Top 3 Coins To Watch Today: MATIC, LINK, CAKE July 22 Trading Analysis

July 22, 2021, 8:00 AM AEST - 1 week 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. Polygon (MATIC)

Polygon MATIC is the first well-structured, easy-to-use platform for Ethereum scaling and infrastructure development. Its core component is Polygon SDK, a modular, flexible framework that supports building multiple types of applications. Polygon effectively transforms Ethereum into a full-fledged multi-chain system (aka Internet of Blockchains). This multi-chain system is akin to other ones such as Polkadot, Cosmos, Avalanche, etc. with the advantages of Ethereum’s security, vibrant ecosystem, and openness.

MATIC Price Analysis

At the time of writing, MATIC is ranked the 17th cryptocurrency globally and the current price is A$1.22. Let’s take a look at the chart below for price analysis:

Source: TradingView

After its early Q2 bullrun, MATIC has been ranging between approximately A$1.95 and A$1.15.

Last week’s sharp decline ran equal lows into a gap on the daily chart. This down move could set the stage for an attack on the relatively equal highs near A$1.35 if the price can break probable resistance near A$1.27 and A$1.32. 

Above these highs, resistance near A$1.43 could halt a bullish move, although reaching the Q2 high at A$1.98 is possible.

Aggressive bulls might look for entries in possible support near A$1.18 and A$1.15, just below the current price. If the price sweeps last week’s low, the levels near A$1.13 and A$1.10 may also provide support.

2. Chainlink (LINK)

Chainlink LINK is a blockchain abstraction layer that enables universally connected smart contracts. Through a decentralized oracle network, Chainlink allows blockchains to securely interact with external data feeds, events, and payment methods, providing the critical off-chain information needed by complex smart contracts to become the dominant form of digital agreement. The Chainlink Network is driven by a large open-source community of data providers, node operators, smart contract developers, researchers, security auditors, and more.

LINK Price Analysis

At the time of writing, LINK  is ranked the 15th cryptocurrency globally and the current price is A$20.63. Let’s take a look at the chart below for price analysis:

Source: TradingView

LINK‘s spectacular Q2 pump has retraced most of its gains in July as it finds support near A$18.25

Stops under the relatively equal lows near A$19.34 might be swept, along with the swing low near A$19.10. If this sweep happens, the price could find support near A$18.55. A move further down could find more support near A$17.62.

Spikes upward are likely to encounter resistance beginning near A$26.38. If the bullish trend resumes after re-accumulation, some traders might take profits as the price approaches probable resistance starting around A$31.57 and A$34.19.

The Q2 mid-high near A$39.62 provides a clear first primary target. Any price moves beyond this level are challenging to predict from current price action.

3. PancakeSwap (CAKE)

PancakeSwap CAKE is an automated market maker (AMM) — decentralized finance (DeFi) application that allows users to exchange tokens, providing liquidity via farming and earning fees in return. PancakeSwap uses an automated market maker model where users trade against a liquidity pool. These pools are filled by users who deposit their funds into the pool and receive liquidity provider (LP) tokens in return.

CAKE Price Analysis

At the time of writing, CAKE is ranked the 34th cryptocurrency globally and the current price is A$17.29. Let’s take a look at the chart below for price analysis:

Source: TradingView

The second half of June punished CAKE bulls with a nearly 68% drop before the price found support near an old swing low around A$16.59

Aggressive bulls might look for entries at possible support beginning near A$15.64 However, stops under the equal lows near A$15.12 are likely to be swept.

The area near A$14.30 provides a possible target for this stop run if it occurs. A more sustained bearish trend could reach down to the broad zone of possible support between A$13.28 and A$12.86.

The price is currently challenging resistance at a gap beginning near A$17.50. If this level breaks, bulls could find more resistance near A$19.09 while targeting the highs up to A$21.33. 

A sweep of these highs is likely to find resistance by the time price reaches the area near A$24.56. The next reasonable targets would be the swing highs and resistance near A$28.49 and A$31.88.

Where to Buy or Trade Altcoins?

These three 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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