Altcoins
Altcoin Rally Coming, Says CryptoQuant CEO
Ki Young Ju reported a significant increase in limit buy orders for altcoins, signaling a potential rally.
This increase suggests that investors are establishing strong buy walls for altcoins, excluding Bitcoin (Bitcoin) and Ethereum (ETH), perhaps in anticipation of an imminent altcoin rally.
“Whales are preparing for the next altcoin rally,” Ju posted on X.
Increasing volume of limit buy orders indicates robust buying interest, which often precedes market rallies. For those unaware, limit orders create “quote volume” on exchanges, while market orders generate “take volume.”
Whales and institutions, such as market makers and brokers, typically use limit orders for large trades to minimize slippage.
Altcoins Rise as Bitcoin Soars
During an altcoin rally, the prices of alternative cryptocurrencies experience significant increases. This increase is often due to positive market sentiment, increased trading volumes, and a shift in investor focus from Bitcoin to altcoins.
Factors like Bitcoin price fluctuations, fear of missing out, and market speculation play a crucial role in the altcoin rally. When Bitcoin price increases, profits often flow into altcoins, further increasing their prices.
Limit order indicators are calculated by adding the difference between the buy and sell quote volumes over a one-year moving window. An uptrend means an increase in the buy quote volume, indicating the formation of strong buy walls. This pattern suggests a potential bullish move in the altcoin market.