In a recent analysis, Glassnode co-founders Jan Happel and Yan Allemann, known as Negentropic, shared insights on the cryptocurrency market, specifically focusing on altcoins. They expressed curiosity about when altcoins might catch up to Bitcoin, which has been leading the market trends for a considerable time.
Despite Bitcoin's dominance, Negentropic observed signs of progress in the total market capitalization of altcoins, particularly highlighted by significant players like Ethereum closely following Bitcoin's trajectory, as indicated in their post on December 7. This observation raises the possibility of a broader surge in the altcoin market.
In response to these insights, Finbold singled out three top altcoins poised to benefit from the overall Bitcoin narrative.
Ethereum (ETH): Amidst the upward momentum in the cryptocurrency sector, Ethereum, the second-largest crypto by market capitalization, is experiencing a positive trend. Crypto trading expert Ali Martinez suggests that Ethereum surpassing $2,000 could be a "prime buying moment" based on the substantial volume of ETH traded around this price level, as mentioned in his post on December 3. Ethereum, at the time of writing, was trading at $2,250, showing a slight daily loss but significant gains across the week and month.
Solana (SOL): Solana has witnessed over a 50% increase in the last month, aligning with broader market trends. Its 12-hour chart reveals an ascending triangle, potentially signaling an upward movement. However, caution is advised, and a confirmed close above $68.2 may trigger a bullish breakout targeting $90. Monitoring the $60 support level is crucial, as any weakness around this point could lead to profit-taking and a potential dip to $47. Solana's current price stands at $63.92, with daily gains and notable increases over the week and month.
XRP (XRP): While many cryptocurrencies are experiencing positive phases, XRP has not shown comparable performance lately. Nevertheless, optimistic forecasts for a bullish rally persist. In a TradingView post on December 2, analyst FieryTrading expressed optimism for XRP, suggesting a potential target of $25. FieryTrading identified a consolidating pattern forming a triangle pattern as a bull flag, following XRP's significant surge in 2017. At present, XRP is trading at $0.63, showing daily gains, a positive performance over the week, and a slight monthly loss.
Despite the strong recent performance of these digital assets, marked by high market capitalization and trading volume, caution is advised due to the inherent volatility of the cryptocurrency market. Investors are encouraged to conduct thorough research before allocating resources.
