The crypto market has a history of extreme volatility, which makes it hard for investors to determine specific trends in the market and take advantage of them. Most altcoin investors are stuck in dark corners, with monetary pressure from sudden pumps and dumps. This can put somebody not so prepared or totally naive about the tectonic changes that occur within the system in a horrible situation. Due to this fact, achallenges emerged with respect to the need for cryptocurrency trading platforms and market analysis tools for these very investors.
A major altcoin pump is looming, and smart investors have the opportunity to ride this wave. Advanced trading platforms teamed up with information from credible news sources and other signals from the markets can help one in making practical decisions toward maximizing gains. Of course, these platforms offer features such as automated trading bots, real-time alerts, and in-depth analytics for fast decision-making.
Furthermore, it has been offered that meaningfully useful insight could be derived from joining online communities and following industry leaders to take their pulse concerning emerging trends and the potential for investment on social media. Every investor can have a well-rounded strategy to help balance the unpredictability of the crypto market by aggregating sources of information in these ways.
The next pump is an opportunity for the prepared ones who will act fast. Armed with the right tools and information, investors can not only mitigate the risks but get a real share of the immense profit potential available within the altcoin market. Since this crypto landscape is fast-changing, becoming informed and proactive is important in capitalizing on those opportunities.
US Election and Crypto
The US election is becoming the significant topic in the crypto world. Both Trump and Bidenengage with the crypto community. In fact, Trump might even speak at the Bitcoin 2024 conference in Nashville, which could, in turn, be very bullish for cryptographic. There’s more election-related news that is bullish for crypto, which we will discuss a bit later with the charts.
Mt. Gox Repayments
Mt. Gox, the large crypto exchange that went bankrupt in 2014 after hackers stole 850,000 bitcoins, is expected to begin repayments in July. Over 142,000 bitcoins, worth $9 billion, are being given to creditors. Here’s the thing: the fear is that these creditors will dump this $9 billion worth of bitcoin, causing last week’s sell-off. However, I believe many of these creditors are long-term holders who won’t sell everything immediately.
Ethereum and Solana ETFs
The Ethereum ETFs have been accepted a few weeks ago, and as early as next week, they will be issued. Already historically after the BTC ETFs were issued, it resulted in a giant rally of Bitcoin. Ethereum could mirror this kind of behavior. In addition, some ETF filings for Solana by VanEck and Ark Invest might lead to a potential Solana ETF. This would be very positive news for altcoins again, which could propel the higher market.
BTC Analysis
If one is to look at this chart of the Bitcoin, already in a range between the levels of $70,000 and $60,000, what happens usually with Bitcoin is it pumps upside or heavily drops downside; however, right now, it is nothing but just moving within that range. This is very similar to some of the other ranges that we actually saw prior.
Bears have been taking profit, but whales might take them out before continuing to the upside or trap them before another leg down. I expect Bitcoin to move up to the level of $66,000.
ETH Analysis
Our prediction last week about Ethereum went perfectly well. We witnessed a bearish move with a bullish close for more upside. This week, I believe Ethereum is going to hit the target area of $3,550 if the support holds.
SOL Analysis
Solana has held support around the $125 area. However, I am looking for lower prices that could be right down to the $100 area. This region, in my model, represents a significant discount zone where accumulations will most probably occur before higher price action ensues. I’m using the Fibonacci tool to notate this price range, which indicates areas of potential take profit—around $230 and $300. I am thus waiting for the $100 area to enter any positions, which makes me currently bearish on Solana.
Volatility Index and Its Impact
The VIX is the volatility index that comes as one of the most important instruments in understanding the swings of the market. A high reading of VIX does indicate high uncertainty and bearish conditions, whereas a low reading of VIX is considered bullish. However, Bitcoin has primarily demonstrated a greater tendency to correlate with the engagements of the stock market; therefore, I implement VIX in crypto analysis.
The VIX is low now, but historically, from July to November of an election year, it rises by 25% and the S&P 500 SPX experiences a pullback of 3-5%. Historically, after an election, VIX drops by 18%, then is followed by a 9.5% market rally from Election Day to year-end.
