Capital flows into altcoins: These 2 tokens are gaining momentum as M reaches a new peak.

The crypto market is recording strong progress on Thursday, as a series of altcoins make remarkable breakthroughs. Among them, MemeCore (M) stands out with a double-digit increase in the past 24 hours, followed by Four (FORM) – a project previously known as BinaryX, along with Ethena (ENA) which is in the process of bouncing back.

This trend indicates a growing interest in altcoins, while also reflecting the shift of funds gradually moving from leading coins to emerging projects. On a technical level, the outlook for many altcoins is leaning towards a bullish trend as the upward momentum is reinforced.

MemeCore holds steady above 1 USD, aiming for new heights

MemeCore continues to assert its strength with a 37.7% increase in trading on Thursday, marking a six-day consecutive rise. Although there was a slight adjustment after reaching a record high of 1.15 USD at the time of writing, this token still remains solidly above the important psychological threshold of 1 USD. This trend indicates that market confidence in the bullish trend of MemeCore is still being reinforced.

Currently, MemeCore is approaching the resistance zone of 1.07 USD (R1 on the 4-hour chart). If the price can decisively close above this level, the uptrend is likely to continue, opening up the opportunity to reach the next target at 1.47 USD (R2). This is an important resistance level that could determine the medium-term uptrend of the token.

Notably, data from CoinGlass shows that interest in MemeCore is skyrocketing. Within just 24 hours, the open contract (OI) has increased by 43%, reaching a record high of 99.4 million USD. At the same time, trading volume has also maintained above 1 billion USD for three consecutive days, clearly reflecting the strong participation of new capital flowing into the market and indicating that MemeCore is becoming the focal point of investor attention.

MemeCore's derivative products | Source: CoinGlassTechnical indicators also reinforce the optimistic outlook. The MACD and signal line are widening the gap, indicating that bullish momentum continues to strengthen. Meanwhile, the RSI on the 4-hour chart reached 77, deep into the overbought territory, reflecting that buying pressure remains very strong and the bullish trend shows no clear signs of weakening.

However, the risk of adjustment cannot be completely ruled out. In the event that selling pressure unexpectedly increases and causes the price to break below the 1 USD mark, the nearest support zone of MemeCore will be at 0.89 USD – a level that previously acted as short-term resistance. This will be an important support point to protect the upward trend if the market experiences negative fluctuations.

Price chart M 4 hours | Source: TradingView## Four aims for the 4 USD mark after the V-shaped bounce back

Token Four (FORM) is currently trading around 3.6 USD, marking the fourth consecutive bullish session with an additional increase of 10.2% on Thursday. Notably, just a few days ago, FORM experienced a sharp decline of 18% on Sunday. However, this GameFi token has quickly regained momentum, forming a V-shaped bounce back, indicating that demand is clearly returning to the market.

If the buying force continues to be maintained and the price can break through the threshold of 3.75 USD, FORM has the potential to extend the upward trend, aiming for the important psychological milestone of 4 USD. This will be an important strength test for the buyers in the short term.

Current technical indicators are also supporting the bullish scenario. On the daily chart, the RSI reached 53, crossing above the neutral threshold, indicating that buying pressure is gradually gaining dominance. Additionally, the MACD is in the process of converging with the signal line, reflecting a positive shift in momentum and the potential for a reversal to an uptrend.

However, a negative scenario still needs to be considered. If the bounce back momentum weakens and selling pressure increases, FORM may reverse to test the support level of 3.42 USD – the closing level recorded on August 25th. This will be an important defense zone to maintain the medium-term upward trend.

FORM price chart 1 day | Source: TradingView## Ethena struggles to maintain upward momentum above 0.7 USD

Ethena (ENA) is showing signs of slowing down compared to two other prominent altcoins. In Thursday's trading session, ENA continued to rise by 3.5% after increasing by 6% the day before. This trend indicates that buyers are determined to maintain the price above the 0.7 USD mark, continuing a bounce back that has lasted for two days recently.

However, if the bulls fail, ENA is likely to retreat to the $0.69 region – a level that previously served as an important resistance during Wednesday's session. This will be the nearest support area that can be tested again in the short term.

Data from CoinGlass shows that the OI of ENA has increased by over 8% in the last 24 hours, reaching 1.43 billion USD. However, trading volume has decreased compared to last month, indicating that the accumulation sentiment is occurring slowly, while reflecting the caution of investors amid recent fluctuations.

ENA derivatives products | Source: CoinGlassTechnically, the indicators are sending mixed signals. On the 4-hour frame, the RSI is at 56 and starting to turn down, indicating that buying pressure has weakened. If this indicator continues to slide below the neutral threshold, the risk of a downward correction will become more evident. Conversely, the MACD and signal line are converging, signaling that the downtrend has significantly slowed. If the green histogram reappears above the zero line, this could be a sign of a potential bullish reversal in the near future.

In a positive scenario, if the buyers reclaim the resistance area of 0.75 USD ( last tested on 23/8), ENA could extend the upward trend and aim for a higher target area at 0.85 USD. This will help this cryptocurrency regain its momentum while attracting more attention from investors.

ENA 4-hour price chart | Source: TradingViewThe breakout of MemeCore, the bounce back of Four along with the efforts to maintain the upward trend of Ethena reflect a significant shift of capital in the crypto market. Altcoins are attracting strong attention in the context of reinforced bullish momentum.

However, each token has its own technical characteristics and market psychology. Investors need to closely monitor important support and resistance levels, as the current signals both present opportunities and carry risks if the trend reverses unexpectedly.

Annie