Four Altcoins That Have Considerable Upside Potential

Well-known trader @Scottmelker tweeted about his most recent newsletter, stating that there are four altcoins that he believes have the potential for considerable increases in the future. They are:

• Chiliz (CHZ)
• Hedera Hashgraph (HBAR)
• THETA (THETA)
• Power Ledger (POWR)

I love waking up to green. $CHZ, $HBAR, $THETA and $POWR are all looking good. I shared all 4 in the newsletter yesterday. $HBAR has been an epic trade. https://t.co/xAaPZrq9ei

— The Wolf Of All Streets (@scottmelker) March 4, 2020

Below, we will take a look at each of them individually and gauge their potential for gains.

Chiliz (CHZ)

On March 2, the CHZ price broke out above a descending resistance line. The breakout is in line with technical indicators, since a bullish cross between the 50- and 200-period moving averages (MA) transpired on Feb. 23. However, the price is trading right in the middle of the main resistance area at 150 satoshis. So, after a retracement to validate the resistance line from which the price broke out from along with the support area, the price is expected to continue moving upward toward the second resistance area at 185 satoshis. Measuring from the 120 satoshi area, this would be a 45% increase.

Conclusions

• There is resistance at 150 and 180 satoshis.
• There is support at 115 satoshis.
• The price has broken out above a descending resistance line.

Hedera Hashgraph (HBAR)

On Feb. 11-12, the HBAR price was subject to a very rapid increase. Afterward, it retraced all the way to the 350 satoshi support area, where it began the ongoing bounce. The bounce is interesting since the daily RSI also bounced at the 50-line. As long as it is staying above it, the HBAR trend can be considered bullish. However, the price is trading inside a strong resistance area at 500 satoshis. So, I see several possibilities for trading this coin:

• Wait for a flip of the 500 satoshi resistance area and look to initiate a long toward the 800 satoshi resistance. This has a 47% potential for gains.

If the flip is unsuccessful, there are two more options, both requiring to wait for another validation of the 350 satoshi support area:

1. Enter at 350 satoshis and look to profit 41% with a move toward the 500 satoshi resistance area
2. Enter at 350 satoshis and look to profit 120% with a breakout toward the final resistance at 800 satoshis.

Conclusions

• There is support at 350 satoshis.
• There is resistance at 500 and 800 satoshis.
• The daily RSI is bullish.

THETA (THETA)

The THETA price has thrice broken out above a descending resistance line, on Dec. 11, Feb. 12 and March 2. Interestingly, the first two breakouts were followed by a 40% price increase. The same increase would take the price to 2,000 satoshis, which interestingly is also the high reached in April and May 2019. The closest resistance area is found at 1,520 satoshis, where the price is currently trading, while the closest support area is at 1,320 satoshis.

Conclusions

• There is resistance at 1,520 satoshis.
• There is support at 1,320 satoshis.
• The price has thrice broken out above a descending resistance line.

Power Ledger (POWR)

The POWR price movement is the most straightforward out of the four. It has been trading inside a massive ascending triangle since Feb. 15. A breakout would likely take the price to the previous high at 1,700 satoshis, which would be an increase of 43%. In any case, a stop loss below 1,099 satoshis could be placed in order to minimize losses in case a breakdown transpires.

Conclusions

• The price is trading inside an ascending triangle.
• There is resistance at 1700 satoshis.