Will Bitcoin ‘Uptober’ bring gains for MKR, AAVE, RUNE and INJ?

After rising about 80% in the first two quarters of 2023, Bitcoin (BTC) fell roughly 11% in the third quarter ending September. However, there is a silver lining for the bulls because they managed a positive monthly close in September, the first since 2016.

Buyers will try to build upon this momentum in October, which has a bullish track record. According to CoinGlass data, only 2014 and 2018 have produced negative monthly returns since 2013 in October. There is no guarantee that history will repeat itself but the data can be used as a good starting point to formulate strategies by traders.

Crypto market data daily view. Source: Coin360

The recent strength in Bitcoin has also boosted interest in altcoins. Select altcoins are trying to break above their respective overhead resistance levels, indicating the start of a robust recovery. The bullish momentum could pick up further if Bitcoin extends its relief rally to $28,000.

Not all altcoins are expected to blast off to the upside. The cryptocurrencies that are showing strength are the ones that may lead the recovery higher. Let’s study the charts of the top-5 cryptocurrencies that could outperform in the near term.

Bitcoin price analysis

Bitcoin has been trading above the moving averages since Sep. 28, which is a positive sign. This shows that the advantage is gradually tilting in favor of the buyers.

BTC/USDT daily chart. Source: TradingView

The bears are trying to stall the rally near $27,500 but the bulls have not given up much ground. This shows that every minor dip is being purchased. This increases the odds of a break above $27,500. The BTC/USDT pair could then retest the crucial overhead resistance at $28,143. This level may again attract aggressive selling by the bears.

If the price turns down sharply from $28,143, the pair could retest the 20-day exponential moving average ($26,630). A strong bounce off this level could kick the price above $28,143. The pair may subsequently climb to $30,000.

This bullish view will be negated in the near term if the price turns down and dives below the solid support at $26,000.

BTC/USDT 4-hour chart. Source: TradingView




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