The crypto market has experienced major changes in the prices and news of cryptocurrencies such as Avalanche (AVAX), Binance Coin (BNB) and Cosmos (ATOM).
Cryptocurrency trends of Avalanche (AVAX), Binance Coin (BNB) and Cosmos (ATOM)
Here is a breakdown of the current conditions of the three crypto assets.
Avalanche (AVAX): What is the outlook for the upcoming week? Comparison with BNB and ATOM
Since 21 February, Avalanche (AVAX) has declined by 27% after it failed to break through the resistance of $21.68. The support of $15.75 has managed to prevent the decline twice.
At the same time, there are headwinds that the bullish traders should consider. For example, the RSI (Relative Strength Index) has stayed below the 50 threshold for the last two weeks, while the OBV (On Balance Volume) has significantly declined over the same period, indicating a weakening of AVAX’s market structure.
Despite this, bullish traders are hoping for a rebound and potential strong recovery, which could be supported by the $15.75 support level. If AVAX is unable to break through the descending line resistance of $16.49, short sellers could be looking for profits at the $15.75 support. A breach below it could take AVAX to $14.89 or $14.36.
On the other hand, if AVAX closes above the descending line, short-term bulls could be targeting the 23.60% Fib ($17.15) and 38.20% Fib ($18.02). Additionally, a surge in the value of Bitcoin (BTC) above $22.60k could help to accelerate the recovery and push buyers to the 50% Fibonacci level ($18.72).
Token Terminal has reported an increase in AVAX’s daily active users on 3 March, with the numbers doubling from 15 to 30. This has resulted in a rise in volume and buying pressure, leading to the token’s recovery.
If there is an additional rise in daily active users in the upcoming week, it could further support the recovery, while a decrease could result in the bears bringing down the price of AVAX.
Binance Coin (BNB): What is the market position and DeFi hack
5 March has been an ambiguous day, with some crypto assets rising in value while others are still falling. In particular, Binance Coin (BNB) was the biggest gainer, with a 0.30% rise.
However, BNB remains bearish, with the price still close to its support at $281.1. The low selling volume confirms the lack of buyers. Bulls need to break the $300 mark for the price to increase.
At the moment, BNB is trading at around $290.5. Last October, the world’s largest crypto exchange, Binance, was the target of a $570 million hack. The hackers exploited a bug in the BNB smart contract to transfer around 2 million tokens to their wallets.
This breach caused a stir in the crypto space, raising questions about the security of decentralized finance (DeFi). To tackle these issues, Binance announced on 5 March that it will be partnering with law enforcement agencies worldwide to combat cryptocurrency-related scams.
The exchange has started this campaign in Hong Kong, where it has sent alerts, crime prevention messages, and other safety tips when users initiate a withdrawal from Binance.
Cosmos (ATOM): What are the price predictions for March
The price of Cosmos (ATOM) is showing signs of a full-fledged correction that could lead to a sustained upward trend. On the chart, ATOM is trading within a long-term range of $8.90 to $15.60 since it broke above $8.90 in early July 2022.
At the moment, the asset is close to the resistance level of $15.60 after it was rejected (red icon). The weekly RSI is bullish, having broken out of a descending resistance line and is above 50, indicating a bullish signal.
If a breakout occurs, ATOM could see gains up to the next resistance at an average price of $22. If not, it could fall to the support of $8.60. The six-hour chart suggests that the token has dropped from an ascending support line and is now in wave C of an ABC correction.
This would signal the end of the wave at a point between $11.95 and $12, created by the 0.5 Fib retracement support level and a 1:1 ratio for the A:C waves.
If this is the case, the correction could be finished and ATOM should go above $15.45 and move towards $22. A closing below $11.12 could jeopardize the bullish count, while a drop below the $8.43 low would invalidate the long-term bullish prediction of the Cosmos and could push the price to $5.
