Altcoin

what lies ahead for Ethereum and other cryptocurrencies?

Published

9 months ago

14 May, 2024

Altcoin market blues: what lies ahead for Ethereum and other cryptos?

What factors are driving the downtrend of altcoins and when can we expect a trend reversal?

In the last month, the cryptocurrency market, in particular altcoinsfaced a prolonged recession, with many notable losses.

Ethereum (ET), the second largest cryptocurrency in market capitalizationit has lost nearly 10% of its value over the past 30 days, trading at around $2,960 as of May 13.

However, the ordinals (ORDER) was hit the hardest, falling 40% and now trading at just $36.80.

This market downturn is in line with global economic trends, such as recent decision by the Federal Reserve (Fed) to keep interest rates between 5.25% and 5.50%.

The Fed’s cautious approach to monetary policy to address inflation and economic growth may have created uncertainty among cryptocurrency investors, leading them to favor more established assets like Bitcoin (Bitcoin).

BTC has largely traded above $60,000 levels during this downturn, with BTC dominance even reaching a high of nearly 57% in April, a notable increase from last year’s levels of 45-46%. As of May 13, BTC’s dominance stood at over 55%.

BTC Dominance Chart | Source: TradingView

Additionally, the Fed’s announcement with regard to Its strategy of reducing bond holdings, slowing the pace at which it allows proceeds from maturing bonds to flow out without reinvestment, could point to potential economic challenges ahead.

This signal may have further reduced investor confidence in altcoins, diverting attention and capital away from riskier assets.

As the cryptocurrency market faces this crisis, the question arises: when will altcoins recover? Let’s explore.

What do the experts think?

Analysts have offered a variety of perspectives on the current state of the altcoin market. Here’s what they think

Patric H. | CryptotelligenceX

Patric H. remains bullish on the overall market, predicting a continuation of the bull market through mid-Q3/Q4 2024.

🚨 Contrary opinion: the fund has nothing to do with it.

May will be emotionally difficult for many #Bitcoin AND #Altcoins investors.

Over the next 2-6 weeks, we will see the final jolt before the breakout.

🧵Here’s what to expect in this turbulent phase.

— Patric H. | CryptelligenceX (@CryptelligenceX) April 30, 2024

However, it warns of a short-term turbulent phase, especially in May. He predicts a final shakeout in the next 2-6 weeks, possibly revisiting $52,000 for Bitcoin and $2 trillion for total market cap.

He attributes the delay in reaching the bottom to the lack of sufficient pain in the market, indicating that sentiment remains too euphoric.

Patric recommends monitoring the Fear and Greed Index for signs of a shift towards “fear.” He also said he is keeping an eye on the divergence in sentiment and trading volumes, which could hint at a potential trend reversal.

Benjamin Cowen

Benjamin Cowen draws parallels to the previous cycle, pointing out that ALT/BTC pairs tend to capitulate just before rate cuts. According to him, ALT/BTC pairs could drop another 40% from current levels in the coming months.

Last cycle, we saw #ALT /#BTC couples capitulate just before rate cuts.

Maybe this time it’s no different? This would mean that ALT/BTC pairs will drop another 40% from here over the next few months.

Short-term countertrends do not invalidate this view. pic.twitter.com/BK3VIrCBJ2

— Benjamin Cowen (@intocryptoverse) April 30, 2024

Cowen attributes altcoins’ continued struggles to declining social interest, comparing the current market movement to that of 2019.

Altcoins continue to struggle because social risk is collapsing. People just don’t seem to care.

The whole move still feels 2019-style to me. Social interest also collapsed just before the rate cuts arrived, and then the ALT/BTC pairs finally bottomed when the Fed changed direction. pic.twitter.com/SEKbLRMTaX

— Benjamin Cowen (@intocryptoverse) April 29, 2024

He points out that social interest has declined before rate cuts in the past, suggesting a potential bottom for ALT/BTC pairs coinciding with a shift in Fed policy.

Michael van de Poppe

Michaël van de Poppe notes that altcoins are experiencing a regular correction in USD valuations, but in BTC valuations they are declining sharply, approaching cycle lows.

THE #Altcoins market cap is undergoing regular correction (in USD valuations).

