Aave, Algorand, Ethereum Market Analysis for 24th January 2021

Aave began to grow and target $260, and Algorand broke over an important supply area and looked to turn the region into one of demand. Ethereum soared past $1250 and traded at $1326, with the possibility of testing $1440 on the basis of the buyers’ appeal.

Aave [AAVE]

Using the Fibonacci Retracement Tool and its 27 percent expansion pace, a short-term target of $260 was set for the bulls. Momentum was very much in favor of the bulls.

However, the Stochastic RSI was in over-purchased land, while the RSI, too, was on the verge of reaching 70. This does not suggest a turnaround but rather indicates that a pullback will materialize. A Doji candlestick on high trading activity will provide an early hint that investor mood is starting to change in the short term.

Algorand [ALGO]

ALGO soared above the liquidity pocket of $0.54-$0.56, a sign of buoyant power. The MACD displayed a strong bullish momentum, although the rate of trade was still above average.

The next degree of resistance is $0.63. Bulls will aim to protect the highlighted area from a bearish attack, failing which the amount of support is $0.5.

ALGO established local highs at $0.6 a week ago but was unable to remain there. Repeating the scenario would see a double top form for ALGO – subsequent fall below $0.54 could be hard to rebound from the bulls.

Ethereum [ETH]

ETH closed under the ascending channel, but this reverse sequence did not see the coin revisit the base of the channel. Rather, it hit a low of $1,039 and has rebounded significantly over the past few days.

The OBV has made a sequence of higher lows to denote good buyer interest even though ETH’s dip has been about 25 percent over the course of three days. The Amazing Oscillator formed a bullish twin peak set up to produce a buying signal.

ETH has risen beyond the $1220-$1270 range that has given liquidity in the past. This climb will see that the price was another attempt at the $1440 local highs.