Altcoins
Are Ethereum, BNB and Solana Poised to Lead the Next Altcoin Rally?
- Ethereum is down over 3% in the last 24 hours.
- Technical indicators looked bearish for ETH, SOL and BNB.
As Ethereum [ETH] ETFs are approved, many speculate that the market will turn bullish. In fact, taking into account the latest data, the possibility of altcoins starting a rally seems likely. But cryptos like ETH will be in the lead, BNBAnd Solana [SOL] lead this gathering?
Are Altcoins Putting on a Show?
Milkybull, a popular crypto analyst, recently published a Tweeter highlighting an interesting development. According to the tweet, altcoins were gearing up for an explosive move.
The analysis highlighted a market exit zone and how a breakout in the altcoin market cap above this level would trigger a massive bull rally.
Apart from this, the recent Tweeter also mentioned a bullish development. The total stablecoin market cap recently surpassed $160 billion, meaning new funds are entering the space, which is bullish.
However, things on the ground were quite different, as most of the top alts were under the bears’ influence. According to CoinMarketCapETH is down more than 3% in the last 24 hours.
SOL and BNB also suffered a similar fate, as their values fell by over 6% and 4%, respectively.
It was interesting to note that despite the recent bearish price trend, the weighted sentiment of all these tokens moved into the positive zone. This meant that investors were bullish on them.
Source: Santiment
Ethereum is underperforming
The hype surrounding the ETF approval sparked excitement as many expected ETH to remain bullish. But its weekly rally ended, and at press time it was trading at $3,666 with a market cap of over $440 billion.
AMBCrypto’s take on CryptoQuat data revealed that the Relative Strength Index (RSI) and ETH Stochastic were in an overbought position, which was a bearish signal.
However, the trend could change as buying pressure remains high. This is evident from the decline in the ETH exchange reserve.
Source: CryptoQuant
AMBCrypto then checked its daily chart to better understand if bulls would enter the market soon, allowing ETH to lead the altcoin rally.
We saw ETH testing its resistance near $3.7k. The Money Flow Index (MFI) suggested a rise in prices, and it moved north. But the Chaikin Money Flow (CMF) recorded a slight decline, indicating a continued decline in prices.
Source: TradingView
How are SOL and BNB doing?
Like ETH, SOL and BNB prices have also declined over the past 24 hours. At press time, SOL was valued at $166.6, while BNB was trading at $590.
An examination of the measurements of their derivatives suggests a reversal of trend. This seemed to be the case as their open interest decreased along with their prices.
Source: Santiment
To better understand what to expect from these top altcoins, AMBCrypto then evaluated their price charts. B
From SOL, its CMF also moved south. Additionally, the RSI also followed a similar trend, suggesting that the bears would continue to dominate.
Source: TradingView
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BNB technical indicators also gave a bearish idea. For example, its CMF and RSI remained weak.
Considering all these aforementioned data sets, investors may have to wait a little longer to see an altcoin rally.
Source: TradingView