Top 3 Coins to Watch Today: FTM, SAND, DOT – January 11 Trading Analysis

January 11, 2022, 8:00 AM AEST - 6 days 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. Fantom (FTM)

Fantom FTM is a directed acyclic graph (DAG) smart contract platform providing decentralised finance (DeFi) services to developers using its own bespoke consensus algorithm. Together with its in-house token FTM, Fantom aims to solve problems associated with smart-contract platforms – specifically transaction speed, which developers say they have reduced to under two seconds.

FTM Price Analysis

At the time of writing, FTM is ranked the 30th cryptocurrency globally and the current price is US$2.20. Let’s take a look at the chart below for price analysis:

Source: TradingView

FTM‘s 174% bounce from the December low ran into resistance near the old all-time highs. This rejection created a set of relatively equal highs near $3.15, possibly forming the next bullish leg’s target. Until then, the price will likely encounter resistance near $2.86.

Currently, the price is testing possible support near the January open, around $2.28. This level also has confluence with the 78.6% retracement of the current local range and the 18 and 40 EMAs. 

If this level fails to provide support, a zone from $1.90 to $1.71 might mark a possible swing low or consolidation area. This zone is between the 61.8% and 78.6% retracement of December’s swing.

A more bearish tone in the market could propel the price lower. The December lows, near $1.19, might mark an area of possible support as well as a bearish target.

2. The Sandbox (SAND)

The Sandbox SAND is a blockchain-based virtual world allowing users to create, build, buy and sell digital assets in the form of a game. By combining the powers of decentralised autonomous organisations (DAOs) and non-fungible tokens (NFTs), the Sandbox creates a decentralised platform for a thriving gaming community. The Sandbox employs the powers of blockchain technology by introducing the SAND utility token, which facilitates transactions on the platform.

SAND Price Analysis

At the time of writing, SAND is ranked the 38th cryptocurrency globally and the current price is US$4.37. Let’s take a look at the chart below for price analysis:

Source: TradingView

SAND‘s impressive 1192% rally during Q4 halted at $8.48 before retracing 51% of the move. This price action created several areas of possible higher-timeframe resistance in the process.

The price found resistance on its last swing upward near $6.72 – an area that could provide resistance again. If this swing high breaks, the price might find resistance near $7.51. If this area does provide resistance, it would suggest the formation of a higher-timeframe consolidation.

The fast move up left little higher-timeframe support. However, a vast zone between $4.12 and $2.45 has provided support before and could give support again on a retest. This zone is between the 61.8%-to-78.6% retracement levels of Q4’s parabolic move.

Inside this zone, the consolidation high near $3.58 to $3.19 might see more sensitivity and mark the bearish target.

Continuation downward through this level, especially if the overall market remains bearish, could retrace most of Q4’s move to the next higher-timeframe support near $1.44.

3. Polkadot (DOT)

Polkadot DOT is an open-source sharding multichain protocol that facilitates the cross-chain transfer of any data or asset types, not just tokens, thereby making a wide range of blockchains interoperable with each other. Polkadot’s native DOT token serves three clear purposes: providing network governance and operations, and creating parachains by bonding. The Polkadot protocol connects public and private chains, permissionless networks, oracles and future technologies, allowing these independent blockchains to trustlessly share information and transactions through the Polkadot relay chain.

DOT Price Analysis

At the time of writing, DOT is ranked the 10th cryptocurrency globally and the current price is US$23.77. Let’s take a look at the chart below for price analysis:

Source: TradingView

DOT has remained between approximately $24.76 and $31.25 since its retracement from November 2021.

Continual retests of the $22.34 level might signify that the price is ready to run to the larger range’s lows – particularly if traders dump their holdings following the recent Bitcoin price crash. 

If this move down occurs, a broad zone from $21.56 to $19.84 may provide support. The upper portion of this zone may see more sensitivity.

Continued bearish market conditions could prompt continuation down through the level. If so, the next higher timeframe area of interest for bulls is likely near $17.96.

The 9, 18 and 40 EMAs, near $27.52, might provide resistance before running the range lows. This area has confluence with multiple swing highs and lows. 

However, the current proximity to the local range low could prompt a move toward the range highs. If so, $29.44 might be the near-term target for bulls. Before entering, traders might wait for confirmation that one direction is more likely to unfold.

If the overall market becomes more bullish, the price could continue through the local range highs. If so, a zone from $31.76 to $35.81 – particularly the lower half – could see profit-taking from bulls.

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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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