Altcoins are seeing increased activity, led by Uniswap’s UNI, SUI, Ethereum’s First Neiro (NEIRO), and Worldcoin (WLD). UNI surged 17% following the announcement of a new Unichain layer 2 solution aimed at improving scalability and reducing costs.
SUI and NEIRO also posted impressive gains, with SUI nearing an all-time high (ATH) and NEIRO benefiting from multiple exchange listings. WLD has reclaimed a $1 billion market cap, but faces significant resistance on its way to $2.5. Despite the recent rally, caution is warranted as some tokens are approaching overbought levels, indicating a risk of a correction in the future.
Uniswap (UNI)
Uniswap (UNI) is up significantly over the past week, around 17% following the announcement of its own Unichain layer 2 solution.
The positive market reaction to the announcement has pushed UNI’s price upwards, but despite the bullish sentiment, the token appears to be struggling to break above the $8.20 resistance level. Failure to break above this resistance level suggests that selling pressure is present, keeping UNI below the key level.
However, the Unichain announcement has certainly boosted investor interest, which could sustain buying pressure in the coming days.
UNI’s EMAs remain bullish, suggesting that the overall trend is positive. If the uptrend continues, the price could make another attempt to break above the $8.2 resistance level. If successful, the next target would be $8.6. However, UNI’s Relative Strength Index (RSI) has dropped to 63, down from a high of 81 just a day ago.
This suggests that some of the strong buying pressure is easing and the market may be cooling off a bit after being overbought. The lower RSI now provides some breathing room for UNI.
That means UNI could continue to rise without immediately becoming overbought again, but it also signals increased volatility. If the current uptrend reverses, UNI could find support at $7.4 or even $6.6, which is 16% lower than current levels.
On (ON)
SUI has been one of the top gainers over the past 7 days, with its price increasing by nearly 28% during this period. The notable increase has attracted the attention of traders who are taking advantage of the coin’s recent bullish momentum. SUI’s EMAs remain positive, indicating that the overall trend remains bullish.
However, one of the short-term EMAs has recently narrowed, implying that the strength of the uptrend may be weakening compared to previous moves. In other words, although there is still buying interest, it may not be as strong as before. This is likely to signal a more cautious market sentiment.
Currently, SUI's RSI is at 63.43, which means the coin is approaching overbought territory, but there is still some room for further upside. Such an RSI level shows that there is still buying pressure, but the market is not overheated yet.
That gives SUI a chance to move higher before reaching a key exhaustion level. SUI is currently just 0.25% below its ATH reached today. If the uptrend continues, SUI is likely to test the $2.15 resistance level and then attempt to enter price discovery.
On the other hand, if the current bullish momentum weakens, SUI could correct significantly. That could potentially send SUI as low as $1.59, representing a 22% drop.
NEURO
NEIRO has surged this week, up about 105% as enthusiasm around the token grows. After being listed on multiple exchanges in September, NEIRO’s price has nearly doubled since then, indicating growing interest.
The current uptrend is taking NEIRO closer to ATH, which seems within reach if bullish sentiment continues to dominate the market. The listing effect coupled with the recent gains reinforces the optimism that NEIRO could soon break out to new price levels.
NEIRO’s EMAs are currently pointing in a bullish trajectory, suggesting that the coin is in a strong uptrend. Traders and investors are now closely watching as the price approaches a potential new all-time high of $0.0021, just 5% away from the current value.
With the EMAs showing strength, there is growing confidence that NEIRO could continue to rally, potentially setting a new record. The RSI also looks quite healthy at 59.55, implying bullish momentum without being overbought.
As such, there is still room for short-term upside. However, if the uptrend reverses, the lack of strong support levels nearby will pose significant risks. A reversal could lead to a sharp correction, with NEIRO potentially losing up to 50% of its value in just a few days.
Worldcoin (WLD)
Worldcoin (WLD) has made a strong comeback in the altcoin ecosystem, reclaiming a $1 billion market cap. That comes after a price increase of more than 8% last week.
The renewed interest has brought WLD back into the spotlight as one of the market’s standout gainers. Despite the recent rally, WLD has remained below $2.50 since mid-July, and the prospects of a return to this price level depend on whether the current uptrend continues.
The ability to sustain the upward momentum will be crucial for WLD to reclaim higher prices. The current move is promising, but traders are closely watching to see if this momentum can be sustained or if it runs out of steam before reaching significant resistance.
The RSI for WLD is currently at 63.85, indicating that the asset is approaching overbought conditions, but there is still room for further upside. For WLD to return to $2.50, it will need to clear key resistance levels at $1.93, $2, and $2.17. Clearing these resistance levels would increase the likelihood of reaching $2.50, which would be WLD’s highest price since July.
However, if WLD fails to sustain its current bullish momentum, it could retrace significantly. If that happens, a drop to support around $1.52 cannot be ruled out. Such a correction would represent a deep 21% decline. The next few days will be crucial in determining whether WLD can break above these key resistance levels or if it is forced to give up some of its recent gains.
Athena (ENA)
Ethena (ENA) is up more than 12% this week after announcing four key assets for its RWA fund, sparking renewed interest. However, unlike the other coins on this list, ENA’s EMAs are currently looking bearish, suggesting that the recent rally may not be sustainable.
The long-term EMAs are above the short-term ones, which is a bearish indicator. This emphasizes that the overall trend is still bearish despite the recent rise.
The RSI for ENA has spiked to 73.19, up from 39 in less than a day. That is a sign of strong buying pressure but also suggests that the asset is currently overbought. If the rally continues, ENA could hit $0.42, with a potential upside of 27%.
However, the bearish EMA and overbought RSI suggest that a correction may be imminent. That could push the price back to the support level of $0.27 or even $0.2. Traders should be cautious as volatility is likely to increase in the near term.
