL returned 16% of market value. However, unlike other cryptocurrencies, it incurred muted trading over the past 24 hours. Still, this shouldn’t discourage the bulls.
Yes, volume trends have been fading after a sizable acquisition pop on Feb. 29. Ideally, you’d like to see rising volume confirm a rising price. However, SOL may be a bit overheated at the moment so a respite wouldn’t be out of the question. That would actually help make the broader rally more sustainable.
Looking at SOL’s P&F chart, it shows no recent discernible chart pattern. However, there also doesn’t appear to be much downside pressure. So, it’s possible SOL may linger a bit in a relatively sideways pattern.
Citing Barchart’s trader’s cheat sheet, upside resistance may arrive between $134.35 to just under the $135 level. The scary thing for bearish speculators is that if SOL breaks upside resistance at $144.64, a quick flight to $175 may be in order.
XRP (XRP-USD)
While the excitement factor may have worn off since last year’s federal ruling, XRP (XRP-USD) remains an intriguing prospect among more speculative cryptos. Indeed, it’s probably the decentralized asset to watch this week. Over the past one-week period, XRP returned stakeholders about 14% of market value. At the moment, though, it’s consolidating its gains, perhaps saving energy for the next big move.
Its candlestick chart looks awfully compelling. After struggling to break above its 50-day moving average early last week, the popular altcoin broke above that and the 200 DMA, which sits at around 56 cents. Presently, XRP trades hands for 64 cents thanks to rejuvenated sentiment. As well, acquisition volume in recent upside sessions have looked strong.
Assessing the coin’s P&F chart, no discernible patterns have emerged recently. However, given the position of supply and demand, bullish speculators may expect a relatively quick ride to 75 cents. From there, a crack at 88 cents isn’t out of the question.
Looking at Barchart’s trader’s cheat sheet, there appears to be layers of resistance up to 74.5 cents. However, given the resurgent volume, I still anticipate a relatively easy ride to 75 cents.
Cardano (ADA-USD)
One of the early altcoins, Cardano (ADA-USD) has always carried a strong cult. Over the past 24 hours, has kept things interesting, moving up about 1%. However, the real news centers on its trailing-week performance. During this period, ADA returned stakeholders over 21% of market value. It’s possible that the bulls can keep the fire burning.
For one thing, ADA trades robustly above its 50 DMA, which lingers around 57 cents. Also, at 75 cents, ADA is priced well above its 200 DMA (42 cents). Second, acquisition volume has been strong at the end of February and earlier on March 4. Therefore, it’s possible that the bulls have reentered the space.
Per its P&F chart, no discernible patterns have emerged recently. Based on supply and demand dynamics, Cardano bulls will be targeting the 88-cent level. Turning to the trader’s cheat sheet, the next level of resistance comes just above the 79-cent mark. From there, the bears may push back until just below 92 cents.
On the positive side, Cardano enjoys strong support at 75 cents. So, don’t expect too much downside movement from here.
Shiba Inu (SHIB-USD)
Given the extreme volatility and unpredictability of the digital asset, Shiba Inu (SHIB-USD) is not particularly my favorite topic. Also, its price denomination is so small that it’s difficult to read. Despite these and other inconveniences, I would be remiss not to mention the meme coin. Simply put, it’s been an absolute tear.
Over the past 24 hours, Shiba Inu gained about 63%. It’s hard to pinpoint exactly its return because the bulls are pushing the price higher as I write these words. Even more impressive, speculators have driven SHIB up a blistering 274% over the past seven days. Even when stacked against the wild world of cryptos, that’s just a bonkers figure.
Still, those who bought in due to the fear of missing out (FOMO) may have wished they did exactly that, miss out. Since its Monday peak, SHIB has also lost 16% of market value.
Regarding the good news, there appears to be strong support at the 0.0000326 price. As for the not-so-pleasant news, that’s still about a 16% drop. However, given the enthusiasm for blockchain assets, SHIB might still fly higher.
On the date of publication, Josh Enomoto held a LONG position in BTC, ETH, USDT and XRP. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
