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The recent announcement by the Federal Reserve to cut interest rates by 50 basis points has sent shockwaves through the market, especially among altcoins.
The Fed rate cut has resulted in a significant surge in Bitcoin (BTC) and altcoin prices, with notable performances from Sui (SUI), Celestia (TIA), Fantom (FTM), Bittensor (TAO), and Sei (SEI).
The altcoin rally was kicked off by the Sui and Fantom (FTM) breakouts on Monday before the Fed rate cut announcement that has pushed the five altcoins to the top performance of the past week according to CoinGecko.
RSI signals a possible SUI price correction
Sui (SUI) currently sitting at $1.4917 is up by 44% over the past seven days and the outlook remains bullish as we head into next week.
In the past week, SUI closed above its opening price 47.48% of the days.
At its current price, SUI is 27.47% down from the all-time high of $2.05 recorded five months ago.
However, with 12 out of the 17 most commonly used technical indicators signaling a “buy,” the short-term sentiment remains bullish.
Analysts are, however, cautious seeing that the 14-day Relative Strength Index (RSI) sits at 81.89 indicating overbought conditions, suggesting a potential price correction may be on the horizon.
The key resistance for SUI stands at $1.64, and closing above this level could propel its price towards $1.72.
On the contrary, a drop below the support level at $1.28 could lead to further declines.
Predictions for SUI indicate it could reach $1.63 in the next 10 days, with a long-term forecast of $5.15 by 2025.
Celestia (TIA) remains strong
Celestia (TIA) is currently priced at $5.826, having experienced a slight decline of 2.35% over the last 24 hours.
Despite this, the token has seen an impressive 33% price surge over the past seven days amid an increased trading volume, indicating significant market interest.
Analysts believe TIA is taking a breather after a stellar performance over the week, a theory supported by the RSI indicator which has slightly dipped after nearly entering the overbought region.
To continue its upward trajectory, TIA must remain above the first support level of $5.10, with a potential rise towards the first major resistance at $6.41.
If Celestia fails to hold above $5.10, a further decline to $4.48 could ensue.
The volatility observed with Celestia price is typical for altcoins, which often see sharper fluctuations compared to Bitcoin and Ether.
Fantom (FTM) takes a break
Fantom (FTM), currently trading at $0.6372, has also showcased resilience.
Despite a 3.0% decline over the last 24 hours, FTM price has seen a 31% surge over the past week.
Despite currently trading at 80.58% down from its all-time high of $3.24, FTM has closed above its opening price for 50.07% of the last seven days, signalling a generally positive trend.
A majority of the most used technical indicators are also bullish, with 11 out of 17 suggesting “buy” signals.
However, the Fantom price needs to breach the resistance level at $0.6411 for it to attempt at $0.7521.
Most importantly, it must remain above the support at $0.5480 for it to remain bullish, although it could see some corrections seeing that the RSI currently sits at 70.95, suggesting overbought conditions that could lead to a short-term correction.
Bittensor (TAO) riding the AI hype
Bittensor (TAO) is currently priced at $419.9, after a 31% surge over the past week.
Despite a 42.71% drop from its all-time high of $724.33 recorded six months ago, TAO has closed above its opening price in 46.95% of the last seven days.
With 12 buy signals out of 17 most commonly used technical indicators, the sentiment remains very bullish.
However, TAO needs to close above the resistance level of $479.24 to continue its upward momentum.
If it falls below $414.61, it could face further declines.
Nevertheless, the RSI stands at 73.19, indicating overbought conditions, which could prompt a price correction.
Despite the correction fears, forecasts suggest a price of $456.26 in the next 10 days, with longer-term predictions pointing to hitting $500 before the end of 2024.
SEI price hit a new monthly high
SEI price has surged by over 22% over the past seven days hitting a new monthly high of $0.3743.
The current SEI price surge signals a possible recovery after months of consolidation following the March to August drop.
The token, however, remains 64% below its peak of $1.03 recorded on Mar 16, 2024.
The current surge has seen the token close above its daily opening price by 47.53% in the last seven days and the short-term sentiment is bullish, with 10 buy signals out of 17 indicators.
However, SEI must close above the resistance level at $0.4128 to see further gains and maintain above the support at $0.3368.
Nevertheless, the RSI currently sits at 67.23, indicating the token could be heading to an overbought region that could see it experience some price correction.
Over the next ten days, predictions suggest a potential surge to $0.4058 in the next 10 days, with long-term projections of hitting $1 by the end of the year.
The recent interest rate cut by the Federal Reserve has set the stage for a bullish environment among altcoins with SUI, TIA, FTM, TAO, and SEI demonstrating significant price movements.
With a combination of technical analysis and market sentiment, the outlook for these altcoins appears promising as they continue to react to broader economic changes.
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