Admittedly, the last few days have not been the most pleasant for crypto traders as the price of Bitcoin (BTC) did not cross the threshold of $ 50,000, then slipped into the low range of $ 40,000 and brought down the majority of altcoins with this.
Despite this steep drop, a handful of tokens appeared to be doing much better than the rest of the market in posting weekly gains in their BTC and US dollar-denominated pairs.
Some traders looking to build up their Bitcoin holdings may not bother to follow the price dynamics of an altcoin against the dollar. For them, BTC drops like the recent one can be seen as an opportunity for profit, but how do you know which coins are likely to perform well when BTC is falling?
AVAX: powered by news
Avalanche (AVAX) added 28.19% to its dollar pair and 43.46% against BTC over the past week. In addition, on September 17, the price of AVax increased from 128,600 satoshis (sats) to 153,600 sats following the announcement of a partnership between the Avalanche Foundation and the DeFi Kyber Network liquidity hub.
As the price of AVAX declined from this first peak, the pattern of market and social conditions around the movement of asset prices, trade volume, tweet volume, and sentiment began to shift. strongly resemble the patterns seen in previous dramatic price increases.
This was indicated by the coin’s VORTECS ™ algorithmic score – an indicator exclusively available to CT Markets Pro subscribers – exceeding 80, which can be seen on the dark green line marked by a red circle on the chart.
Scores of 80 and above indicate the high confidence of the model in the consistency of the model.
Indeed, several hours after the VORTECS ™ Score line turned dark green, the AVAX rally resumed. It was undermined by the market-wide crisis in the early hours of September 20, but the token’s individual bullish momentum was so strong that it rebounded in less than a day, trading at 156,900 sats. September 22.
TRAC: a long turnaround
Over the past seven days, OriginTrail’s Trace Token (TRAC) has risen 6.02% against the US dollar and 18.11% against Bitcoin.
On September 16, social and market variables around TRAC formed a historically favorable arrangement, and the coin’s VORTECS ™ score reached a value of 85 against the price of 852 sats. The algorithm is trained to detect conditions that consistently preceded previous 12-72 hour rallies, so sometimes the price movement action can occur days after a favorable score is recorded.
This turned out to be the case with TRAC’s price action this week. Approximately 70 hours after the onset of the peak VORTECS ™ score, the part went from 740 to 1088 sats in 24 hours. The September 20 lightning market crash wreaked havoc on TRAC, but it recovered faster and harder than most and delivered positive weekly returns against BTC and the dollar.
COTI: Enough momentum to weather the storm
COTI generated an additional 12.55% against the dollar and 26.51% against BTC last week.
The coin’s VORTECS ™ score briefly exceeded 80 briefly on September 17 amid a rally that took it from 668 to 926 on Saturdays. COTI’s momentum began to wane ahead of the rout on September 20, with the asset trading at around 800 sats at the start of the day. Still, the robustness of the market and the social outlook detected earlier ensured that the asset’s recovery went smoothly: the coin recouped much of the losses over the next two days.
While the VORTECS ™ score is by no means a prediction of future price movement, it can alert investors to historical trends which can be profitably incorporated into a trading strategy.
TBEN is a publisher of financial information, not an investment advisor. We do not provide personalized or individualized investment advice. Cryptocurrencies are volatile investments and carry significant risks, including the risk of permanent and total loss. Past performance does not represent future results. Figures and graphics are correct at time of writing or as otherwise specified. Strategies tested live are not recommendations. Consult your financial advisor before making any financial decisions.