Accumulations of Whales Herald the Altcoin Season: Market Analysis

The cryptocurrency industry has experienced high volatility over the past few days. One of the most striking examples of this fluctuation was the sudden changes in the price of Bitcoin. Bitcoin briefly rose above $70,000 yesterday, but quickly fell below $68,000 today. These rapid price movements created both opportunities and risks in the market, requiring investors to develop careful strategies.

Besides Bitcoin, altcoins, led by Ethereum, have also experienced an overall decline in the last 24 hours. This decline in the altcoin market has led investors to more speculative assets. In this context, the activity in the meme coin industry has been remarkable. Meme coin projects such as Pepe (PEPE), Bonk (BONK), Dogewifhat (WIF) and Floki Inu (FLOKI) have recorded positive results in the last few days, attracting the attention of investors.

These rapid changes in the cryptocurrency market require investors to constantly review their strategies and follow market trends closely. While movements in major cryptocurrencies such as Bitcoin and Ethereum affect overall market dynamics, the speculative nature of meme coins poses both opportunities and risks for investors. Investors need to take a careful and disciplined approach during such periods of volatility. Risk management and strategic planning in cryptocurrency investments are becoming indispensable elements for successful investors.

Altcoin Season

After months of speculation and anticipation, Bitcoin dominance has signaled the start of the macro altcoin season. From a technical perspective, Bitcoin dominance closed last week below the macro uptrend, thus signaling increased cryptocurrency rotation into the altcoin industry. This shows that investors are switching from Bitcoin to altcoins and altcoins are attracting more attention.

Moreover, the price of Ethereum has increased more than Bitcoin over the past few weeks following the recent approval of spot Ether ETFs in the United States and Hong Kong. This development led to Ethereum becoming more preferred and gaining value among investors. The approval of Spot Ether ETFs increased institutional and retail investor interest in Ethereum, causing the price to rise.

Additionally, from a technical perspective, the ETH/BTC pair is retesting the upper boundary of a falling macro channel, which could lead to further upside. According to technical analysis, this movement in the ETH/BTC parity indicates that Ethereum will perform stronger against Bitcoin. This is considered a positive signal that Ethereum may gain more value in the coming period.

Crypto Whales

According to data analysis provided by Santiment, Bitcoin whales with wallet balances between 10 thousand and 10 thousand BTC have decreased in the last two months. Similarly, Bitcoin transactions worth at least $100,000 have decreased significantly over the past two months.

On the other hand, approximately 22 million ETH units have been added to Ethereum wallets containing at least 10 thousand ETH in the last 14 months. A similar behavior has recently been observed in XRP wallets with at least 10 million units. Specifically, XRP wallets with at least 10 million units added 3.17 billion XRP in the last 16 months.

You can access current market movements here.

Writer Şerife Pek Doğru about :

I entered the crypto industry with the investment I made in 2019. In the same year, I started writing about blockchain technology and currently work as a writer at KoinFinans. Legal regulations regarding cryptocurrencies are one of the topics I follow.


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