As the cryptocurrency market continues to evolve, a prominent cryptocurrency analyst has identified several altcoins set to see major moves in the coming week. Let’s explore these potential market movers: Ethereum (ETH), Arbitrum (ARB), Optimism (OP), and Injective (INJ).
Ethereum (ETH): Approaching a key retracement level,
Ethereum is approaching its 50% retracement level of $2,843, a level based on the swing high of $3,562 on July 22 and the swing low of $2,124 on August 5. On Monday, the price rose slightly to $2,637, having rebounded from the low of $2,510 set on Thursday, August 12.
If the $2,843 resistance holds, a 12% drop is possible to test the psychological support of $2,500. On the daily chart, the RSI and AO are below the neutral levels of 50 and zero, respectively, indicating an impending bearish trend.
However, if the ether price closes above $2,843, it could rise to the July 29 high of $3,396, setting a higher high on the daily chart, potentially fueling a 5% gain to revisit the July 22 high of $3,562.
Arbitrum (ARB): A Scaling Solution with Bullish Predictions
Arbitrum has attracted attention since its inception due to its ability to process more transactions without high fees. After a large airdrop in 2023, ARB began to attract people's interest.
As Ethereum’s fees are expected to rise during the next bull run, Arbitrum could become even more important. As a result, prices are expected to rise to around $3.5 by the end of 2024 and even to $6 by 2025. By 2030 and beyond, as more decentralized applications (dApps) join the network, the price of ARB could reach as high as $11.
Optimism (OP): Responding to market challenges
Optimism’s open interest fell by 5.60%. As of this writing, its open interest is worth nearly $72.8 million. In addition, the 24-hour trading volume surged by 10.7% to $160 million per day.
The community sentiment indicator shows 80% bullish and 20% bearish. The volume-to-market cap ratio is 10.51%, indicating low cryptocurrency volatility. The price of Optimism has been in free fall for the past three months. It has fallen by nearly 30% per month and more than 60% in the past three months.
The price has traded close to multi-month lows. From there, the bulls might try to make a comeback. However, it seems difficult for the bulls to recover as the price cannot find any support on the lower side. Optimistic bulls need to build strong demand and prevent further declines
Injective (INJ): Strong momentum after TON integration
Injective recently announced the integration, which will allow users to connect INJ tokens to the TON blockchain and vice versa. Prior to the announcement, INJ was trading at $17.97.
As of now, INJ is trading at $18.90 and could be poised to retest $20 or higher. According to IntoTheBlock, the Inflow/Outflow Around Price (IOMAP) indicator supports this possibility. IOMAP compares the current price of a token to the average purchase cost to determine whether an address is inflow, outflow, or breakeven. This classification helps identify strong support or resistance areas.
If sustained, this could push the price of INJ to $20.22. Continued buying pressure could even push it towards the $21.67 resistance level. However, if the buying momentum weakens, INJ could face a downside move that could drop to $17.57.
in conclusion
As the market shifts toward utility coins and memecoins, Q4 2024 offers plenty of opportunities for investors. While established players like Ethereum continue to attract attention, tokens like Injective, Arbitrum, and Optimism highlight the growing need for diversification and innovation in the cryptocurrency space.
