Key Takeaways
- Solayer’s (LAYER) price reached its all-time high in April.
- Hyperliquid (HYPE) is attempting to break out from a wedge.
- SUI and Deepbook Protocol (DEEP) could end their rally in May.
April was an extremely bullish month for the cryptocurrency market, a welcome respite after a three-month downward trend.
Bitcoin (BTC) increased over 15%, while several altcoins moved more than 100%, despite a robust Bitcoin Dominance Rate (BTCD).
This article will analyze four cryptocurrencies with bullish formations that can reach new all-time highs in May.
Will Solayer Continue Rallying?
The LAYER price reached its all-time high on April 30. However, the wave count suggests LAYER could be nearing a local top.
The count shows that Solayer is in wave three of a five-wave upward movement. Wave three has extended and has 2.61 times the length of wave one.
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The Relative Strength Index (RSI) also generated a bearish divergence (orange). Combined with the sub-wave count (black), it suggests a local top is in place.
If the LAYER price begins to correct, the closest support will be $2.73, created by the 0.382 Fibonacci retracement support level.
After the wave four correction, the LAYER price will likely begin wave five, taking it to a new all-time high.
A target for the movement’s top can be determined once wave four is over.
HYPE Price Aims for Breakout
The HYPE price has decreased inside a descending wedge since its all-time high in December 2024.
The decline culminated with a low of $9.29 on April 7, after which the HYPE price bounced.
HYPE trades at the wedge’s resistance trend line, which coincides with the $20 resistance area.
A successful breakout could take Hyperliquid to the next resistance at $27.5, the final one before the all-time high.
Technical indicators are bullish, supporting the breakout.
After generating a bullish divergence (orange), the RSI and Moving Average Convergence/Divergence (MACD) rallied and crossed their bullish thresholds.
As a result, a breakout from the wedge is the most likely future HYPE price prediction.
Does SUI Have Enough Strength?
The SUI price started a five-wave upward movement on April 9 and broke out from a descending resistance trend line.
SUI’s resistance has existed since the all-time high, so its breakout is a positive sign for the long-term trend.
After its breakout, SUI faces rejection at the 0.618 Fibonacci retracement resistance at $3.97 and has fallen since.
The wave count suggests wave three is over, and the SUI price is now correcting in wave four.
While a significant extension would be required for wave five to take the price to a new all-time high, SUI can still do so.
Final DEEP Price Increase
Deepbook Protocol is the final crypto asset that can reach a new all-time high in May.
Its price movement is very similar to SUI, meaning the DEEP price is in wave four of a five-wave increase.
Wave four is an irregular flat correction and could end soon. If this is true, a sharp and significant wave five often follows.
Similarly to SUI, a considerable extension in wave five can cause the DEEP price to reach a new all-time high.
Bullish May Cryptos
April was an extremely positive month for LAYER, SUI, DEEP, and HYPE.
All four have positive formations and could increase even further in May, possibly reaching new all-time highs.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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