On July 9, the altcoin market observed a significant surge, with prices of Avalanche (AVAX), Cardano (ADA), Hyperliquid (HYPE), and Chainlink (LINK) rising by 1-4%. This event was driven by several important announcements.
Factors Driving AVAX and ADA Prices
On July 8-9, Projective Finance announced the creation of a $7 million USDC-backed lending pool aimed at financing municipal solar projects in Illinois through the Avalanche network. This project, offering a regulated income stream, attracted funding organizations interested in low-risk investments, contributing to AVAX's price increase.
The market price of AVAX climbed above both the 7-day SMA and EMA, reaching $18.49. This growth was supported by a positive MACD histogram and a 10% increase in volume, enhancing its short-term potential. Investor sentiment surpassed 80%, and a neutral RSI of 48.7 reinforced buying activities.
Prominent Metrics for HYPE and LINK
Grayscale’s decision to increase its ADA share to 18.5% within its $1.1 billion Smart Contract Fund has strengthened institutional trust. Recently, approximately 120 million ADA (valued at about $72 million) were pulled from exchanges, raising anticipation amid discussions on expediting the SEC ETF framework. ADA prices approached the upper boundary of a descending wedge, exceeding $0.6053. A bullish MACD crossover and an RSI at 47.62 indicated ADA was not yet overbought, suggesting further growth potential.
Hyperliquid’s HYPE token soared to $39.22 following significant purchases totaling $6.14 million from four large wallets ahead of the Kinetiq staking platform launch scheduled for July 15. Despite 847,000 HYPE (worth $33.2 million) remaining locked, additional liquidity was assured. A notable chance of short position liquidation surpassing $6 million at the $42 mark exists. The RSI at 53.13 remained stable while technical indicators with volume support suggested a continual upward trajectory.
General Overview of the Altcoin Market
Chainlink achieved a value of $14.03, driven by its essential role in Bitwise’s tokenization market report and supportive partnerships with JPMorgan and Solana, leading to increased demand.
- AVAX reached a peak above the 7-day SMA, enhancing its appeal to investors. - ADA tested critical resistance, hinting at potential further gains. - HYPE saw substantial whale involvement, boosting its near-term outlook. - LINK gained through strategic partnerships and infrastructure importance highlighted in reports.
The positive MACD histogram marked the first since June 25 as prices stood firm above their pivot point. A notable 52.6% volume surge within 24 hours to $406 million, coupled with a slight decline in Bitcoin’s dominance, painted a favorable picture for altcoins during this phase.
Recent developments continue to positively impact the altcoin market, demonstrating an increase in interest from investors and institutional players. This underscores the importance of new project implementations and the strengthening of trust in the industry.
