In the cryptocurrency market, major altcoins like Thorchain and Oasis are under pressure following the rise in BTC dominance. Let's examine the current situation of these coins.
State of Thorchain (RUNE)
The monthly chart for Thorchain shows consolidation within a three-year descending triangle. The recent downturn began on December 2 after news of protocol debts led to rejection at the $7.58 resistance level. This decline brought RUNE to a critical support at $0.95, but it currently holds around $1.19. Historically, this area has acted as a rebound zone, and if the pattern follows previous trends, RUNE may test the 100-day SMA as key resistance. A breakout above this moving average could lead to a retest of the descending trendline.
State of Oasis (ROSE)
The weekly chart for Oasis shows consolidation in a descending triangle. The recent downturn began on December 2 after rejection at the upper resistance around $0.14. This decline brought ROSE to a critical support level at $0.034, but it currently holds around $0.040. Previously, this zone acted as a strong rebound area, and if the pattern follows previous trends, ROSE may test the 100-day SMA as key resistance. A breakout above this moving average could open the door for a retest of the descending trendline.
Potential for Recovery
Both RUNE and ROSE show resilience at their key support levels. Their next moves largely depend on Ethereum and overall market sentiment. If ETH continues its recovery, this could provide altcoins like RUNE and ROSE the necessary momentum for a breakout and start of a new bullish trend. The MACD on both charts remains bearish but shows weakening momentum, indicating a potential reversal if a bullish crossover occurs.
Investors should monitor these support levels closely, as a break below could trigger further downside, while a confirmed bounce could present an attractive entry point for long-term investments.
