The cryptocurrency market witnessed a notable correction in June, following the declining trend of Bitcoin to $60000. The bearish turnaround has plunged a majority of major altcoins to crucial support, projecting a favorable opportunity to buy a dip.
According to recent data from crypto analytics firm Santiment, there has been a significant drop in bullish calls across major platforms such as X (formerly known as Twitter), Reddit, Telegram, 4Chan, and BitcoinTalk. This decline suggests that traders are losing confidence in the market. Interestingly, while bullish sentiment has plummeted, bearish calls have decreased at a slower pace.
😱 The level of bullish calls across X, Reddit, Telegram, 4Chan, and BitcoinTalk has dropped significantly as traders have lost confidence in markets. Bearish calls have slipped, but much less rapidly. We interpret this as crowd fear and indifference, a potential bottom signal. pic.twitter.com/9R2VwPciwQ
— Santiment (@santimentfeed) June 28, 2024
Santiment interprets this trend as indicative of crowd fear and indifference, which could potentially signal a market bottom.
Also Read: Bitcoin Hacker Moves $30M BTC, Another Market Dump Incoming?
Altcoins to Buy- XRP
XRP, created by Ripple Labs, is a digital payment protocol that aims to facilitate fast and low-cost international money transfers. Amid its ongoing legal battle against the US Securities and Exchange Commission, the asset price struggled to develop a sustainable recovery and traveled a long sideways trend.
An analysis of the daily chart shows the last 6-years consolidation is resonating between two converging trend lines indicating the formation of symmetrical triangles. The XRP price currently trades at $0.476, seeking support at the lower trendline of multi-year support.
If the market rebounds to bullish sentiment, the XRP price could be among the top coins to show a strong reversal. The potential reversal could also challenge the triangle resistance to finally break the continuous sideways trend.
If the pattern holds true, triangle breakout could lead the XRP price to surpass $2, and chase the $10 mark.
Also Read: XRP Price Defies Market Trend As Whale Dumps 52M Coins, What’s Next?
2) Litecoin (LTC)
Litecoin, often referred to as the “silver to Bitcoin’s gold,” is a decentralized cryptocurrency designed to provide fast, secure, and low-cost payments by leveraging the unique properties of blockchain technology.
Similar to XRP, the LTC price shows a sideways action for the past six years. Amid the consolidation, an ascending trendline bolstered buyers with dynamic support indicating an active accumulation trend during dips.
The past records show every retest to this trendline has resulted in a notable recovery and prevented major altcoins.
Currently, the LTC price trades at $73 and projects a steady downtrend with a broader market correction. With sustained selling, this altcoin could plunge another 10-12% and hit the aforementioned support around $65.
This pullback may bring buying liquidity back to Litcoin and spark a fresh recovery.
However, the buyers would need a breakout from $115 to gain an initial signal of trend reversal. The breakout will raise the potential target from Litecoin price prediction to $413 high, followed by $1500.
Key Takeaway
This week, the crypto market saw a reduction in selling pressure as Bitcoin stabilized above the crucial $60,000 support level. Despite this stabilization, the broader market has yet to show sustainable signs of bottoming, which could lead to a prolonged downtrend. This decline has driven some key assets into oversold territories, presenting a potentially favorable risk-to-reward ratio for investors.
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