Buy Signals Detected for Two Strong Cryptocurrencies in this week

Despite the furious activity in the cryptocurrency market, where many assets have already shown overbought signals, a few digital currencies have emerged with intriguing buy signals for the current week.

Source: CNBC
Disclaimer: The opinions expressed here are not investment advice; they are provided for informational purposes only. The opinions expressed by our writers are their own and do not represent the views of DistictToday. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. DistinctToday is not liable for any financial losses incurred while trading cryptocurrencies. We do not recommend investing money you cannot afford to lose.

In recent weeks, Finbold has been meticulous in detecting buy signs for oversold cryptocurrencies, indicating possible downtrend reversal. However, investors should exercise caution because current downtrends may indicate underlying flaws in specific projects.

During positive market times, new narratives and trends frequently arise, creating chances for observant investors. Technical indicators, such as the Relative Strength Index (RSI), which normally ranges between 60 and 70, are useful tools for recognising strong momentum.

Finbold looked to CoinGlass data to gain a better understanding of these buy indications, and he discovered two cryptocurrencies that were flashing significant buy signs amidst the continuous positive trend.

Litecoins (LTC)

Litecoin (LTC) has shown strong momentum, with a weekly RSI of 60.7, which is still below the average RSI of 64.9. This shows a rising bullish trend for LTC, which is now trading at $88.47.

As one of the market’s leading payment coins, Litecoin stands to gain from a growing payment story. Despite a 2.55% loss over the last seven days, LTC has a neutral or weaker RSI on shorter time frames, which may indicate a favourable buying opportunity for investors.

MultiversX (EGLD)

Similarly, MultiversX (EGLD) finds itself in a similar predicament as Litecoin. With one of the lowest RSI values among’strong’ projects, EGLD has a higher risk-reward ratio, indicating significant growth potential within the current trend.

EGLD has retraced 5.29% this week and is currently trading at $67.83. Nevertheless, its native token showcases a robust weekly RSI of 61.32. Noteworthy as the only L1 blockchain featuring fully implemented and battle-tested sharding technology, MultiversX stands as an intriguing investment option.

Despite the promising buy signals emanating from these cryptocurrencies, investors are advised to exercise caution. Vigilantly monitoring the Relative Strength Index of these assets remains imperative in identifying future profit realization opportunities and preempting an inevitable overbought sell signal.

As the cryptocurrencies continue to evolve dynamically, staying informed and adopting a prudent investment approach are paramount for navigating its intricacies effectively.

Leave a Comment