Altcoin
Why Ethereum and BNB Are Ready to Rebound with Bullish Rallies
- Both ETH and BNB have seen a drop in prices over the past week.
- Despite the bullish trend, market indicators were bearish for ETH and BNB.
The best altcoins like Ethereal [ETH] AND BNB failed to perform last week as their charts remained in the red. However, a recent analysis highlighted an upgrade, which hinted at an impending trend reversal.
Indeed, if this turns out to be true, ETH and BNB could experience a huge bull run.
Are Altcoins Ready for a Rally?
By CoinMarketCap data revealed that ETH has seen a 7% price correction last week. At press time, the king of altcoins was trading at $3,230 with a market cap of over $388 billion.
Likewise, BNB bears have taken over the market over the past week. The coin’s price has fallen by over 2% in the past seven days. At the time of writing, BNB was trading at $578 with a market cap of over $84 billion.
However, the entire trend of altcoins could change in the coming days.
Moustache, a famous cryptocurrency analyst, recently published a to tweet revealing a major development. As per the tweet, altcoins have formed a textbook pattern of cups and handles in recent years.
Source: X
This suggested that altcoins would soon enter a bullish phase, which in turn would lead to a price increase for ETH and BNB as well.
For this reason, AMBCrypto planned to take a closer look at the state of these coins to see if they also herald an impending rally.
The states of ETH and BNB
AMBCrypto Analysis on CryptoQuant data revealed that BTC’s exchange reserve was increasing, which meant that selling pressure on the token was high. However, things in the derivatives market looked pretty optimistic.
The token’s funding rate was green, which means that long traders are dominant and willing to pay short traders. Additionally, its taker buy/sell ratio indicated that buying sentiment was dominant in the futures market.
Source: CryptoQuant
We then checked the daily chart of Ethereum. We found that the MACD technical indicator was showing a bearish crossover.
ETH’s relative strength index (RSI) also saw a decline, suggesting that investors may have to wait a little longer to see ETH rally again.
Source: TradingView
We then checked how BNB was doing. The coin’s social volume saw an increase last week, reflecting its popularity.
However, the coin’s weighted sentiment remained in the negative zone. This clearly suggested that the bearish sentiment around BNB was dominant in the market.
Source: Santiment
Light Ethereum [ETH] Price forecast 2024-25
Like Ethereum, BNB’s technical indicators also looked bearish. For example, the MACD showed that there was a possibility of price correction.
Additionally, its Relative Strength Index (RSI) has also been following a slight downtrend.
Source: TradingView