Turning to the charts we can see that the massive bear flag on BTC’s monthly chart broke to the downside last week unless we suddenly see some biblical reversal driven by an unforeseen macro Factor later this week.
BTC could fall to the 10K level in October or November so brace yourselves.
Last week’s top performing cryptos were Reserve rights, XRP, Algorand, Compound and Chiles.
Starting with Reserve rights the RSR coin appears to have rallied because the project will be deploying a new protocol sometime next month.
Now as you can see RSR’s Bollinger Bands and RSI are flashing oversold on the weekly time frame.
I expect to see a reversal in the coming days especially with all the resistance around these price levels.
Next up we have XRP which rallied on the speculation that the SEC’s case against Ripple will soon be resolved.
I reckon this depends on the outcome of the SEC’s case against Library which should be announced this week and will set a precedent for current and future crypto crackdowns.
Like RSR, XRP is looking extremely overbought on the weekly and there is lots of resistance around the 50 Cent range.
The charts suggest that XRP will see a correction fairly soon.
Let’s just hope that it doesn’t line up with an undesirable outcome in the library case.
As for Algorand you’ll know ALGO rallied on the release of State proofs.
Believe it or not but the weekly chart suggests ALGO could continue its rally.
The question is whether there will be a catalyst for this rally to continue.
In the absence of such a catalyst it’s hard to see how this upside move would play out.
Now when it comes to Compound the COMP token rallied on the news that the compound D5 protocol opened its doors to institutional borrowing and lending.
Like ALGO, COMP seems to have more room to the upside on the weekly chart, however it is Again difficult to see which Catalyst could take it to the upper Bollinger band range and the 80 range on the RSI.
Last but not least we have Chili’s which has been a top performing crypto for many weeks.
Now this seems to be because cryptocurrency exchanges continue to list Chile’s fan tokens as a result CHC is extremely overbought on the weekly.
If it’s another top performing crypto next week I will be extremely surprised and that is putting it lightly.