BTC valuations are way down and at cyclical lows.

Underestimation vs reality.

This is not the time to move away from cryptocurrencies, but to attack markets with higher risk. pic.twitter.com/h298e63ory

— Michaël van de Poppe (@CryptoMichNL) May 12, 2024

He suggests that this undervaluation presents an opportunity to attack higher-risk markets rather than moving away from cryptocurrencies.

What to get from it?

These analyzes suggest a cautious outlook for the altcoin market in the near term, indicating that further corrections may be coming.

However, they also indicate a possible bullish trend in the medium to long term. This means you should remain alert and flexible as the market evolves.

The next few weeks will be important for the altcoin market, with factors such as sentiment, trading volumes and external economic events likely to have key impacts.

Potential catalysts for market recovery

The cryptocurrency market is at a critical juncture, with potential catalysts that could restore normalcy and revive bullish sentiment.

An important development is the progress of the Financial Innovation and Technology for the 21st Century (FIT21) Act of the U.S. House, which goals bring regulatory clarity to digital assets.

If passed (could be in May itself), the bill could establish federal standards for digital assets, clarify the jurisdiction of regulatory bodies such as the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), and establish a regulatory framework for digital asset markets.

The cryptocurrency industry has long sought regulatory clarity, and the FIT21 Act could provide much-needed certainty to market participants and investors, potentially increasing confidence and investment in the sector.

Additionally, the bill’s provisions to allow secondary market trading of digital commodities and impose requirements on registered entities could improve market transparency and integrity.

Another potential market driver is the SEC’s impending decision on VanEck’s ETH spot exchange traded fund (ETF) applicationscheduled for May 23, 2024. A favorable decision could trigger an ETH price rally, similar to the ETF-led Bitcoin surge in early 2024.

Concerns remain regarding the SEC’s classification of ETH as a commodity or security, which could impact the approval of spot ETH ETFs.

Current sentiment surrounding the launch of spot ETH ETFs in the US is largely pessimistic, with concerns over regulatory uncertainty and the SEC’s stance under Chairman Gary Gensler.

Nonetheless, industry experts believe an ETH spot ETF will eventually get the green light, mirroring the path of BTC spot ETFs, which initially faced rejections before prevailing in an SEC lawsuit.

In the short term, a rejection of the spot ETH ETF could trigger greater price volatility and a decline in ETH prices as the market absorbs the news.

Meanwhile, regulatory clarity and approval of spot ETH ETFs could propel altcoin market recovery and bullish trends in the coming months.

ETH price analysis

As of May 13, Ethereum was trading at around $2,970. ETH has followed a downward trend, raising fears that it could fall below the $2,500 threshold.

ETH’s recent price trend has been bearish, with weekly opens lower than the previous week’s close, suggesting a lack of bullish momentum.

Altcoin Market Blues: What's Next for Ethereum and Other Cryptocurrencies? - 2

ETH Price Analysis | Source: TradingView

Over the previous 24 hours, the ETH/USD pair traded positively, breaking above $2900 levels, but facing solid resistance around the EMA50 at $2990. For a downtrend to resume, ETH needs to break below $2900, potentially heading towards the $2800 and $2620 levels.

On the other hand, a continuation of the rally and a move above $2,990 could lead to further gains up to $3,130 levels.

The expected trading range for ETH is between $2800 (support) and $3050 (resistance), with the trend forecast remaining bearish.

Analysis of ETH suggests that prices may face continued downward pressure, impacting other altcoins in the market as well.

Source

Altcoin

Top 3 Ethereum-Based Altcoins 3 Times

Published

6 months ago

1 August, 2024

AltcoinUpdates Staff

Despite the increasing selling pressure in the cryptocurrency market, mid-cap and small-cap altcoins have seen an increase in buying sentiment. This indicates a shift in interest among users towards these cryptocurrency tokens.

Are you thinking of investing in ETH-based altcoins for the next AltSeason?

Scroll down because in this article we have covered the top three Ethereum-based altcoins that have the potential to see a huge uptrend in their respective portfolios in the near future.

