These three altcoins are showing bullish structures in the Bitcoin (BTC) pair and have the potential to break it in January 2024.
Although Bitcoin saw significant growth in the second half of 2023, the prices of these altcoins are showing even more favorable trends. So could they surpass the gains seen on BTC in January 2024?
Axie Infinity (AXS) excels in long-term durability
AXS price has been trading below a long-term downtrend line of resistance since October 2021. Its decline led to a low of 13,400 satoshi reached in October 2023.
However, AXS has rallied since then and broke past its trendline resistance last week. At the time of this breakout, the trend line had been in place for over 800 days. As a reminder, using the RSI as a momentum indicator, traders can determine whether the market is overbought or oversold and decide whether to accumulate or sell the asset.
So bulls have an advantage if the RSI is above 50 and the trend is up. Conversely, if the index is less than 50, the opposite happens. Currently, Axie Infinity’s weekly RSI supports a breakout as the indicator rose above 50 (green arrow) the same week the price broke its trend line.
After this breakout, the price of AXS reached minor resistance at 24,500 satoshis and subsequently declined slightly. If it eventually breaks above it, it could rise by 145% and reach another resistance at 60,000 satoshis.
Despite this bullish forecast for AXS, its eventual failure to close above the 24,500 satoshi resistance zone could trigger a 30% drop to the downward trendline resistance at 16,000 satoshi.
Read more : Axie Infinity (AXS), a guide to playing Earn’s flagship game.
BNB breaks 400-day resistance
The price of BNB has been trading below a long-term downtrend line of resistance since November 2022. This decline led to a low of ₿0.0051 in December.
BNB then started an upward move and is now trading above the trendline resistance. While the altcoin hit a high of ₿0.007 and moved above this trendline, it is yet to get close above it, which would confirm its breakout.
Moreover, the RSI is rising when it broke through its resistance (green) and left its overbought territory. However, he has not yet exceeded 50.
If the breakout continues, BNB could rise another 25% and reach another resistance at ₿0.0088.
Despite this bullish BNB price forecast, a close below the trendline would negate its breakout. In this case, the price could fall 25% to its December low of ₿0.0051.
Read more : How to read a cryptographic chart?
Arbitrum (ARB) rounds out the list of altcoins that could outperform BTC
The last altcoin that could overtake Bitcoin is ARB. As with the other two, ARB’s price broke past the descending trendline resistance last week.
This breakout preceded the bullish divergence within the weekly RSI, making this bullish move all the more valid.
After its ARB breakout, it hit a high of 3,350 satoshis before falling slightly. This means that the price has closed above the trend line of resistance.
If the bullish movement continues, ARB may rise by another 15% and reach another resistance at 3,700 satoshis.
Despite this bullish ARB price forecast, a close below its trendline could lead to a 20% drop to the nearest support at 2,600 satoshis.
Moral of the story: There is more to life than just the price in USD.
Disclaimer
Disclaimer: In accordance with The Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased information, but market conditions may change without notice. Always do your own research and consult with an expert before making any financial decision.