This week, the altcoin market braces for significant changes as over $250 million in token unlocks are set to occur across 16 altcoins, including Solana and Dogecoin, which may experience increased selling pressure.
Can Dogecoin Hold Its Ground?
Dogecoin currently hovers at a critical support level of $0.145. Despite a minor short-term recovery, it remains under key resistance levels such as the 50, 100, and 200-day moving averages, pointing to a prevailing bearish trend. With its Relative Strength Index (RSI) placed at 31, the altcoin is in oversold territory, indicating a potential, albeit uncertain, technical rebound.
The impending release of 95.89 million DOGE tokens could critically impact Dogecoin’s balance. Unless substantial buying interest emerges, this additional supply might push the token’s value below its sensitive $0.145 support level, possibly dragging it down to $0.12. A swift price climb above $0.18 is essential to avert further devaluation scenarios.
Will Solana Weather the Supply Surge?
Solana faces a considerable challenge with a scheduled release of 465,770 SOL tokens valued at $61.83 million. This influx poses the risk of more pronounced price declines. Solana, currently trading near $134 and lagging below the 200-day EMA, struggles to uphold support around $130. An RSI in the 30s and feeble momentum heighten Solana’s price vulnerability.
If Solana cannot rally past the $150-155 range, accelerated selling pressure is likely, potentially dragging it to $120. Such a downturn would not just affect SOL but could also trigger broader negative market sentiment across altcoins.
Key Points and Projections
Key highlights include:
* Over $250 million in altcoin unlocks across 16 tokens. * Dogecoin’s unlock event could see value dip below $0.145. * Solana struggles below major support, risking a drop to $120. * Additional unlocks affect altcoins like BLASK, ACX, and VENOM.
Amidst these developments, the altcoin market is likely to face heightened volatility. With both technical and market sentiment under pressure, investors must remain vigilant, monitoring support levels and broader market cues.
As significant altcoin unlocks approach, investors need to prepare for potential price fluctuations and consider market conditions to respond effectively to changes.
