As August begins, several cryptocurrency tokens are preparing for major network developments. The weekend's upward trend has sparked excitement, and now many altcoins are anticipating a rise.
BeInCrypto analyzed three key altcoins that investors should pay attention to this week.
Stellar (XLM)
Stellar is set to release its second-quarter report this week. This report will highlight recent developments and provide a preview of upcoming plans. The Stellar Foundation's plans to develop the ecosystem could serve as a catalyst for price movements.
XLM is currently trading at $0.450, having emerged from a three-week decline and sitting above the support level of $0.445. The upcoming report could be a crucial driver for XLM's price and may generate new interest among investors, potentially pushing the altcoin higher.
Token Technical Analysis and Market Updates: Want more such token insights? Subscribe to the daily crypto newsletter by Editor Harsh Notariya here.
If the report creates a positive atmosphere, XLM could target $0.500 by breaking above $0.470. However, if investors start selling, XLM could fall below $0.424, which would invalidate the bullish scenario.
Lido DAO (LDO)
LDO has shown impressive growth this week, rising 58%. Currently trading at $1.49, this altcoin is experiencing positive momentum, reflecting investor confidence. This rise suggests potential further growth, with LDO likely to break through resistance levels soon.
LDO is trading below the resistance level of $1.56, but the upcoming Lido token holder update call could be a catalyst for price movement. This call will for the first time outline the roadmap and align LDO's long-term goals with protocol success. This event could trigger upward momentum.
If the Lido update creates a positive investor sentiment, LDO could break through $1.56 and reach $1.82. However, selling pressure could push Lido below $1.34, which would invalidate the current bullish outlook.
Arbitrum (ARB)
ARB is currently trading at $0.461, just below the resistance level of $0.473. This cryptocurrency is preparing for a significant event involving the monthly unlock of 92.65 million ARB tokens, valued at over $42.76 million. The token unlock could introduce volatility that may create price pressure.
Despite the potential downward impact of the token unlock, the altcoin's Relative Strength Index (RSI) remains in the bullish area. This suggests that broader market signals could offset negative influences, allowing ARB to maintain its upward momentum. A positive investor sentiment could support price stability during the unlock event.
If market sentiment remains positive, ARB could continue to hover below the $0.473 resistance level, with the potential to break through and target $0.510. However, if the unlock's downward effect becomes dominant, ARB could fall to $0.427, which would invalidate the current bullish outlook.
