Top 5 Crypto Performers Overview: Tron, Neo, Cardano, Binance Coin, Litecoin

After a strong start in 2019, the crypto markets have witnessed sharp selling that dragged the prices down by about 10 percent on Jan. 10. This indicates that the process of bottom formation will be volatile.

The traders should aim to book quick profits and trail their stops higher to protect any potential profits. The important event that turned the tide in favor of the bears was the 51 percent attack on the Ethereum Classic network.

The crypto markets had topped on Jan. 7, 2018, reaching a total market capitalization of over $835 billion. From there, most of the top cryptocurrencies reversed direction causing a huge erosion in wealth. Even after one year, we can not confirm that the markets have bottomed out and are now on the way up.

However, in 2019 the prices could by boosted by any positive regulatory developments, Bitcoin exchange-traded fund (ETF) approval, or increased institutional interest. Until then, what should the traders do? Let’s study the charts of the top 5 performers among the top coins to gauge the current sentiment.

TRX/USD

Tron was the best performer in the past week, as it bucked the trend and stayed comfortably in the green. The company has acquired the peer-to-peer torrent client BitTorrent in August 2018. Last week, the latter has launched its own Tron-based cryptocurrency called BTT.

Justin Sun, the founder of Tron, expects this move to increase the reach of blockchain to hundreds of millions of users. However, Simon Morris, former chief strategy officer at BitTorrent, has opined that the Tron blockchain does not have the capacity to manage the transaction volume needed to tokenize BitTorrent.

In other news, Tron has hired former SEC supervisory attorney David Labhart as its head of compliance. Will the performance of the digital currency continue for the next few days? Let’s find out.

TRX/USD

The TRX/USD pair has mostly been trading inside the range of $0.0183–$0.02815521 since mid-August of last year. Although the bears had broken down of this range in mid-November, they could not capitalize on it.

After trading close to $0.011 for about five weeks, the bulls staged a smart recovery that pushed the price above the resistance of the range at $0.02815521. However, the breakout was momentary, as sellers pounced at higher levels, dragging the price back into the range.

We anticipate a new uptrend if the price breaks out and closes (UTC time frame) above $0.02815521. Currently, both moving averages are flat and the RSI is also close to 50 levels, which suggests that range bound action might continue for a few more days. Our view will be invalidated if the bears sink the price back below $0.0183.  

Short-term traders can buy closer to the bottom of the range and sell near the top of the range. However, as the price action inside the range can be volatile, traders should keep their positions small.

NEO/USD

The news of a rumored partnership between the Russian government and NEO developers has kept the cryptocurrency buoyed. The expectation is that in order to dodge the United States sanctions, the Russian government is attempting to diversify into cryptocurrencies.

If the rumor turns out to be completely false, the price might fall. So, what should the traders do?

NEO/USD

The NEO/USD pair has a tendency to consolidate before breaking out or breaking down. The two previous attempts resulted in a breakdown of the range, followed by extended fall.

Currently, the cryptocurrency is again stuck in a range with support at $5.4808 and resistance in the $10–$12 zone. Both moving averages are sloping down and the RSI is also close to the oversold zone. There are no signs of a reversal forming on the charts yet.

The previous consolidation had lasted for 13 weeks and the current one has so far been going on for seven weeks. We expect the price to remain stuck in the range for a few more weeks, before it breaks out or breaks down.

We suggest investors wait for a trend reversal to be signaled before initiating any long positions.

ADA/USD

The market participants are awaiting the release of Project Shelly that will help Cardano shift from a centralized platform to a decentralized one. Will this upgrade propel the digital currency higher in the near future? What should the traders do now?

ADA/USD

The ADA/USD pair is in a downtrend. It continues to make lower highs and lower lows. Both moving averages are sloping down and the RSI is also in the negative territory. The previous two pullback attempts have been shallow, which points to a lack of buyers.

A break of the recent low of $0.027237 will resume the downtrend. On the upside, a move above $0.1 will indicate strength. We suggest traders wait for a bullish pattern to form before buying.

BNB/USD

Binance has revealed plans to launch one new token every month of this year through Binance Launchpad, its exclusive token launch platform. Will this give a much needed boost to the struggling initial coin offering (ICO) market?

BNB/USD

The BNB/USD pair has been trading inside the descending channel for the