Altcoins
Best Altcoins to Buy During a Market Pullback
With the cryptocurrency market stuck at $2.332 trillion and Ethereum’s recent 7% drop against Bitcoin, it suggests a bearish outlook. In such conditions, the majority of altcoins are painted red with a breakdown of crucial support or a reversal with a failed breakout. However, some underrated altcoin gems reveal an underlying potential for a rapid surge if the broader market improves in the days ahead. So, let’s take a closer look at our top altcoin picks to buy as the cryptocurrency market pulls back.
Best Altcoins to Buy: Solana (SOL)
As the ongoing recovery rally on Solana challenges a crucial supply zone at $185, buyers await a breakout extension. Compromising yesterday’s drop, SOL price rose 2.49% today, creating a bullish engulfing candle.
Additionally, the daily price action is forming a double bottom pattern with a neckline at $185. Adding importance to the overhead supply zone, the recent rejection from higher prices on July 29 warns of a massive supply upwards.
According to the Fibonacci levels, the much-anticipated breakout will push SOL price past the psychological $200 mark. With the 1.618 Fibonacci level at $223, the altcoin is ready to make a move. Thus, Solana is a top altcoin that you should consider buying amidst this market pullback.
Chain link (LINK)
Despite an ongoing downtrend, Chainlink is holding above the $12 support zone and revealing upside potential. Considering the lower price rejections from the support zone, the altcoin is facing opposition from the dynamic 50D EMA.
Given that the overall market sentiment will improve in the coming weeks, the DeFi token will likely return with a breakout. According to the Fibonacci levels, $16.75 and $21 are the two upcoming resistances for Chainlink’s breakout rally. The Thud, the underlying potential of Chainlink’s decline, makes it a top altcoin to buy this time around.
Arbitration (ARB)
As the number of active users on Ethereum layer 2 protocols increases, Arbitrum shows huge potential for a bull run. However, after the death cross, ARB price fails to break above the 50D EMA and maintains a downtrend.
However, the RSI divergence is widening on the daily chart as the recent reversal of the 50D EMA approaches the $0.61 support level. Moreover, a double bottom reversal is possible on the daily chart.
Thus, the underlying shift in bullish sentiments that signals a breakout could propel ARB price towards the 200D EMA at $1.11. Thus, reclaiming the psychological $1 mark with a 63% surge makes it one of the best altcoins to buy amid a market pullback.