Altcoins
Altcoins will focus if the market enters a rally after a halving
Cryptocurrency price prediction: Bitcoin Price the rise above $64,000 on May 5 continued the upward trajectory of the altcoin market. May so far has shown strong bullish signs for the cryptocurrency market, with renewed interest in BTC ETFs playing a significant role in this trend.
In a recent SpotOnChain update, Bitcoin ETFs saw a substantial net inflow of $217 million as of May 6, 2024, with no outflows for two consecutive days. The Fidelity ETF (FBTC) saw the highest inflow of the day at $99.2 million, while the Grayscale ETF (GBTC) saw an inflow of $3.937 million despite a decrease in volume. This trend suggests strong investor confidence and a potentially bullish outlook on Bitcoin as an investment vehicle.
With several analysts suggesting the start of a post-halving rally, investors could find promising bullish opportunities in major altcoins such as Ethereum (ETH), Solana (SOL), and XRP.
Read also: Bitcoin Price Analysis: End of Correction Pattern Foreshadows $BTC Rally to $73,000 in May
1)Ethereum (ETH)
Ethereum (ETH)| Commercial view
Ethereum stands out as the second largest cryptocurrency by market capitalization, notable for its robust smart contract functionality that allows for the creation of decentralized applications (dApps) on its platform.
Over the past three years, the ETH Price actively consolidated two horizontal levels at $3,300 and $2,850. The coin price bounced three times from each of the mentioned levels, creating a tight range indicating a lack of dominance from buyers and sellers.
A recent reversal of the lower bound of the range caused the price of Ethereum to rise by 8% to currently trade at $3,101. Data from Coinmarketcap shows that Ethereum has a market capitalization of $372.2, while 24-hour trading volume jumped 40% to $13.2 billion.
For buyers to regain control of this asset, the Ether price must overcome overhead resistance and descending trendline to achieve a falling wedge pattern. For ETH holders, $3,730 and $4,100 provide firm resistance, while $2,870 and $2,700 provide strong support.
Read also: Ethereum Price Forecast As DeFi TVL Rises to $57 Billion, ETH Poised to Gain $4,000 This Week?
2) Solana (SOL)
Solana (SOL) | Commercial view
Solana is recognized for its high-throughput blockchain, which supports a wide range of decentralized applications and crypto projects with significantly lower transaction costs and faster processing times compared to many other blockchains.
GROUND, the native cryptocurrency of the Solana ecosystem, has seen a buying frenzy over the past seven years that has propelled its value from $118.5 to $156. This 32% increase on the daily chart reveals the formation of a bullish reversal pattern called a double bottom.
Solana coin currently ranks as the fifth largest cryptocurrency with a market capitalization of $3.013 billion.
With sustained purchases, the SOL Price is on the verge of breaking overhead resistance at $160, providing buyers with suitable support to pursue the $210 target.
Read also: Why Solana’s (SOL) Weekly Gain Could Hold Despite Pressure
3) XRP
XRP | Commercial view
XRP, created by Rippleis primarily designed for fast and inexpensive international money transfers, serving as a bridge currency in cross-border transactions.
Since the last update, XRP is trading at $0.538, with yesterday’s candle showing strong rejection, suggesting a prevailing selling sentiment during bullish rebounds.
At the time of going to press, the XRP Price traded at $0.538, and the overhead bid highlighted by yesterday’s long candle rejection indicates that market sentiment persists to sell on a bullish rebound.
XRP’s market cap currently stands at $29.7 billion, while trading volume hovers at $1.78 billion, projecting a 116% gain since yesterday.
A potential breakout above the overhead trendline would serve as a crucial indicator of a trend reversal, paving the way for XRP to potentially reclaim the $0.643 and $0.748 levels.
Key to remember
Bitcoin’s recent rally moved sideways this past weekend, settling above $63,000. This consolidation follows an earlier rally during the week, where BTC climbed 14.4% from $56,500. This sideways trend could rejuvenate buyers, potentially reestablishing bullish momentum and pushing BTC price above $70,000. Reclaiming this psychological level could spark significant buying interest in altcoins.
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