Analyst: These are the 2 Cryptocurrencies Sending ‘Buy’ Signals!

The cryptocurrency market has experienced choppy trading this past week. The market started the week on a high note and turned around at the end of the week. Initially, optimism increased with many analysts predicting that Bitcoin (BTC) would reach new highs. But strong US employment data on Friday changed sentiment. This decline led to the overselling of many cryptocurrencies. Crypto analyst Aneena Alex calls this a potential “buy the dip” opportunity. In this context, the analyst draws attention to 2 tokens.

The first cryptocurrency: Dogwifhat (WIF) As you follow from , with the dramatic change, the crypto world went from rising to falling within days. According to CoinGlass, the overall Relative Strength Index (RSI) supports this transition with an average 4-hour RSI of 34.47. In this context, Dogwifhat (WIF) shows strong potential as a buying opportunity. The 4-hour RSI is 28.92 while the 24-hour RSI is 41.43. These indicators show that WIF is oversold in the short term, but shows signs of stability in the daily time frame.

Crypto market daily RSI heatmap, WIF. Source CoinGlass

This RSI pattern indicates a potential recovery as immediate selling pressure subsides. It also indicates that the asset has the potential to correct upwards. Additionally, the 1-week RSI of 50 indicates a neutral long-term trend. Therefore, it shows that the recent decline is more of a short-term correction than a long-term downward trend. These indicators reinforced WIF’s status as a very oversold market with recovery potential. The token was trading at $2.69 at the time of writing.

The second token sending buy signals: Chainlink (LINK)

Chainlink (LINK) also presents an interesting case as a well-sold cryptocurrency poised for a potential recovery. The 4-hour RSI at 29.51 indicates a sudden oversold situation. Thus, it shows that there has been a lot of sales pressure in the recent period. LINK’s 12-hour RSI value is 34.38 and its 24-hour RSI value is 42.20. These show signs of stabilization in the daily time frame, strengthening the short-term recovery potential.

Crypto market daily RSI heatmap, LINK. Source CoinGlass

The 1-week RSI of 50.00 indicates a neutral long-term trend, similar to the WIF. It also indicates that the recent pullback is likely a short-term correction. LINK’s RSI indicators collectively point to a potential recovery opportunity. At the time of writing, the token was trading at $15.90.

Currently, WIF and LINK are showing promising buy signals based on RSI indicators. However, having an oversold RSI does not guarantee a price recovery. Additionally, there may be situations where it indicates a downward trend. Cryptocurrencies are highly volatile assets. Therefore, it is possible for anything to change in the market in the blink of an eye.

The opinions and assumptions in the article are those of the analyst and are not necessarily investment advice. cryptokoin.comWe strongly recommend that you do your own research before investing.

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