The rotation into altcoins continues as Bitcoin’s price consolidates between $35,000 and $38,000, creating near-term opportunities for traders to profit from rising altcoins. Traders are benefiting from this shift, which is funneling capital into the altcoin sector and strengthening support for leading altcoins such as MATIC, Solana and Chainlink, pointing to a promising week ahead.
The probability of a continuation of the bullish trend increases
Anticipation for a bullish wave in the market is growing with the upcoming Bitcoin halving. Investors who have held on to their tokens since the previous surge and those who bought at peak prices around November 2021 are particularly optimistic about potential gains. However, historical trends suggest that not all tokens that peaked in 2021 may experience the same spike in the upcoming rally.
Recent trends indicate that Polygon’s MATIC, Solana, and Chainlink could look to regain their all-time highs during the next bull run as these altcoins have shown consistent appreciation in recent weeks.
Polygon (MATIC) price analysis
Polygon’s price momentum accelerated as it crossed the $0.70 mark, but hit resistance at $0.87, indicating potential sell-off near this high.
A retracement to the $0.7 level, marked by the 38.2% Fibonacci line, could be in sight if the price falls below $0.77. A bounce from this point could increase the chances of Polygon breaking past the $0.87 resistance. Success in this move could mark the completion of a ‘double bottom’ pattern for MATIC price, targeting a rise above $1 next week.
Solana (SOL) Price Analysis
There is no doubt that Solana price is making huge gains these days as shown by the daily price chart. SOL price rose 164% in a month and 41% in the past seven days. Currently, bulls are trying to break a crucial resistance level, which will cause the price to skyrocket in the coming week.
Should Solana (SOL) price maintain momentum above the crucial resistance at $59, it could signal the start of a new uptrend, which could potentially push the price towards $70.
Chainlink (LINK) price analysis
Chainlink’s price recently reached $15, with bullish attempts to push the rally further meeting resistance, as evidenced by the long fuse on the candlestick indicating selling at higher prices. At the time of writing, LINK price is trading at $16.2, up over 7.3% in the last 24 hours.
LINK price could drop to $13, which corresponds to the 50% Fibonacci retracement level. A strong recovery in this price could prompt buyers to challenge the USD 19 resistance. A breakout could send the price to $29.
Conversely, a drop below $13 could signal a sell-off, potentially leading to a decline towards the 20-day Exponential Moving Average (EMA) at $12.3, a level that is likely to see a fierce battle between buyers holding on to a rally and sellers aiming for a rally. to take advantage of recent gains.