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Following weeks of bullish momentum that encouraged many of the market’s alts to rise on the charts, the last few days have seen widespread corrections. Although these were triggered by Bitcoin’s drop below $60,000, the inability of the world’s largest crypto to rebound significantly has stopped the likes of Bitcoin Cash, Chainlink, and VeChain from recording a sustained pattern reversal.
Bitcoin Cash [BCH]
Bitcoin Cash’s latest price behaviour has matched that of Bitcoin, with the crypto falling by 15% in the last 24-36 hours before recovering somewhat by 11%. Despite this, BCH was already traded at a level far below its local high, with a return to that level now highly dependent on BTC’s own market success in the near term. With trade rates remaining consistent, another map depreciation seemed impossible at the time of publication.
This claim was supported by the results of BCH’s indicators, which showed that the Parabolic SAR’s dotted markers were well above the price candles, indicating bearishness, and the Relative Strength Index was keeping steady between the oversold and overbought regions, amid the associated price uncertainty.
Although the collapse of BTC was the immediate cause for the fall of BCH, it is worth noting that a previous report estimated that the alt would fall dramatically if its resistance level was not broken quickly.
Chainlink, the altcoin ranked 12th on CoinMarketCap’s charts, saw its value appreciate dramatically in the first half of April, with many in the community expecting the crypto to hit higher highs after an ATH of $44.15 on 15 April. That hasn’t been the case, however, with market-wide corrections forcing LINK to trade 15% away from the aforementioned price level, at press time.
LINK, like VET, has recovered slightly in the last few trading sessions. However, given the lack of impetus in the broader economy, such an increase could not last long.
Although the recent developments in Parabolic SAR highlighted the market’s bearish nature, amid the noted price appreciation, Chaikin Money Flow was slipping from 0.20, indicating that capital outflows were gaining momentum.
However, a bullish case can still be made for LINK, particularly given the fundamentals it has recently shared.
VeChain’s movements, like BCH’s, were influenced by Bitcoin’s market behaviour. Unlike BCH, however, VET’s corrections occurred after the altcoin reached its all-time high of $0.28 on the charts. Since reaching the aforementioned price range, VET dropped by more than 16 percent before recovering by nearly 15 percent.
At the time of writing, it was unclear if the recent increase in valuation represented a sustainable pattern reversal, particularly given the general market’s bearishness and the steady decline in trading volumes.
Although the Awesome Oscillator’s histogram showed a drop in market momentum, the MACD line remained below the Signal line, despite the prospect of a bullish crossover in the near term.
Several factors, including word-of-mouth, have led to VET’s recent rise in the rankings. In reality, VeChain was named to Forbes’ Blockchain 50 list.