If the altseason kicks off this month, web3 tokens will definitely get a head start! So should you invest in one of the web3 top gainers? Read more to find out!
OCEAN/USDT on a 1-Day Chart
OCEAN is still in a 1-day downtrend. It has already attempted to break out of a trendline, this resulted in a test of the 0.8 supply zone which swiftly rejected the price. However, if the price can properly move above the trendline again (with a 1-day close above), it will be able to test the 0.8 level again.
The price has already consolidated for around a month in a small range. This could be seen as accumulation. It has since broken up. It can, therefore, be inferred that there is significant buyer interest. Volume on yesterday’s candle was also massive relative to previous days, showing that value is perceived to be much higher.
OCEAN/USDT on a 1-Week Chart
If the price does get rejected from the supply zone, it will likely move into the range of 0.24 and 0.4. It is therefore advised to be careful when placing stop losses.
It is always advised to look at the OCEAN chart relative to Bitcoin (BTC) and Ethereum (ETH) as it allows an overview on whether the token will outperform the two benchmark assets. Since OCEAN is a higher-risk asset, it would be better to hold BTC or ETH instead if OCEAN fails to outperform these two in a short term.
OCEAN/BTC on a 1-Day Chart
OCEAN/BTC on a 1-Week Chart
In this weekly chart, the price seems to have faked out from above the trendline, potentially trapping breakout longers. It was perfectly rejected at the bottom of the supply zone. For a further move up, it needs to flip 0.00002, a move that will also break the bearish market structure, potentially sending the price up a further 25% to 250 sats.
The token has been in a macro downtrend for a while. If it breaks out, the move will be explosive. However, if the price does get rejected, 92 sats would be a good point to bid. This is because there is a clear demand zone at this level.
OCEAN/ETH on a 1-Day Chart
Although OCEAN/ETH has been in a clear downtrend for more than a year, it is clear that buyers are starting to accumulate the token at this point. The price has been consolidating in the same range (0.0003 – 0.000182) for more than 10 months. If it can expand above 0.0003, it will likely move rapidly to the upside. For now, the price has to reclaim the 0.000182 level that it had lost. Once this is done the expansion to the upside is likely that will signal that OCEAN will outperform ETH.
- Market participants currently have a more risk-on approach to the market. It is, therefore, good to look for the next generation of alt-coins.
- Price has moved more than 30% in the last two weeks, demonstrating a clear demand for OCEAN.
- Although the price is currently still in a 1-day downtrend, it has broken up from a 1-month consolidation at $0.5 and has broken the trendline. It could therefore be inferred that it will now look to test $0.8 again. The weekly chart shows a similar picture.
- OCEAN/BTC has also been consolidating for two weeks. After the breakout, the price has moved into a clear supply zone.
- It needs to flip the 200 sats zone on both the daily and the weekly to be able to move any higher.
- OCEAN/ETH price has been consolidating in the same range (0.0003 – 0.000182) for more than 10 months. If the price can expand above 0.0003, it will move rapidly to the upside.
- In conclusion, OCEAN is in clear supply zones on every chart, however, if it can clear these zones, it will enable a much larger move. It is better to wait for these zones to be cleared and long above them.