Market leaders Bitcoin and Ethereum were yet to reclaim key levels post the massive liquidations, with BTC trading at around $31k and ETH at the $2,300-mark at the time of writing.
As a result, altcoins like Dogecoin, FTX token, and Chainlink gravitated toward their multi-monthly/yearly lows on 10 May. Unless the buyers negate the sell-offs by propelling high buying volumes, the market structure would continue to exhibit a bearish edge in the coming times.
Dogecoin (DOGE)
In the wake of market-wide liquidations, the sellers incited a strong pull on the chart after a rectangle bottom break. DOGE saw a nearly 25% drop in the last three days as it fell toward its six-month trendline support (white).
Without a surprise, the recent bearish rally pulled the alt below its EMA ribbons. The recent bounce back from its 13-month low on 10 May has opened doorways to short-term recovery. The $0.11-resistance is vital for the bulls to conquer and challenge the bonds of its EMA ribbons.
At press time, DOGE traded at $0.1128. The RSI sprung from the ashes of its oversold lows in the last few hours. A convincing close above the 42-mark resistance is still needed to test the equilibrium. To top it up, the MACD lines reiterated a strong selling momentum.
FTX Token (FTT)
Source: TradingView, FTT/USD
After an unrestrained month-long bearish run after the up-channel (yellow) breakdown, FTT rested on its nine-month baseline at the $30-level. This level propelled a reversal that halted at the seven-week trendline resistance (previous support).
The 20 EMA (red) finally tilted from its steep southbound direction. But the Supertrend continually stayed in the red zone while favoring the sellers for the last 40 days.
At press time, FTT traded at $33.927, up by 2.9% in the last 24 hours. Despite the RSI’s recent revival from its record lows, the CMF marked lower peaks over the past day. So, a pullback from the -0.13-mark could affirm a bearish divergence with the price action.
Chainlink (LINK)
Source: TradingView, LINK/USDT
After riding within a down-channel for nearly a month, LINK invalidated all bullish tendencies after breaking down from the $10-mark. The sellers kept finding fresher resting grounds only to poke its 16-month low on 10 May.
With the bears taking almost full control of the current trend, LINK saw an over 35% correction in the last five days. As a consequence, they now flipped the lower fence of the Pitchfork from support to immediate resistance.
At press time, LINK traded at $8.81. Unless the Aroon up (yellow) notices a strong uptick and starts its northbound journey, the bulls could find it tricky to sustain a rally.