In today’s edition, the following cryptocurrencies will be analysed & discussed:
- Vanar Chain (VANRY)
- Injective (INJ)
- Ethereum (ETH)
- Avalanche (AVAX)
- Optimism (OP)
- Based Brett (BRETT)
Vanar Chain — VANRY/USDT
Last week, we spoke about how VANRY was on the cusp of a retest, and should that retest be successful, price would challenge the top of its existing market structure for a potential breakout:
Here is today’s chart:
VANRY has successfully retested the blue $0.088 level as support and is now challenging the top of the blue pattern for a breakout attempt.
Weekly Close above the top of this pattern (followed by a retest of it) would kickstart the breakout process.
Of course, the Bullish Divergence that is emerging will also lend a hand in a potential breakout when VANRY is ready:
Breaking out from the blue structure would enable a move to the black Macro Downtrend which is the most formidable resistance for VANRY at this time.
Breaking that Macro Downtrend would enable a new Macro Uptrend for price.
Once VANRY breaks out from this blue pattern, that breakout would act as a precursor to finally breaching that Macro Downtrend.
However, if VANRY Weekly Closes below the blue diagonal, then a breakout from this existing pattern would be postponed and price would consolidate inside the structure for a little while longer.
Injective — INJ/USDT
Price has continued to develop a series of Lower Lows as well as Lower Highs to form this potential Falling Wedge.
Moreover, we know that INJ is forming a Bullish Divergence at this time:
Lower Lows on the price action and Higher Lows on the RSI make for a Bull Div.
Overall, the RSI is forming a triangular market structure, with the key resistance being the red box which is approximately confluent with the top of said triangle.
A breakout beyond this red resistance on the RSI would be a positive contributing signal towards a Falling Wedge breakout looming large.
In the meantime, the $18.02 level (black) will act as a key reference point; if reclaim as support, then INJ would revisit the top of the structure for a potential breakout attempt, however if the black level acts as resistance then the bottom of this Falling Wedge could get tagged in the future.
Technically, INJ could consolidate in a downtrending manner within this pattern for as long as it needs to before breaking out from it.
Nonetheless, knowing about this pattern in of itself is useful as we know which resistance INJ will need to break to end its period of downtrending to finally enter a new uptrend.
Ethereum — ETH/USD
Last week, the view was that ETH was headed to the black $2250 level (black).
After all, this is where the late 2023, early 2024 cluster of price action developed to form a historical demand area.
ETH has dropped into this level and is finding some stability for the moment.
I wouldn’t be surprised to see ETH deviate below the black level as has been the case in the past but as long as ETH can generally build a base in and around this black level, that would be favourable for a future price reversal to revisit the red resistance box above.
The RSI on Ethereum on the other hand is showcasing a downtrending channel, coiling more and more into the apex of this pattern, with the goal…
Rekt Capital is a cryptocurrency analyst with over 300,000 Followers on Twitter and is the author of a Top 4 Crypto newsletter on Substack globally (Rekt Capital Newsletter).
His market commentary and research has been featured in Forbes, CoinTelegraph, Real Vision, Hackernoon, and Medium’s largest publication The Startup.
