Welcome to our latest crypto market outlook for May 20th!
The crypto market has been bearish in the short term, but if you zoom out, the latest bearish movement is just a correction following a major impulse move. What’s next? A new big impulse could be on the horizon.
Here are five interesting altcoins I’m keeping an eye on for their next impulse phases: CAKE, MAV, SUI, XLM, and XVG.
Today, we will cover the following topics:
– BTC Analysis
– 5 Altcoins Analysis
– Quotes / Advices
– Closing Remarks
BTC analysis
As per our last BTC update, it has remained stable around the upper bound of its range and the all-time high zone.
As long as the $109,500 ATH holds, the bears will maintain the upper hand.
For the bulls to remain in control, a break above $107,000 is needed.
Meanwhile, if the major low at $100,500 (marked in orange) is lost, a bearish correction toward $90,000 becomes likely.
5 Altcoins Analysis
As per our last altcoins article, CAKE rejected the $1.50 support level and has been surging since.
As long as it continues trading within the rising wedge pattern, we’ll be looking for trend-following longs targeting the $3 resistance level.
For the bulls to take over and start the next impulse phase, a break above the last major high at $2.31 (marked in red) is needed.
Until then, CAKE remains in a bearish correction phase.
After rejecting the $0.05 round number, MAV surged by over 60%.
It’s currently trading within a wide range, forming a large inverse head and shoulders pattern.
For the bulls to take over in the long term, a break above the $0.09 neckline (marked in orange) is needed.
In the medium term, MAV has been bullish, trading within the rising broadening wedge marked in red.
As it approaches the lower bound of the wedge, we’ll be looking for trend-following longs targeting the $0.085 mark.
As per our last SUI update, it has been in a correction phase, forming a falling channel marked in orange.
For the bulls to take over and start the next impulse phase toward the $5 round number, a break above the $4 level is needed.
XVG has also been bullish, trading within the rising wedge pattern marked in blue and the $0.005–$0.006 support zone.
As it retests the green support zone, we’ll be looking for long entries, targeting the upper bound of the wedge, which aligns with the $0.01 round number.
After breaking above the falling wedge marked in orange, XLM’s momentum shifted from bearish to bullish.
It rejected the $0.20–$0.225 demand zone and has been bullish since, trading within the rising channel marked in blue.
The latest medium-term correction phase has been contained within the falling channel marked in red.
For the bulls to regain full control, a break above the last major high at $0.298 (also marked in red) is needed.
Quotes / Advices
Remember that the stock market is a manic depressive.
~ Warren Buffet
Closing Remarks
In summary, despite the short-term bearish sentiment, the broader crypto market appears to be in a corrective phase before the next major impulse.
Trading within a rising wedge, CAKE is targeting $3 after bouncing from the $1.50 support.
MAV surged over 60% and is forming a large inverse head and shoulders, eyeing a breakout above $0.09.
SUI is in a falling channel, with a potential bullish impulse if it breaks above the $4 resistance.
XVG is holding the $0.005–$0.006 support and aiming for $0.01 as it trades inside a rising wedge.
XLM flipped bullish after rejecting the $0.20 demand zone and is now targeting a break above $0.298.
