4 Tier 1 Altcoins Go Parabolic as Bitcoin Miner Capitulation Eases

Layer 1 altcoins saw a significant correction in June, following Bitcoin’s decline to $60,000. This decline was largely driven by Bitcoin miners selling off to cover operating costs and significant outflows from US-based ETFs.

However, selling pressure started to ease last week, allowing it Bitcoin to recover from the $60,000 threshold and allow altcoins to establish local funds.

Additionally, a well-known trader CryptoDan has noticed a positive change that could herald a bullish rally for the market in Q3 2024. X’s recent post highlighted,

“The amount of Bitcoin sent by miners to exchanges for sale has dropped significantly since May.”

“The OTC trading desk volume used by miners for selling purposes was piling up because they couldn’t find a buyer until recently, but on June 29, the OTC trading desk volume was all used up. It’s very likely that someone will be presented to purchase your own Bitcoins.”

Given these developments, here are some Higher Level Encryption 1 Investors may be factoring in potential gains in the upcoming post-correction rally.

Read also: Altcoin News: Institutions are buying Solana, XRP and 2 other Altcoins

• Tier 1 Altcoin – Solana (SOL)

Solana (SOL) is a high-performance blockchain designed to support decentralized applications (DApps) and cryptocurrencies.

Solana (SOL) | Tradingview

In the last three months, the Price Solana has been trading sideways inside the formation of a symmetrical triangle pattern. The converging trend lines as dynamic resistance and supports that carry this consolidation until the SOL price is ready to break out.

Amid the market’s relief rally, SOL price rebounded from the lower trend line at $122 and rose 21.5% to settle at $148.2. This recovery was also strengthened by VanEck and 21Shares’ recent S-1 filing with the US SEC for a Solana ETF.

A potential breakout of the triangle pattern would accelerate the buying momentum and take Solana price to a target of $210, followed by $354.

Read also: Could Solana Mimic Ethereum and Rise to $1,000? Analysts Assess

Cardano (ADA) is a proof-of-stake blockchain platform that is distinguished by its foundation in peer-reviewed research and development through evidence-based methods.

Cardano (ADA) | Tradingview

Under the influence of a falling wedge pattern, ADA price has seen an aggressive correction over the past three months. The bearish trend reversal has caused the asset to fall from $0.81 to $0.357, recording a loss of 55.9%.

With the broader market experiencing easing supply pressure, the Price ADA rose 13% to reach $0.4, bringing the market capitalization to $14.4 billion. Buoyed by a 3.21% intraday gain, buyers challenged the wedge pattern’s resistance trendline.

A potential break of this pattern could signal the end of the correction phase, allowing buyers to push the price above the $0.8 mark.

Read also: Cardano’s Charles Hoskinson and Former Ripple Offer Fierce Critique of Biden’s Dementia

Avalanche (AVAX) is a high-performance blockchain platform that stands out for its unique architecture, designed to solve the scalability and flexibility issues commonly associated with previous generations of blockchains.

Amid the ETF craze, rumors of an AVAX spot ETF have spread across the cryptocurrency market, positively impacting the value of the Avalanche coin. On May 24, AVAX rebounded from a $23.5 support level and increased 26.3% to reach $29.75. According to CoinMarketCap, Avalanche now holds a market capitalization of $11.73 billion, with 24-hour trading volume hovering around $321.7 million.

The recent price action marks a bullish breakout from the falling trendline of the falling wedge pattern. If this inversion setup proves accurate, the AVAX Price could potentially challenge its previous high of $65.37.

Read also: The price of avalanches is on the move: how high can it go?

Hedera (HBAR) is a public network that uses the unique hashgraph consensus algorithm, offering a new alternative to traditional blockchain technology.

Hedera (HBAR) | Tradingview

In the last two weeks, the HBAR Price has been moving sideways, attempting to hold above a multi-month support trend line at $0.073. Daily charts are showing lower price rejection candles, indicating increased demand at this support level, which reinforces the potential for a reversal.

At the time of going to press, Hedera coin shows a market value of $2.73 billion, while trading volume has jumped 63.75% since yesterday, reaching $45.9 million.

If the market experiences renewed buying pressure, HBAR could breach the $0.085 resistance, signaling an early reversal. A successful breakout could further encourage buyers, with targets set at $0.12 and $0.14

Key takeaway

The cryptocurrency market has seen a reduction in supply pressure as the volume of Bitcoin sent by miners to exchanges for sale has decreased. This shift has allowed altcoins to find adequate support levels and prepare for a bullish reversal. As the market enters a post-correction rally, Bitcoin price is aiming for a new high, providing new long opportunities in major Tier 1 altcoins.

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