Table of Contents
As is the custom every Friday, this time we will focus on the Altcoin Index and Shitcoin Index, so that we have a general awareness of how altcoins and shitcoins are doing. However, if you want some broader information about the markets, try playing yesterday’s live stream, where I solved the whole issue a little longer than usual. Well, that was all to begin with.
Current situation at 1D TF Altcoin Index (futures)
The Altcoin Index tested the S / R level of 2,600 points for the third time and a smaller rebound was achieved, which meant an appreciation of about 17%. There was also a volume spike, but in the overall context, the buying pressure was the same below average. In any case, a reflection could be expected, but the question is how long the resulting growth will last.
The first reflection occurred on May 23, and the price expanded for about two weeks. The second rebound dates back to June 22, which also lasted about two weeks, but the appreciation was significantly lower than the first rebound. So can we expect the described development to be repeated for the third time? It is possible.
Respectively, until there is a significant change in the market environment, we must calculate that we will test the 2,600 points again within two weeks. And if that happens, the behavior pattern for the Altcoin Index, where the reflection is getting weaker, tells us that the third test is likely to end in a breakthrough support.
The only positive thing at the moment is that the exchange rate probably broke through the drawn local resistance diagonal. The question, however, is whether he can stay above it. However, it cannot be ruled out that this breakthrough cannot be the nucleus of something bigger. But so far it is soon for the final trial.
Indicators
Thus, after more than half a year, the resistance diagonal was broken at RSI. That the first swallow announcing a stronger expansion? We’ll see, it’s just too early for now. There was a fresh bullish cross on the MACD, while a bearish cross took place a few days ago.
Current situation at 1D TF Shitcoin Index (futures)
Of course, the Shitcoin Index has a similar development as the previous market, but there are differences in volumes, for example. In any case, the market managed to test the S / R level of 3,000 points, which withstood it without any problems. A significant loss, however, is that the market failed to maintain an S / R level of 4,700 points, resulting in a loss of more than 30%.
After that relatively fresh rebound, the value of the index rose by about 24%. We can identify even a very small spike in the volumes, but otherwise nothing simply changes in the fact that the volumes are very weak. Liquidity is quite bad in the market, and therefore it is reasonable to count on risk, related to it.
Furthermore, it was a success for the Shitcoin Index to break through the top wall of the drawn channel. Now it is again questionable how long the expansion will last, because in close proximity the S / R level is 4,700 points. We’ll see if there’s any testing at all.
Indicators
The RSI indicator has another new low at about 28 points, so for the first time this year we have cut extreme values below 30 points. Otherwise, the indicator curve is currently testing the resistance diagonal, which the market respects for a few months.
In conclusion
The situation is not at all favorable for the Altcoin Index and Shitcoin Index. The rates are still on the ground and the volumes are somehow very bad. Until volumes return to markets, alts with shitcoins are still very risky due to poorer liquidity. In general, however, BTC decides mainly. If something doesn’t happen at BTC, everything else will be without initiative.
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