Altcoins and DeFi tokens break out as Bitcoin price approaches major resistance

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Tired cryptocurrency traders awoke to the sight of green in the markets on May 2 as the bulls managed to bid the price of Bitcoin (BTC) above the crucial “line in the sand” at $ 37,500 while Ether (ETH) at $ 37,500 for a short time $ 2,800 was traded.

The rising price of BTC and ETH has been accompanied by double-digit gains in several altcoins, leading some to speculate that the market is currently experiencing an oversold boom after the recent downturn.

Price, Twitter and trade volume data. Source: Cointelegraph Markets Pro

The front runner in this latest rally is again Dogecoin (DOGE), which after the announcement from 1.

Data from Cointelegraph Markets Pro began to see the upside for DOGE on May 31st, ahead of the recent price hike and before Coinbase Pro’s announcement.

The VORTECS ™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions derived from a combination of data points such as market sentiment, trading volume, recent price movements and Twitter activity.

VORTECS ™ Score (green) vs. DOGE price. Source: Cointelegraph Markets Pro

As can be seen in the graphic above, the VORTECS ™ Score for DOGE started registering green on May 31st and peaked at 74 on June 1st, just 14 hours before the system registered the NewsQuake ™ announcement that DOGE was up Coinbase Pro is listed, followed by a 45% rally.

DeFi projects are gaining traction

Cointelegraph Markets Pro’s data for Kyber Network’s KNC token shows that market conditions have been favorable for the project for some time.

VORTECS ™ Score (green) vs. KNC price. Source: Cointelegraph Markets Pro

As can be seen in the graph above, the VORTECS ™ Score for KNC moved in the green on May 31st and stayed elevated for the next two days before hitting a high of 74 on June 1st when its price hit a 75 % Rally started.

Another DeFi-focused project identified by Cointelegraph Markets Pro ahead of its recent price move is Kava, which is up 36% in the past 24 hours and is currently trading at $ 4.68.

VORTECS ™ Score (green) vs. KAVA price. Source: Cointelegraph Markets Pro

As can be seen in the graph above, conditions for KAVA have been bullish for some time, as evidenced by the persistent green VORTECS ™ Score last week. The VORTECS ™ score for KAVA peaked at 75 on May 31, around 48 hours before a price rally of 45% began.

The May 19 correction wiped out $ 1.2 trillion of value across the crypto market, and while the shockwaves of the historical correction still reverberate across the market, a handful of DeFi tokens and altcoins are showing signs of bullish momentum.

This suggests that cautious traders are slowly returning to the market in hopes that the second leg of the 2021 bull market may be under way.

The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every step of investing and trading involves risk and you should do your own research when making a decision.