In a post on X, crypto analyst Miles Deutscher laid out his strategic predictions for high-performing cryptocurrencies in the upcoming week to his 501,700 followers. His analysis delved deep into Bitcoin’s trading patterns, the surging AI-driven altcoin sector, and specific tokens that are displaying considerable potential due to recent developments and broader market dynamics.

Bitcoin And AI Crypto Tokens Are Set To Dominate This Week

At the forefront of Deutscher’s analysis, Bitcoin has recently returned to its previous trading range between $60,000 and $69,400 after experiencing a sharp drop. This movement was characterized as a significant deviation, suggesting manipulation or a shakeout of weak hands before a potential rally.

“Bitcoin is at the top of my watchlist for this week. Had a big fakeout/deviation to the downside, and now back within the range,” Deutscher stated. He pointed out that the key factor to watch is whether the current range’s lower boundary will hold, which could serve as a strong foundation for an upward trajectory.

Moreover, the AI sector has been particularly resilient and robust recently, bouncing back significantly amidst broader market recoveries. Deutscher highlighted the sector’s potential for outperformance, driven by several upcoming major events.

These include Apple’s Worldwide Developers Conference (WWDC), NVIDIA’s earnings announcement, and the anticipated release of ChatGPT 5. “AI is one of those unique narratives that retains constant mindshare due to its endless real-life news flow/hype,” Deutscher explained.

One specific AI token which Deutscher watches closely due to its alleged partnership with Apple is Render (RNDR), making it a prime candidate for speculation around the upcoming Apple event. Historically, RNDR has also led the AI token sector during market rotations.

Furthermore, Deutsches focuses on Near Protocol (NEAR), Fetch.ai (FET), AIOZ Network (AIOZ). He grouped these tokens together due to their correlation but noted their recent technical performance, where they bounced cleanly off daily support levels and established higher lows.

More Altcoins To Watch

TON: Recently the center of attention, TON experienced a drop after the Token2049 event in what Deutscher described as a “sell-the-news” scenario. However, recent investments by firms like Pantera signal continued interest and potential undercurrents of growth.

Ethena (ENA): With the market sentiment turning bullish again, Deutscher anticipates a return to positive funding rates, which typically benefit tokens like Ethena. Recent activity from the Ethena team, including increased reward boosts and optimistic social media posts from its founders, further bolster the bullish case. “Also hearing rumors of a T1 exchange listing,” Deutscher added, suggesting an impending increase in liquidity and exposure.

Jito (JTO): Jito is reportedly developing what Deutscher referred to as the “Eigen Layer of Solana,” aiming to replicate the success and hype surrounding the Eigen project’s layer solutions. Despite the challenges of a recent airdrop, Deutscher sees potential if the team executes well, particularly as the restaking narrative has not yet fully penetrated the market.

PopCat (POPCAT): Despite facing some fear, uncertainty, and doubt (FUD) related to copyright issues over the weekend, POPCAT continues to exhibit strong price action, pushing toward new highs. “POPCAT seems the best contender, for now, not a single cat meme coin has yet to hit a $1B market cap,” noted Deutscher, highlighting its standout performance.

Ethereum Finance (ETHFI): In the realm of liquidity reward tokens (LRT), ETHFI remains a notable mention despite a broader sector sell-off post-Eigen. Deutscher believes the selling may have been overreactive, and with total value locked (TVL) still on the rise, a reversion to mean on prices could be imminent.

SEI Network (SEI): As anticipation builds for the launch of the new layer one blockchain, Monad, later this year, SEI is seen as a strategic play. Categorized within the parallelized Ethereum Virtual Machine (EVM) narrative, SEI experienced a substantial sell-off but is poised for recovery as the market focus shifts towards upcoming launches.

Friend (FRIEND): After recommending FRIEND at $1.30, Deutscher continues to see upside potential, particularly as it approaches more significant centralized exchange listings. He advises keeping an eye out for major pullbacks as opportunities to buy.

