Top 3 Coins to Watch Today: ALGO, LUNA, RVN – November 5 Trading Analysis

November 05, 2021, 8:00 AM AEST - 3 weeks ago

Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.

1. Algorand (ALGO)

The Algorand ALGO blockchain is a permissionless, pure proof-of-stake blockchain protocol. Unlike proof-of-work (PoW) blockchains, where the root block must be validated by randomly selected validators (using computing power), in the pure proof-of-stake approach all of the validators are known to one another and only have to agree on the next block in order to create a new block. Algorand was invented to speed up transactions and improve efficiency in response to the slow transaction times of Bitcoin and other blockchains.

ALGO Price Analysis

At the time of writing, ALGO is ranked the 20th cryptocurrency globally and the current price is A$2.47. Let’s take a look at the chart below for price analysis:

Source: TradingView

After creating a second equal low in mid-July, ALGO has rallied nearly 95% into resistance that starts near A$1.92.

Aggressive bulls looking for a continuation to the nearest cluster of relatively equal highs around A$2.49 might look for bids near A$2.37. More significant resistance rests above near A$2.57. A group of significant swing highs at A$2.64, A$2.67 and A$2.69 give possible targets if this resistance breaks.

A stop run on the recent low at A$2.35 into possible support beginning near A$2.30 might see stronger bidding. This area also has a confluence with the September monthly open.

A bearish market shift could reach the swing low at A$2.28 into possible support beginning near A$2.24.

2. Terra (LUNA)

Terra LUNA is a blockchain protocol that uses fiat-pegged stablecoins to power price-stable global payments systems. According to its white paper, Terra combines the price stability and wide adoption of fiat currencies with the censorship-resistance of Bitcoin and offers fast and affordable settlements. Terra’s native token, LUNA, is used to stabilise the price of the protocol’s stablecoins. LUNA holders are also able to submit and vote on governance proposals, giving it the functionality of a governance token.

LUNA Price Analysis

At the time of writing, LUNA is ranked the 12th cryptocurrency globally and the current price is A$63.90. Let’s take a look at the chart below for price analysis:

Source: TradingView

After breaking its March high on August 16, LUNA began a range that has been whiplashing both bulls and bears.

Resistance beginning near A$64.35 held the price down for the second half of September, although bulls have shown some strength near the 9 and 18 EMAs. 

A quick drop to A$49.37, or into the zone beginning near A$46.87, could give bulls the fuel to push through the nearby resistance. If this resistance breaks, the high near A$69.47 provides a reasonable target. 

A break of this level could move further into uncharted territory with the nearest probable resistances projected around A$78.28 and A$84.57.

More patient bulls might be waiting far below the 40 EMA with bids near the higher-timeframe range’s 61.8% retracement, near A$41.59.

3. Ravencoin (RVN)

Ravencoin RVN is a digital peer-to-peer (P2P) network that aims to implement a use case-specific blockchain, designed to efficiently handle one specific function: the transfer of assets from one party to another. Built on a fork of the Bitcoin code, Ravencoin aims to solve the problem of assets transfer and trading over the blockchain. Previously, if someone created an asset on the Bitcoin blockchain, it could be accidentally destroyed when someone traded the coins it was created with. RVN coins are designed as internal currency within the network and must be burnt in order to issue token assets on the Ravenchain.

RVN Price Analysis

At the time of writing, RVN is ranked the 86th cryptocurrency globally and the current price is A$0.1884. Let’s take a look at the chart below for price analysis:

Source: TradingView

Since August high, RVN‘s 77% drop marks the current range as a reasonable area to expect accumulation.

The recent bearish flip of the 9, 18 and 40 EMAs might cause bulls to be less aggressive in bidding. However, possible support near A$0.1533 and A$0.1398 – between the 61.8% and 78.6% retracements – could see at least a short-term bounce. 

Last year’s long-term consolidation suggests that the areas near A$0.2346 and A$0.2658 may be more likely to cause a longer-term trend reversal.

Bears are likely to add to their shorts at probable resistance beginning near A$0.1912, which has confluence with the 18 EMA. A fast break of this resistance could trigger more selling near A$0.2175, the start of the bearish move.

If an aggressive bullish move does appear, trapped buyers in the probable resistance beginning near A$0.2240 might provide a ceiling for this impulse.

Where to Buy or Trade Altcoins?

These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.

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