Cryptocurrency markets remain cautious, but some tokens are facing significant tests this week. As prices move sideways, attention shifts to three altcoins to watch in the third week of December. From changes in supply to network events to changes in holder behavior, each has a specific catalyst on the horizon.
In the future, these settings could cause sharp moves if buyers or sellers take control.
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Sei (SEI)
SEI is under steady pressure heading into mid-December, and price action reflects that caution. The token is down about 23% in the past month and more than 60% in the past three months, leaving sentiment fragile as the market searches for direction.
At the time of writing, SEI is trading around $0.124, consolidating within a broader descending wedge structure on the daily chart. This pattern often appears late in a downtrend when selling pressure wanes and prices begin to fall. For now, SEI is sitting just above the lower bound of its structure, and the next few sessions will be important. This tension puts SEI on the list of altcoins to watch.
Momentum indicators provide mixed and interesting signals. From December 5th to December 14th, the SEI price formed lower lows, while the Relative Strength Index (RSI) formed higher lows. The RSI measures momentum strength, and this bullish divergence suggests that sellers may be losing control even though price remains weak.
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However, short-term risks remain high as SEI plans to unlock the token on December 15th. Approximately 55.56 million SEI, equivalent to approximately 1.08% of the circulating supply, is scheduled to be released into the market. Token unlocking often increases short-term selling pressure, especially when overall sentiment is cautious.
Key levels clearly define your setup. A clean move above $0.159 would indicate that buyers are absorbing unlock-related supply and could open a rebound towards a higher resistance zone. This includes more than $0.193.
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On the downside, a decline of about 3% from current levels to $0.120 risks a break towards the lower trendline. If that happens, the theory of bullish divergence will be weakened.
Bitensor (TAO)
Bitensor price action has compressed into a tight range ahead of the upcoming halving, setting a clear decision point. TAO is trading inside a symmetrical triangle on the daily chart, indicating a balance between buyers and sellers after weeks of downward pressure. This battle between buyers and sellers makes the currency one of the altcoins to watch in the third week of December.
TAO has fallen about 15.5% over the past month and about 6.6% over the past seven days. Short-term weakness continues, but volatility has declined, which often precedes big moves. This structure reflects indecision rather than complete bearish control.
The halving serves as an important backdrop. The halving of Bitensor will reduce token emissions and tighten new supply. Historically, such events do not guarantee an immediate rally, but they often act as a catalyst when prices are already compressed.
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From a technical perspective, the first bullish trigger is around $301. If the daily closing price rises above this level, it will break the upper trendline of the triangle and signal new strength. This move paves the way to $321 and then $396 if momentum builds and broader market conditions cooperate.
Downside risks still remain. $277 is important support. Below this, the structure weakens and $255 is possible, with $199 being a deeper risk zone if sentiment worsens.
ASTER
Aster stands out as one of the altcoins to watch in the third week of December as we see a clear tug-of-war between the whales and the broader market.
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On-chain data shows active accumulation of whales heading into this week. Over the past seven days, the ASTER balance held by whales has increased by approximately 42.7 million tokens, increasing from approximately 39.85 million to 82.54 million ASTER. This is a 107% increase and shows strong confidence among large holders ahead of the third week of December.
At the same time, the exchange tells a different story. The exchange balance increased by 10.48%. This suggests that retail sales are possible even as whales accumulate.
The conflict between buyers and sellers is also visible in the charts. ASTER has been correcting since November 19th, but is now compressed into a triangular pattern reflecting indecision. At this stage, a hidden bullish divergence is forming. From November 3rd to December 14th, prices hit higher lows and the Relative Strength Index (RSI) hit new lows, which often indicates that selling pressure is drying up.
It is often associated with a price rebound. If this setup is implemented, the first level of interest is $0.94. If the day’s price closes above this, it could break through the triangular resistance line and open the way to $0.98, and then if momentum builds and whale support persists, it could rise 16% to $1.08.
On the downside, a loss of $0.88 invalidates the bullish divergence, exposing $0.81 and returning control to the sellers.
