Investors are accumulating token selection as the crypto market shows strong signs of the Altcoin season. Dropstab data currently shows 59 Altcoins flashing accumulation signs.
During the accumulation stage, trading volumes will surge and prices will remain within a certain range for a long period of time. This often fails attempts to break out in either direction. However, new signals are beginning to point to potential directions.
Beincrypto analyzed three such tokens from the drop stub chart showing strong accumulation signals this week.
Pepe (pepe)
Pepe Price is currently at $0.00001257, exceeding the critical support level of 0.00001216. Altcoin recently fell through support of $0.00001389, wiping out some of the profits it earned earlier this month. The price measure suggests that short-term volatility could continue for Pepe.
For the past nine days, Pepe has been in the accumulation stage, suggesting that investors are considering buying it. Prices are vulnerable to minor fluctuations, but it appears that a significant decrease is unsurprising.
If Pepe can bounce back $0.00001216, it could recover in the near future and aim to retest $0.00001389.
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However, if Pepe falls under current support for 0.00001216, the price could further drop below $0.00001152. Moves below this level could indicate even more bearish pressure, negating the bullish prospects of the tokens and suggesting potential losses for investors.
Convex Finance (CVX)
CVX has shown strong momentum over the past week, up nearly 21% over the past 24 hours. This accumulation stage suggests that Altcoin is gaining traction within the market, raising interest in the short term and indicating the potential for an upward movement.
CVX, currently trading at $5.85, is testing resistance level $5.88. The parabolic SAR below the candlestick shows a bullish trend, with prices likely exceeding $6.00 if the uptrend continues.
However, if CVX encounters a bear market situation, the price could drop to $4.16, eliminating recent profits. Decreasing through this level of support will invalidate the current bullish paper, indicating an additional negative side risk for AltCoin.
Tezos (XTZ)
XTZ currently trades at $0.89 and remains in a position above its major support level of $0.87 over the last two days. This stability is attributed to the ongoing accumulation stages observed over the past four days, suggesting that Altcoin may be prepared for further upward momentum.
The 50-day and 200-day EMA is approaching Golden Cross, a bullish signal that could indicate further price growth. If the 50-day EMA exceeds the 200-day EMA, it will push the XTZ price back above $0.99, reaching perhaps $1.08, strengthening the upward trend.
However, if the XTZ cannot hold the $0.87 support, the price could drop to $0.76. Drops below this level will disable bullish outlook and show an even more potential downside of cryptocurrency.
Disclaimer
In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. Although Beincrypto is committed to accurate and unbiased reporting, market conditions are subject to change without notice. Always conduct your own research and consult with an expert before making a financial decision. Please note that our terms and conditions, privacy policy and disclaimer have been updated.
