AAVE, YFI and Elrond all rise as Bitcoin price is above $ 19,300


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Bitcoin (BTC) price pushed back above the $ 19,000 level over the weekend as traders showed up and provided enough volume to support the surge.

At the time of writing, BTC price was above a pennant, but the $ 19,300-19,500 range continues to show significant resistance. According to Cointelegraph employee Rakesh Upadhyay:

“If the bulls can push the price above $ 19,500 into the overhead resistance zone of $ 20,000, an ascending triangle pattern with a target of $ 22,808.98 will be completed.”

BTC / USDT 4-hour chart. Source: TradingView

As Bitcoin bulls attempt to push the price down to the $ 19,500 resistance, a handful of altcoins have benefited from BTC’s range-linked price action by rebounding to key resistance levels.

Yearn.finance’s (YFI) governance token is currently showing an inverted head-and-shoulders formation within the 1-hour time frame. If price pushes the cutout, traders will look for a breakout to the USD 27,750-27,850 level.

YFI / USDT 1 hour chart. Source: TradingView

Risk averse traders will likely wait an hour above the cut-out at USD 26,276 before opening a position.

The 4-hour chart is also showing a VPVR gap between $ 26,115 and $ 27,851, and the RSI has hit bullish territory above 50. In the event of a pullback, the 20-MA can offer support as it is just below that at $ 25,468.

AAVE is also showing a similar construction to YFI, except that it recently broke across the neckline of its inverse head and shoulders pattern to hit a 5-day high at $ 91.78.

AAVE / USDT 4 hour chart. Source: TradingView

This move and the accompanying high volume spike sparked some profit taking, but traders who take a quick look at the AAVE chart will find that often lower support retests occur after rallies like the one seen today.

Profit taking caused the price to retest the $ 85.50 support. If that level can hold and Bitcoin doesn’t break off its pennant, AAVE price will likely reclaim $ 88.30. A daily close above USD 91.78 opens the door for AAVE and secures a new all-time high above USD 94.90.

Another altcoin that is quietly making strong moves is Elrond (EGLD), which is up 75% since closing a rounding low on December 7th. Currently, the EGLD is up 10.5% today, and after replenishing at $ 20.12, the altcoin is pulling back to retest underlying support levels.

EGLD / USDT 4-hour chart. Source: TradingView

There is support at $ 17.42 and below at $ 16.80 where the 20 MA is and the visible area of ​​the volume profile is showing support.

EGLD / USDT daily chart. Source: TradingView

While the 4-hour chart suggests the bullish move has ended, the daily timeframe shows that the EGLD is about to overtake the September 4th high of $ 20.50. After that there is no overhead resistance and the possibility of a new all-time high above $ 35.

If bitcoin price successfully moves above $ 19,500 and flips levels in support, it is likely that YFI, AAVE and Elrond will follow together.

The views and opinions expressed here are solely those of author and do not necessarily reflect the views of Cointelegraph. Every investment and trading step is associated with risks. You should do your own research when making a decision.