Featured image from Matt Paul Catalano / Unsplash, chart from TradingView.com

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

A widely followed crypto strategist says one Dogecoin (DOGE) challenger is way ahead of its fellow altcoins.

Pseudonymous analyst Cred tells his 624,100 followers on the social media platform X that he’s bullish on the frog-themed memecoin Pepe (PEPE).

According to the crypto strategist, PEPE is leading the altcoin pack in terms of market structure as the memecoin moves close to its all-time high even after last month’s marketwide correction.

“PEPE: one of the strongest alts, ahead of several of the others by virtue of breaking its range high (vs. Bonk and Doge, which are still technically testing their respective resistances).” 

At time of writing, PEPE is $0.00000865, less than 20% away from its all-time high of $0.0000106.

Looking at Dogecoin, Cred says that DOGE will likely lose steam if it retests its immediate support at $0.147.

“One of those instances where reaching the best support would make the chart look quite ugly, so options are to hope for low time frame/shallow pullbacks, or breakout chase.” 

At time of writing, DOGE is worth $0.162, very close to the analyst’s next breakout level.

As for fellow memecoin Bonk (BONK), Cred says the altcoin looks bullish as long as it trades above its range midpoint at $0.000025.

“Strong off the lows, at local range high. Shallow pullback and/or breakout punts preferable. Retracing the reclaim back to the range low would be a tough look.”

At time of writing, BONK is trading at $0.0000262.

The last coin on the trader’s list is dogwifhat (WIF). According to the analyst, WIF is in the midst of a new uptrend with invalidation below $3.

“Assuming one-day close doesn’t get stuffed, this move would signify a daily time frame higher high + move back into the former range.

Same area would act as line in the sand for bias i.e. sub $3.” 

At time of writing, WIF is worth $3.37.

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Smart contracts platform Avalanche (AVAX) is generating excitement in the crypto community with a potential breakout signal. Prominent analyst World of Chart has identified a bullish technical pattern that could propel AVAX prices significantly higher in the coming days.

Falling Wedge Pattern Hints At Upside

World of Chart points to the presence of a “falling wedge” pattern on AVAX’s price chart. This pattern typically forms during a consolidation phase, with price action confined between two converging trendlines that slope downwards.

$Avax

Forming Falling Wedge Incase Of Breakout Expecting Upside Continuation Successful Breakout Can Lead Massive Rally In Coming Days#Crypto #Avax pic.twitter.com/YJHJYarrSw

— World Of Charts (@WorldOfCharts1) May 5, 2024

The key aspect of this pattern lies in the diminishing price range within the wedge, suggesting a buildup of buying pressure. A breakout from the upper trendline is often interpreted as a bullish signal, indicating a potential reversal of the downtrend and the start of a price surge.

Avalanche Poised For Takeoff?

AVAX might see a significant upswing if it is able to break above the upper trendline of the falling wedge, according to World of Chart.

Following the breakout, there may be a substantial price increase as a result of this ascent, which would confirm the bullish formation. The expert draws attention to the possibility of significant momentum and an explosive upward advance.

Total crypto market cap currently at $2.3 trillion. Chart: TradingView

The possibility of an AVAX breakout has ignited discussions and speculation among crypto investors and traders, particularly those who actively follow technical analysis.

Investor Caution Advised Despite Bullish Outlook

While the potential for a bullish breakout is high, World of Chart emphasizes the inherent volatility and uncertainty of the cryptocurrency market. External factors beyond technical analysis can significantly impact price movements.

Technical Indicators Paint A Positive Picture

Beyond the falling wedge pattern, other technical indicators seem to be adding weight to the bullish narrative for AVAX. The recent price increase of over 16% in a single week suggests a potential shift in investor sentiment.

Additionally, the impressive surge in trading volume signifies heightened market activity and growing investor interest in AVAX.

Source: Coingecko

Eyes On The Prize: Will Avalanche Deliver?

The coming days will be crucial, with all eyes glued to the price action and any signs of a breakout. A successful breakout could lead to significant gains for AVAX holders, while a failed breakout could dampen investor enthusiasm.

Featured image from Pexels, chart from TradingView

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.