Breakouts depend on sustained demand and reduced profit-taking this week.
The first week of the year is starting out on a positive note, owing to the macro financial market response to the US’s attack on Venezuela being neutral. This makes the rest of the week appear rather bullish.
In line with the same, BeInCrypto has analysed three altcoins that investors should watch in the first week of January.
XLM trades near $0.233 at the time of writing, posting nearly 16% gains over the past seven days. Despite the recovery, Stellar remains capped by a downtrend line that has constrained price action for more than a month, limiting confirmation of a sustained reversal.
Breaking the downtrend requires XLM to reclaim the $0.241 resistance. The Parabolic SAR sits below the price, signaling an active uptrend. Continued capital inflows are necessary to sustain momentum. If demand holds, XLM could challenge $0.241 in the coming sessions.
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Failure to escape the downtrend would expose downside risk. Under renewed selling pressure, XLM may retrace toward the $0.220 support. A breakdown below this level would invalidate the bullish thesis and could push the price further down to $0.206.
RENDER surged 57% over the past week, ranking among the top-performing tokens. Alongside meme coins, AI-focused cryptocurrencies have gained strong traction since 2026 began. This renewed sector interest has driven speculative and fundamental demand, positioning RENDER as a notable beneficiary of the broader risk-on environment.
RENDER’s rally appears supported by solid capital inflows. The Chaikin Money Flow remains well above the zero line, signaling sustained accumulation. Strong holder participation increases the likelihood of continuation. If momentum holds, RENDER could extend gains beyond $2.18 and $2.34, reaching a two-month high.
Downside risk persists if investors begin locking in profits. Increased selling pressure could push RENDER below the $2.00 psychological level. A breakdown may expose the $1.71 support, which would invalidate the bullish thesis and shift the near-term outlook toward consolidation or correction.
Another one of the altcoins to watch in the first week of January is XCN, which surged sharply over the past 24 hours, gaining 41% at its peak. The altcoin trades near $0.00595 after another failed attempt to break $0.00630. This level has been rejected three times over the past six weeks, remaining a critical resistance zone.
After losing momentum in late December, as the RSI highlights, XCN is showing renewed strength. Buyers appear to be returning, supporting the current rebound. For the rally to sustain, XCN must successfully retest $0.00535 as support, which would confirm stability and preserve short-term bullish structure.
Downside risk remains if support fails to hold. A drop below $0.00535 would weaken confidence and expose XCN to further losses. Under such conditions, price could slide toward the $0.00477 support, invalidating the bullish thesis and erasing recent gains.
