Wednesday’s Technically Speaking looked at five altcoins whose charts were positioned for bullish breakouts and had yet to experience the big moves higher the rest of their peers have already experienced.
Today, we will cover the same material and market cap requirement of at least $100 million.
$KNC‘s weekly chart shows that despite being stuck inside the Cloud, it has a lot more room to move higher than lower.
The Tenkan-Sen and Kijun-Sen sit in the $0.79 value area and represent the level bulls need to close and stay above to move higher.
Above those two Ichimoku levels, the final resistance level is the top of the Cloud, Senkou Span B, at $1.26.
Like KNC, $CVC is stuck inside its weekly Cloud.
And it does look ugly for the bulls because the Tenkan-Sen, Kijun-Sen, and top of the Cloud (Senkou Span B) are parked between the $0.13 and $0.15 value areas.
However, there is a big gap between the bodies of the weekly candlesticks and the Tenkan-Sen. If the momentum to return to equilibrium is strong enough, then CVC might have enough oomph to break out above the weekly Cloud for the first time in its history.
It’s easy to forget that back in the week of November 13, $YFI rallied nearly +80% only to wipe out all of those gains and eventually close in the red.
Ever since that whipsaw event, consolidation, and congestion have been the name of the game for Yearn.
There are a couple of things that YFI has going for it that warn of another move higher:
- The Cloud is thin, indicating weakness.
- There are sizable gaps between the bodies of the candlesticks and the Tenkan-Sen.
Ichimoku traders and analysts are looking for the first confirmed Ideal Bullish Ichimoku Breakout on the weekly chart Yearn has ever had. And that can only occur when it closes above the Tenkan-Sen and Kijun-Sen.
A good number of altcoins look like $ENJ‘s weekly chart – altcoins close to breaking out above the weekly Cloud for the first time.
Enjin’s bulls are battling for control to move into the Cloud, but even if they do get inside the Cloud, Senkou Span B might be a challenge to break.
Senkou Span is the strongest level of support/resistance within the Ichimoku system, and that strength is exacerbated when it is flat over a long period.