Safe Price Analysis (SAFE):

Despite the growing bearish sentiment in the cryptocurrency market, SAFE price has seen bullish price action for the third consecutive day, highlighting the increased price action for the altcoin in the market. Furthermore, it is currently trading at a discount of 76.3% from its ATH of $4.01.

TradingView: SAFE/USDT

The technical indicator, MACD, shows a steady decline in the red histogram, highlighting an increase in bullish sentiment in the cryptocurrency market. In addition, the averages show a potential bullish convergence, suggesting a high possibility of a positive reversal.

If the bulls continue to gain momentum, SAFE coin price will prepare to test its resistance level of $1,450. On the contrary, a bearish action could send this altcoin crashing towards a new all-time low (ATL).

Aethir (ATH) Price Analysis:

Aethir price has seen a bullish price action adding over 10% to its portfolio with a trading volume of $40.126 million despite a bearish cloud over the cryptocurrency space. Notably, with a market cap of $292.916 million, this altcoin has secured the 216th position in the global cryptocurrency list.

TradingView: ATH/USDT

The MACD indicator has been showing a steady rise in the green histogram. However, its RSI has been showing a strong bearish curve in the 1D time frame. This suggests mixed sentiment for the ATH price in the cryptocurrency market.

If the market holds Aethir price above its important support level of $0.07050, the bulls will gain momentum and prepare to test its upper resistance level of $0.08415. On the contrary, if the bears overpower the bulls, this altcoin will prepare to test its low of $0.06435.

Neiro Ethereum (NIERO) Price Analysis:

Built on the Ethereum chain, Neiro Ethereum is a project that has a total supply of only 1 billion tokens. Positively, it has no buy/sell fees or team tokens for governance or community approach. It operates on its own and promotes itself as the next big opportunity in the cryptocurrency world.

With a trading price of $0.1852 and a total supply of 1 billion tokens, it has successfully secured the 234th position in the global cryptocurrency ranking, with a market capitalization of $185.446 million.

Notably, it is up 53.86% over the past day with a trading volume of $36.64 million, a decline of 7.68%. Furthermore, it is up about 1,200% since its inception, highlighting a strong bullish outlook for the altcoin in the near future.

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Altcoin

Top 6 Altcoins Set for Explosive Rally Before 2025

Published

6 months ago

1 August, 2024

AltcoinUpdates Staff

The cryptocurrency market is on the verge of significant change as we approach 2025. The Altcoin Daily Analyst Austin predicts that any changes in monetary policy could trigger a strong rally in altcoins, especially with a possible turn in the Federal Reserve’s benchmark interest rate expected in September.

This pivot could drive explosive growth in the cryptocurrency market, benefiting Ethereum, Solana, and several promising new altcoins. Here are some altcoins ranging from under $1 to $2 that can give you the highest returns in the current market crash.

We are excited, are you? Let’s dive in!

Top 6 Cryptocurrencies to Watch

Aethir: The Decentralized GPU Marketplace

Aethir is positioning itself as a leader in decentralized cloud infrastructure for gaming and AI. With over $36 million in annual recurring revenue, Aethir is addressing the growing demand for GPU computing driven by major tech companies like Google and Microsoft. Its decentralized infrastructure leverages underutilized GPUs, making it a key player in the burgeoning tech industry. The current price is $0.07176.

Ondo: The Best Bet in the RWA Sector

Next up is Ondo, whose real-world asset protocols are changing the tokenization of financial assets. With an annual dividend of 5.3% USDY, ONDO is the governance token for the Ondo DAO and Flux Finance. This token has seen strong demand, demonstrated by consistent investor buy-ins. Recently, ONDO’s price has dropped 35% in two months, forming a triangle pattern that suggests a breakout. Rising OTC holdings and reduced selling pressure suggest a bullish outlook. The current price is $0.9251.

Lukso’s social and cultural blockchain unites creators, brands, and users. An Ethereum doppelganger, Lukso adds Universal Profiles and gas-free transactions to blockchain usage. Its creative strategy and strong leadership make it a blockchain mass adoption project to watch. Current price is $1.71.

AIT Protocol: Decentralized AI Data Annotation

The AIT Protocol addresses the need for decentralized work in AI data annotation. Uniquely, the AIT Protocol connects human trainers with AI model owners to improve AI models through a decentralized marketplace. However, its adoption in Asia and strategic investments suggest that it could disrupt AI. The current price is $0.1169.

