Published 3 hours ago
Top 3 Defi tokens to invest in 2023: Following the prior downfall, several Defi tokens have shifted sideways, hinting the bearish momentum is getting exhausted. These lateral walks are some of the early signs of a trend reversal. Thus, the interested can grab these tokens at cheaper prices to maximize their gains in 2023.
Uniswap(UNI)
source- Tradingview
The Uniswap(UNI) token price has been under a sideways trend for nearly a year now. However, this consolidation in the weekly time frame chart showed the formation of a symmetrical triangel pattern.
In theory, this pattern provides a strong direction rally if prices break either of its converging trendlines. Furthermore, with the current uncertainty and negative sentiment in the market, the UNI price attempt a breakdown from the pattern’s support trendline.
By the press time, the Uniswap token trades at the $4.96 mark and is 88.94% down from the All-Time high of $44.97. Thus, a weekly candle closing below the trendline will replenish the bearish momentum and may prolong the downtrend to the $3 mark.
On a contrary note, if the price rejects the lower price, the UNI price will have a possibility for an upside breakout, which may push the prices to the $13 mark.
Avalanche(AVAX)
Source- Tradingview
A V-top reversal from the $146.22 all-time high tumbled the Avalanche coin price 92.45% down to its current price of $11.1.however, the coin price follows a steady downtrend under the influence of a descending trendline.
Considering the falling price, the daily RSI slope moving sideways indicates a weakness in bearish momentum. This positive divergence increases the probability of a bullish reversal and breakout from the overhead trendline.
A weekly candle closing above the trendline will accelerate the buying pressure and may surge the price’s $30 mark.
Chainlink(LINK)
Source- Tradingview
Following its prior downfall, the Chainlink price has shifted sideways over the past seven months. Moreover, this consolidation phase has a formed range where the price continues to wobble between $9.5 and $5.6.
However, this rectangle pattern holds the potential to offer a strong directional rally upon the breakout mentioned range. The altcoin currently trades at the $5.6 mark, which is 89.35% down from the all-time high of $52.88.
Conversely, a weekly candle closing below $5.6 will prolong the prevailing downtrend to $3.3.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
