2024 has been stellar for cryptocurrencies. Yet, such growth is often shadowed by strong corrections, a trend that may soon impact altcoins like Celestia (TIA), Kaspa (KAS), BitTensor (TAO), and Helium (HNT). Despite TAO’s impressive year-to-date (YTD) surge of over 100%, its April forecast appears bearish, signaling a potential pullback as it tries to capitalize on the hyped artificial intelligence narrative.
Meanwhile, HNT, after a spike in February, is now finding it challenging to maintain its stride as it seeks to leverage the DePin (Decentralized Physical Infrastructure Networks) narrative. As April looms, we could see even stronger altcoin corrections for some of these tokens.
Celestia Could Go Back To $8.5
Celestia (TIA), a modular network focused on providing solutions for creating blockchains, reached an all-time high (ATH) of $20.77 on February 10. Then, a strong correction followed, with the price hitting $13.8 on March 27. Although being one of the biggest synonyms of blockchain modularity, TIA didn’t follow the overall crypto surge in 2024. Its YTD growth is less than 1% this year.
In the last few days, EMA lines for TIA are looking bearish, with short-term lines below other lines and very close to the current price line.
Exponential Moving Averages (EMAs) are critical tools in technical analysis, designed to smooth out price data over a specified period by placing more weight on recent prices, thus being more responsive to new information compared to Simple Moving Averages (SMAs).
A “death cross” occurs when a shorter-term EMA crosses below a longer-term EMA, a signal that is traditionally viewed as bearish. As happened with TIA, the short-term EMA lines have moved below its longer-term lines and are aligning closely with the current price; this setup can indicate a bearish outlook. If the downtrend continues, the TIA price could retract as down as $8.5, the price it reached on December 2023.
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Kaspa Is on the Edge
Throughout 2024, Kaspa (KAS) experienced a 15% uptick in its valuation, showcasing a positive trajectory for the digital asset. Despite this growth, the asset faces the threat of a significant correction that could erase its yearly gains.
The cryptocurrency saw a sharp 41% decline over the past three weeks, descending from its peak value of $0.188 on February 20. Currently positioned as a decentralized peer-to-peer payment network, Kaspa’s Relative Strength Index (RSI) stands at a neutral 47, indicating that it is neither overbought nor oversold.
The downturn for KAS started on March 4. Short-term EMA lines dipped below the longer-term ones, leading to falling prices until March 20. On March 26, a new death cross formed. This indicator often signals more price drops for KAS.
The death cross hints at more declines. KAS’s price could drop to $0.099, or even $0.075.
BitTensor (TAO) Capitalizes on AI Hype, but Corrections Could Be Next
The artificial intelligence sector maintains its impressive growth trajectory this year, and BitTensor is strategically positioned to leverage this surge. Remarkably, the token witnessed a growth exceeding 110% within this year alone. Commencing the year at a value of $274, it astonishingly ascended to an all-time high of $752.13 by March 7, showcasing an explosive growth of 174.5%.
Subsequent to reaching this peak, however, the price of tao began to decline, stabilizing at around $580. Notably, on March 20, a technical shift was observed as TAO’s short-term Exponential Moving Averages (EMAs) dipped below the longer-term averages, precipitating a swift decline in price from $655 to approximately $580 within just two days.
Although there was a brief recovery to $621, the price gravitated back toward the $580 mark, with the EMA lines continuing to suggest a looming bearish trend for TAO. Should this downward trend persist, it’s plausible that TAO might encounter significant price support levels, potentially falling to as low as $524 or even further to $415, testing critical thresholds in its market valuation.
Helium (HNT) Down 10% This Year – More Strong Corrections Ahead?
If TAO is capitalizing on the IA narrative, Helium is trying to do the same, but with DePin (Decentralized Physical Infrastructure Networks). This one has been hot since mid-2023, but HNT YTD price growth is below 10%, even with the hype. The token started the year at $6.96 and reached $10.03 on February 15. Although this is significant, HNT’s all-time high is $54.81, reached on November 12, 2021.
The fact that HNT didn’t come closer to its ATH, even with all the hype around DePIN and the overall growth of crypto in 2024, certainly raises some red flags for investors, as the coin could have lost its momentum.
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On March 11, its short-term EMA lines crossed below the long-term lines, forming a death cross. Then, the HNT price started a free fall. It briefly recovered on March 20, but the downtrend continued, and the HNT price is currently at $6.18. If the downtrend continues, it could soon reach $4.74, and if that support isn’t strong enough, HNT could go back to December 2023 prices, testing the support at $2.17.
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