Recent developments in the digital currency market have shown a decrease in trader interest; however, specific altcoins have attracted significant investments.
Overall Trends in Cryptocurrency Market
The cryptocurrency market has seen a decline with a total market capitalization decreasing by around 4% over the past week. This indicates a diminishing bullish sentiment among traders, who have adopted a more cautious approach. Nevertheless, an analysis of on-chain metrics indicates that major traders are increasing their investments in specific altcoins, such as Arbitrum (ARB), Chainlink (LINK), and Cardano (ADA).
Key Trends in Altcoins
According to Santiment data, active purchases by major investors can spur smaller traders. Arbitrum (ARB) witnessed notable purchases as investors holding between 1 to 10 million ARB bought an additional total of 10 million ARB. Chainlink (LINK) has also attracted interest from investors, with Nansen data indicating that wallets valued at over $1 million increased their LINK reserves by 25%.
Price Forecasts for Altcoins
Predictions suggest that if the purchasing momentum by large investors continues, ADA might reach a price of $0.89; however, dwindling interest could lead it to drop to $0.84. Santiment notes that robust buying interest from major investors can kickstart upward price movements in ADA. Despite the overall market dip, accumulation of certain altcoins indicates possible price increases in the future.
Despite the overall market decline, the active actions of large investors regarding certain altcoins may positively impact their prices in the future.
