Litecoin, Binance Coin, Cosmos register corrections; collapse imminent?
Litecoin, Binance Coin, and Cosmos all registered a steady incline over the past 24-hours, with the month of April continuing to highlight bullish momentum for the collective crypto-market. However, with some of these alts noting a decline in the short-term, it would seem that a corrections phase could be underway soon enough.
The 7th largest cryptocurrency in the market registered a sustained period of growth over the past week, with the alt spiking by 3.40 percent over the past 24-hours. However, at the time of writing, corrections had brought its valuation down to $41.16 after a high of $42.84 6 hours ago.
Litecoin registered a market cap of $2.67 billion, while its volume continued to be significantly high at $4.22 billion. Further, the crypto-asset pictured an ascending broadening channel, a development that suggested that a bearish pullback could be on the cards.
However, in spite of the 24-hour rise, the Parabolic SAR indicated a bearish scenario for Litecoin as the dotted markers were hovering well above the candlesticks. The Relative Strength Index or RSI also noted that traders were putting a lot of selling pressure on the market, suggesting that people were exiting Litecoin’s market.
Binance Coin [BNB]
Binance Coin was a rank below Litecoin at 8th and interestingly, the token pictured identical market conditions. BNB’s price movement also gave rise to an ascending broadening channel, as its price geared up for a pullback.
With a market cap of $2.4 billion, BNB was noting an average 24-hour trading volume of $406 million.
Similar to Litecoin, the Relative Strength Index or RSI for Binance Coin pictured a sharp decline which meant the traders were increasing the selling pressure in the market. Increasing selling pressure is bad news for Binance coin as it can completely invalidate its 24-hour gains over the next few days. The Parabolic SAR also suggested the same, with the dotted markers appearing over the candlesticks and giving the upper hand to the bears.
Finally, Cosmos recorded a rise of 2.25 percent over the past 24-hours. Its valuation spiked from $2.29 to $2.34 with a market cap of $448 million. The token had a decent trading volume of $131 million over the past 24-hours and with the Bollinger Bands converging on the charts, Cosmos should not report volatile price swings in the near-term.
However, the MACD and RSI both pictured a different scenario. The MACD completed a trend reversal with the signal line which suggested that the bears were taking control of the charts. RSI’s collapse was also indicative of the fact that the selling pressure was increasing from the traders’ side, which meant that investors were leaving COSMOS’s market.