Foxy (Line): Meme coin with level 2 potential

Foxy, a meme coin for Linea Layer 2 Ethereum scaling, has an endorsement from ConsenSys. Foxy stands out in Ethereum Layer 2 due to Linea’s MetaMask integration and fast transactions. Additionally, Linea adoption and reduced transaction costs are influencing its growth. The current price is $0.01116.

Off the Grid: Emerging Altcoin for Gaming

Lastly, on the list is Off The Grid, developed by Godzilla. This highly anticipated AAA game promises to make waves in the crypto gaming industry. Although it hasn’t launched yet, positive feedback from industry experts supports its potential success.

Infrastructure projects like Immutable and specific games like Xers and Star Heroes are also worth considering for those interested in crypto gaming.

Source

Altcoin

Top Analyst Admits He Ignored XRP For Years, But Now Finds XRP Chart Very Interesting

Published

6 months ago

1 August, 2024

AltcoinUpdates Staff

Top Analyst Admits He Ignored XRP For Years, But Now Finds XRP Chart Very Interesting

Scott Melker, host of The Wolf of All Streets podcast, said he hadn’t paid attention to XRP charts for a while, but now finds them intriguing.

Melker revealed this in a recent send after analyzing XRP’s pattern on the weekly timeframe. He shared a chart that suggests XRP is on track to break out of a significant resistance channel.

While acknowledging that a rejection is likely, Melker noted that a subsequent breakout is on the horizon. Furthermore, the analyst emphasized that regardless of an individual’s perception of XRP and its performance, this upcoming price action is worth keeping an eye on.

Notably, Melker’s latest analysis on XRP comes as the asset has outperformed the broader bear market, which staged a solitary comeback while others fell. XRP surged more than 10% on Wednesday, briefly emerging as the day’s best-performing cryptocurrency among the top 100.

This development has triggered renewed interest in XRPeven among market observers like Melker and Ali Martinez, who rarely comment on XRP’s price action.

XRP Resistance Levels to Watch

In his latest commentary, Melker identified immediate resistance levels that XRP must overcome on its climb to higher prices. These levels include $0.75 and $0.93, which XRP must overcome to reach $1, with additional barriers at $1.3 and $1.9.

Scott Melker's XRP Chart Scott Melker’s XRP Chart

Interestingly, for the immediate barrier of $0.75, Melker is not the only analyst to emphasize its importance before aiming higher. Analyst “Crypto Adict” also commented on this level yesterday, urging caution versus ambitious goals like $100 when there are more immediate challenges.

The impact of this resistance level was evident in March when XRP rose to $0.744 in one day but he was unable to continue his ascent.

In his analysis, Ali Martinez echoed Melker’s sentiment by highlighting the $0.93 price level as a significant hurdle. Martinez stressed out that once XRP breaks above this level, it will effectively end its nearly seven-year downtrend, opening the door to higher highs.

At press time, XRP is back just above $0.60 after hitting $0.6556 yesterday, reflecting an 8% decline in the past 24 hours. Notably, XRP’s uptrend has been interrupted by Bitcoin’s volatility, as the leading asset fell back to the $63K range yesterday.

Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the personal views of the author and do not reflect the views of The Crypto Basic. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.

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Altcoin

Dogecoin (DOGE), ETFSwap (ETFS), and Shiba Inu (SHIB) are poised to lead the altcoin rally in a big way

Published

6 months ago

1 August, 2024

AltcoinUpdates Staff

Dogecoin (DOGE), ETFSwap (ETFS), and Shiba Inu (SHIB) are poised to lead the altcoin rally in a big way

Dogecoin (DOGE): Altcoin Rises From Meme Origins to Market Rally’s Top Spotlight

Dogecoin (DOGE), initially launched in 2013 as a “joke currency” based on a popular Shiba Inu meme, is now positioned to lead a major altcoin rally. Despite its humorous origins, Dogecoin is gaining popularity among investors due to its platform utilities, including transaction speed and payment methods. Currently, Dogecoin (DOGE) is trade at around $9,139, a recovery followed by a weekly low of $0.11.

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