A few days ago, the American Government was just giving a breath of fresh air to the crypto market due to the approval of Joe Biden's stimulus fund.
Previously, crypto markets and some risky asset markets had been warned by positive employment data, all of which were hindered by stimulus funds.
As a result of this news, this week there are five cryptocurrencies that have the potential to be appreciated.
All of this appreciation will be led by Bitcoin starting to move up due to its negative correlation with the US Dollar and the news about stimulus.
1. Bitcoin (BTC)
Bitcoin will most likely be targeted again as an alternative means of protection against a potential depreciation of the US Dollar.
With the potential for US Dollar depreciation due to the news of this stimulus fund, Bitcoin has the potential for higher appreciation.
Additionally, with the previously volatile futures market starting to cool down due to the turn of the month, Bitcoin may start appreciating again.
One of the positive drivers that started this appreciation was MicroStrategy, which bought around $ 10 Million worth of Bitcoin.
In addition, the difference in Bitcoin prices on Coinbase and Binance or the Coinbase Premium effect that looks starting to be high can be a strong sign of Bitcoin appreciation.
However, there is one barrier that might get in the way of Bitcoin's appreciation and that is tax season.
Technically Bitcoin is still moving up even though it looks like it will experience a small correction.
As long as the lower limit of $ 48,000 is not broken, the chances of appreciation will remain strong.
The RSI and MACD indicators also still support appreciation because MACD is still seen rising after the cross with RSI is still in the positive zone.
The price is also still above the MA Cross which indicates that the potential for appreciation is still strong enough to encourage the rise of Bitcoin.
The target of appreciation stands at $ 52,000 which if breached could bring Bitcoin up to $ 54,000 this week.
But if $ 48,000 is breached, the strong security barrier is around $ 44,000 to $ 43,000.
2.Ethlet (ETH)
Ethereum generally has a positive correlation with Bitcoin so when the price goes up, Ethereum will likely go up as well.
Apart from this correlation, Ethereum has also received positive sentiment from a public company in China called Meitu.
Meitu reportedly recently bought $ 22.1 Million or around Rp.317.4 Billion on Ethereum and $ 17.9 Million or around Rp.257 Billion in Bitcoin.
This news can be a positive sentiment for the Ethereum price, as transaction fees have started to fall due to falling volume.
From a technical point of view, Ethereum shows positive movement like Bitcoin and shows a bullish flag pattern.
The RSI and MACD indicators also support appreciation even though there is a potential for correction due to the previously significant upward movement.
However, the price is still above the MA Cross which indicates a potential positive appreciation.
The target for the appreciation will most likely be $ 1,752 before it reaches the $ 1,800 area.
However, currently there is a high probability that a minor correction will occur towards $ 1,681 with the security of appreciation at $ 1,600.
3. Uniswap (UNI)
Uniswap also seems to be influenced by Ethereum because it has moved on to its blockchain so that it has a positive sentiment.
This week's appreciation is likely to continue the previous week's appreciation of more than 50%.
As a result of this appreciation, Uniswap is currently the first DeFi member to enter the top 10 market cap.
This appreciation is due to the increasing frequency of statements issued by Uniswap on Twitter.
In general, this increase indicates a large potential for announcements, especially related to the development of Uniswap V3.
Currently the technicals point out a potential correction towards $ 33 before moving up again and forming retest moves.
The next objective is most likely to be at $ 35 which was the highest price before the correction.
This week it's possible that Uniswap could hit $ 37 to $ 40 with a long term target of $ 50.
The safety limit for appreciation is around $ 31 along with the RSI and MACD indicators which indicate a potential correction.
However, seeing the MA Cross which is still far below the price, the possibility of appreciation still looks strong.
4. Polkadot (DOT)
Polkadot is one cryptocurrency that has the potential to appreciate this week along with a potential recovery in the crypto market.
One of the positive sentiments that came from DOT was news from Moonrock Capital, the investment company that manages DOT.
It is reported that this investment firm has increased its managed funds by up to eight times that invested in DOT.
Another positive sentiment is Polkastarter, which is one of the projects that is starting to attract attention and turn to Polkadot.
The launch of the parachain itself is also one of the positive sentiments that can encourage DOT prices to rise.
From a technical point of view, the DOT is currently forming a consolidation movement with a symmetrical triangle pattern.
If the price manages to rise outside of the pattern, it is likely that appreciation will continue this week.
The upper limit to break is $ 35 to $ 37 to hit $ 42 this week. The current security limit is $ 32.
The RSI indicator shows a minor correction potential. However, MACD shows the potential for appreciation as the price is above the MA Cross.
5. Luna (LUNA)
This crypto has become a recommendation because the phenomenon around it is the same as the cryptocurrency Litentry recommended last week.
Luna is being discussed due to positive sentiment from several influencers like Coin Berau promoting this crypto.
Positive sentiment also came from Terra, a South Korean blockchain company that adopted Luna as a reserve fund.
The company is rumored to be innovating on a decentralized payment platform which will make Luna's price rise.
The technicals are also supportive as a correction appears to be over with the price exiting its downward move.
The security limits of appreciation are around $ 7.8 and $ 7.6 with a view to appreciating $ 8.6 to $ 9 this week if $ 8.3 can be breached.
There are several other recommended cryptocurrencies such as LTC, VET, and THETA, but it is necessary to pay attention to the risk management used.
