Good afternoon, everyone. Let's first look at Bitcoin's market performance.
Recently, Bitcoin has been performing quite well, closing with a medium bullish candle yesterday, indicating strong bullish sentiment and the market is becoming bullish again. From Bitcoin's daily chart and the 12-hour MACD indicator, it seems the market is preparing for a new breakout.
Currently, Bitcoin's price is steadily above the 5-day and 10-day moving averages, indicating that the overall market trend is still upward. Looking at the 12-hour MACD indicator, it may soon show a 'golden cross,' which is a bullish signal. Once the golden cross is confirmed, it means Bitcoin may welcome a new wave of increases.
Of course, there could also be short-term adjustments, especially if the MACD golden cross signal fails to be confirmed in time, the market may see a slight pullback. Fortunately, there is strong support below $90,000, so the downside is limited, and the bulls still have a chance to counterattack. Therefore, if you are optimistic about Bitcoin's future, you can patiently wait for the breakthrough opportunity. Once the MACD golden cross appears, a new upward wave may come.
Ethereum's strong performance
Similar to Bitcoin, Ethereum has also shown strong momentum, closing with a large bullish candle yesterday, indicating market strength. However, today it has experienced some pullback, which is a normal market adjustment. The key is to pay attention to the dynamics of the 5-day moving average; once the moving average starts to rise steadily and the market stabilizes, Ethereum may resume a new upward trend.
Market opportunities for altcoins
Currently, Bitcoin's market cap accounts for about 56%, but there is a downward trend. If Bitcoin's price remains stable, it is best to enter a consolidation phase, which is more conducive to capital flowing into the altcoin market. We may see some funds flowing from Bitcoin to other cryptocurrencies, especially some promising altcoins.
For those VC coins, while there are still some projects in the market with significant upside potential, these projects are usually driven by large capital inflows with the aim of unloading. The key is to choose on-chain applications with actual demand. For example, public chains like SUI, FTM, and XTZ may continue to attract attention.
Prospects of the bull market
Currently, the cryptocurrency market is still in the early stages of a bull market, and it may get crazier in the future. Why do I say this?
The bull market may last until 2025: After Bitcoin's halving in 2024, the market has just entered this round of bull market. If the market maintains an optimistic sentiment, it may even last until the second half of next year or longer.
Favorable policies: In January 2025, Trump may regain power and could introduce some policies favorable to cryptocurrencies, which would be a huge benefit to the market.
Federal Reserve interest rate cuts: In the first half of 2025, the Federal Reserve may continue to cut interest rates, which will bring more capital into the cryptocurrency market.
Six months after Bitcoin's halving: Every time Bitcoin undergoes a halving, a major bull market usually follows. This time, Bitcoin will halve in November 2024, and the market has just begun.
Therefore, the craziest phase of the bull market may not have arrived yet, and everyone can prepare for the upcoming market trends.
Is the altcoin explosion season approaching?
Recently, Ethereum and Bitcoin have shown different performances. Ethereum once approached $3700, reminiscent of the bull market in 2020-2021. At that time, Bitcoin initiated a significant rise, followed by Ethereum's surge, leading multiple tracks to explode. Although history does not repeat itself entirely, some experiences can be referenced.
Here are several promising hot tracks in the current market:
Meme coin track: By the end of 2023, emerging meme coins are performing strongly, and established meme coins like Pepe and Shiba have also seen significant gains. This track is one of the hot spots for market speculation, so keep an eye on newly launched meme coins, especially those entering major exchanges. These projects may continue to be speculated on, allowing market makers and investors to profit.
AI track: AI-related cryptocurrency projects have performed quite strongly over the past year, with AI-related coins seeing significant increases in early 2023, even boosting the performance of AI concept stocks in other markets like A-shares. Recently, AI projects continue to be strong, with AI-related coins like FET, WLD, and ARKM also rising. If AI combines with other tracks, it may bring greater investment opportunities.
Public chain track: In every bull market, public chains are never absent. Public chain projects like SOL, SUI, and INJ have shown good performance recently, especially the public chains launched in recent years. If you have invested in these projects, you can keep an eye on their dynamics. However, be careful not to blindly chase highs, as the public chain market carries significant risks and avoid getting stuck at high positions.
