The altcoin sector has been showing signs of recovery over the past week, after Bitcoin’s price broke the $26,500 threshold due to increased buying interest. Right now, investors’ focus seems to be shifting to altcoins, as numerous tokens – including major metaverse coins – have seen a price surge this week. This could potentially trigger a new wave of buying momentum, which could send Worldcoin, MATIC, and Solana to new resistance levels.
Altcoin Season Index climbs above
Over the past two weeks, the altcoin season benchmark has seen a significant increase from its previous lows. Data from Blockchain Center indicates that the altcoin index has risen from a low of 16 to a high of 43, outperforming Bitcoin seasonal metrics.
This rise strengthens the outlook for altcoins in the week ahead, suggesting a potential bullish rally is in store.
Worldcoin (WLD) price analysis
Worldcoin successfully surpassed and closed its 200-day Exponential Moving Average (EMA) at $1.3, signaling a possible slowdown in the downtrend. However, the bears staged a reversal from a high of $1.7, indicating dominant selling at higher levels.
The 20-day EMA appears to be stabilizing and the Relative Strength Index (RSI) is hovering around overbought territory. This suggests that Worldco could face a correction soon.
If bulls want to maintain control, they need to push the price above $1.7. Such a move would indicate investors are buying more at a higher price, potentially leading to a retest of the robust resistance level at $1.82.
Polygon (MATIC) price analysis
Polygon’s MATIC token faced resistance near the downside at $0.53. However, bears are struggling to maintain downside momentum as buyers prepare for a recovery above the 20-day EMA.
The bears will likely try to halt this recovery at the 20-day EMA and push the price back below $0.5. If successful, it could mark the continuation of the bearish trend, potentially pushing MATIC price down to $0.43.
However, rising moving averages will favor buyers next week. If buyers successfully break the trendline, the price could rise to $0.603.
Solana (SOL) Price Analysis
In recent days, the price of Solana’s SOL token has successfully broken above a bullish pattern. Currently, the price is approaching the 100-day Exponential Moving Average (EMA) of $19.3, a point that sellers are aggressively defending.
If buyers manage to push the price above the EMA200 next week, the altcoin price could target the next resistance level at $22.13. While this level is expected to be a challenging barrier, breaking it could pave the way for a rise to $25.5.
Conversely, if the price changes direction upon reaching the 200-day EMA, it would indicate declining buying demand. In such a scenario, sellers may try to reignite the downtrend and pull the price towards the crucial support level at $17.3.