In the past 24 hours, the altcoin market has been turbulent, and the value of many currencies has plunged sharply.
According to Santiment data, TRX, AVAX, DOT, ICP, POL, FIL, TIA, etc. have all been hit hard. However, there are signs and potential for recovery.
In terms of the decline, TRX plummeted 17.68%, AVAX fell 13.85%, DOT fell 16.47%, ICP was 14.89%, POL was 15.96%, FIL plummeted 17.97%, and TIA was as high as 18.35%. The large-scale and deep decline has attracted widespread attention in the market.
The root cause of this market adjustment is that the relative strength index (RSI) of major crypto assets such as Bitcoin has entered the overbought area. RSI overbought usually indicates that the market needs to adjust. Bitcoin RSI fell to 57.05 due to the sell-off and then returned to the rising zone, which in turn affected the trend of the entire crypto market.
Although altcoins have seen their biggest drop since September, XRP is expected to test prices by the end of the year, and altcoins are expected to rebound strongly after adjustments.
If Bitcoin can stabilize above 100,000, altcoins may take advantage of the trend to rise again. We still need to pay close attention to market dynamics and seize opportunities.
