Recently, the altcoins have been seriously sucked of blood, and most of the mainstreams are also fluctuating slightly. This kind of market is the most annoying and difficult to operate. The position is high and the trading volume is low. Many altcoins have not recovered since the last plug. The share of BTC has been high. Only when the funds spread out, the whole market is still in the stage of shock and consolidation. It is expected that this shock will last for 1-2 weeks. With the arrival of January, Ethereum and altcoins may explode and hit new highs.
The copycats are being completely drained of blood and have no intention of following the rise, especially in the current meme sector. Currently, we can only buy some strong copycats at a low price, such as the projects recently purchased by the Trump family. A pullback is an opportunity!
Currently, most altcoins are being suppressed by Bitcoin, generally down about 10%.
After a large-scale liquidation and margin call, the market's risk has been released, and the funding rate has returned to normal, with the current market showing a gradually rising bottoming trend. If the price pulls back to near the 20-day moving average on the daily chart, it would be a good buying opportunity.
Every market cycle has some projects that perform well, but upon careful analysis, at least one of the following attributes can be found; if all three attributes are present, the upward trend will be astonishing:
1. Have capital strength, willing to drive prices when the market is good;
2. Lack of strong capital strength but willing to speculate on concepts, ride the hot topics, and align with market momentum;
3. The technology is indeed impressive, producing high-quality products and ecosystems.
If none of the three attributes are present, and the project is still very high-minded, it should be avoided. The secondary market is inherently a bloody market full of games, chaos, and big fish eating small fish. Only by producing products and ecosystems can one qualify for high ideals. Not willing to hype, not willing to drive prices, of course, is not a problem; wanting to be high-minded is also fine, but if one has raised funds, issued tokens, and participated in the secondary market without producing quality products and ecosystems while remaining high-minded, then there is a problem.
In the upcoming altcoin layout, two major concepts are worth paying attention to:
The reservoir after Bitcoin's capital overflow: namely ETH, XRP, etc.
Projects supported by the Trump family: such as DeFi, American projects, compliance concepts like LINK, AAVE, ENA, ONDO, etc., closely monitor the movements of Trump's wallet.
In the secondary market, investors are here to make money, not to pay for the projects' high ideals and sentiments. Either there are capital strengths or IP strengths; or there are concepts and hot topics that align with the market; or the technology is indeed impressive, producing products and ecosystems. There must be at least one of these, right?
Four cryptocurrencies worth holding during a bull market
1. SOL
The price of the first-layer blockchain Solana (SOL) has surged significantly, highlighting its strong market performance. The value of SOL tokens has increased by over 186% in the past year, showing a bullish trend.
Despite a slight increase in SOL's price of about 2% in the past 24 hours, adjusting to $222, this altcoin still maintains an optimistic outlook.
Solana recently broke through a key resistance level, achieving significant new highs. Meanwhile, its derivatives market activity has increased, indicating growing investor confidence. The surge in trading volume reflects higher participation in SOL derivatives. As one of Ethereum's competitors, Solana remains a strong contender in the altcoin space, with further growth potential until January 2025.
2. ADA
Cardano (ADA) has become a leader in the third-generation blockchain space, known for its efficient proof-of-stake (PoS) mechanism. In the past year, ADA's price has skyrocketed by an incredible 77%, reflecting growing investor confidence. Currently, ADA's price is $1.11, with a rise of only 2%. With this, Cardano's value could double before January 2025, challenging Ethereum's dominance.
Whale activity around Cardano has surged significantly, with large transactions exceeding $100,000 against the backdrop of rising prices. According to the latest Santiment data, whale transactions have surged, correlating with the price increase of ADA.
3. STX
Stacks (STX) shows strong growth potential, with its technical setup suggesting an upward trend. Analyst Quinten points out that the price has recently entered a key buying zone, including the golden Fibonacci area, which often indicates a chance for a breakout. The bullish divergence on the MACD supports this, indicating a shift in momentum. As the price rebounds from the golden area, the upward trend is likely to continue.
Another key factor is the strong correlation between Stacks and Bitcoin (BTC), with a correlation coefficient of 0.86. This makes Stacks a high-beta asset in the Bitcoin ecosystem, providing leveraged exposure for investors looking to expand their gains from Bitcoin's volatility.
4. DYDX
dYdX (DYDX) is currently priced at $2.09, with a 24-hour trading volume of $23.17 million, a market cap of $1.16 billion, and a market share of 0.03%. In the past 24 hours, DYDX has risen by 1.83%, reflecting neutral market sentiment.
Additionally, dYdX's trading price is 39.57% higher than its 200-day simple moving average (SMA), currently at $1.49442. DYDX has recorded 19 green days in the past 30 days, indicating sustained market activity. However, the 14-day relative strength index (RSI) is at 47.84, indicating that the asset is in a neutral zone and may continue to consolidate sideways.
The token's volatility remains moderate, with a 30-day volatility of 22%. Liquidity also seems stable, with a trading volume to market cap ratio of 0.0199. Moreover, dYdX's trading price is expected to be between $2.09 and $3.67 by the end of this year. dYdX continues to show stable performance and moderate volatility, making it a token worth paying attention to by year-end.
