Altcoins
Altcoins Like XRP, ADA Are Dead; Analyst Says Focus Should Be On These Coins
On Crypto Banter’s Dylan’s Trading Show, the analyst said that when trading altcoins, it is crucial to watch the market dominance. Currently, dominance is declining, which is good for altcoins. This downtrend is characterized by lower highs and a further decline to around 54% would be ideal.
The perfect scenario is for dominance to decline further in the next 24 hours after the CPI announcement, followed by a strong dominance recovery. This could trigger significant bullish movements in altcoins, breaking trends and setting new highs. However, he added that “don’t get trapped in dead coins like XRP and ADA.”
He talked about Solana (SOL) and said that the support level for Solana is between $137 and $139. If there is weakness, the trend should hold; losing it would indicate a break below the 200-day MA, the 382 Fibonacci level and major horizontal supports, which would not be favorable.
As for Ethereum (ETH), the analyst noted that Bitcoin recently rejected the 200-day MA. He is looking at ETH approaching this same level on the 3-day chart, which could trigger significant moves in altcoins. The analyst is targeting $3,350 and $3,500 for ETH if it can break and sustain above the 200-day MA.
He is looking for a bullish breakout, a retest, and if that happens, it could trigger a significant move in altcoins. However, a rejection could lead to more pain for altcoins. If Ethereum gets very aggressive, he expects PEPE to follow suit. The plan is to wait for ETH to break the 200-day MA, which could trigger a PEPE rally.
For Bonk, he noted that it is in a major resistance zone similar to ETH. He will watch for a pullback into the 382 Fibonacci level if there is weakness, especially with CPI data on the horizon. Speaking of Fantom (FTM), he discussed a recent pump and retracement, bringing attention to a major resistance. He is looking at a potential bullish move if market sentiment improves. Key entry points are around $0.45 and $0.42.
Stacks (STX) has broken trends and shown signs of a bullish pullback. The suggested entry is around $1,437, with stops covering further weakness down to the 618 Fibonacci level.