With Bitcoin failing to break the $39k level after repeated attempts, many have begun to lose hope. And that’s so often what happens before a major move!
Today, we take a look at indicators showing not only that the bottom may be in, but also that a massive altcoin season could be ‘brewing’ in front of our eyes.
As sentiment on CT flip-flops between super bearish and cautiously optimistic, whales continue to accumulate at scale.
And guess what, it’s not just Bitcoin.
Coffee ready? Good. Let’s dive in.
- Correction or bear market?
- Is the bottom in?
- Alt season in the making.
- Whales buying Bitcoin and… meme coins?
- Solana summer.
Let’s start with the biggest question on everyone’s mind right now: Is this a correction, or are we in a bear market?
As TechDev clearly points out, he believes we are in the middle of a correction phase. And guess what? We could still have a long way to go before beginning a macro correction phase (bear market).
If this is just a correction, then comes the next question: Is the bottom in?
Looking at the 21-day EMA realized profits, the data shows that the bottom might be in already.
If the bottom is in, then we need to ask ourselves: Is it better to be in Bitcoin or alts?
First of all, degens tend to ignore Bitcoin. 3x from here? Hardly worth getting out of bed for! Instead, it’s all about the alt coins! And the ETH/BTC chart suggests that Ether is expected to massively outperform Bitcoin in the coming months. This is extremely bullish for altcoins!
Still not convinced? As always, never rely on a single indicator. Technical Analysis (TA) and on-chain analysis are great, but let’s see what the big boys are up to.
The whales have been busy, steadily accumulating Bitcoin in the $36k to $38k range. And let’s face it: whales tend to anticipate the direction of the market before everyone else!
And it’s not just Bitcoin they’ve been scooping up. As we’ve covered in previous articles, the whales are hungry, and keen to get a taste of some juicy altcoins, LUNA being a particular favorite!
But here’s when things get… weird. A whale recently went on a Shiba Inu (SHIB) shopping spree, just days after the $12 million SHIB purchase we reported on in a previous article. Do the whales know something, or is this just mindless splurging?
So, TA, on-chain data, and whale activity all suggest that current levels present an excellent buying opportunity, but with so much on the menu, what are our top picks?
Of all the large-cap altcoins, Solana is the one turning heads today with the launch of Solana Pay, a decentralized, secure and open-source payment protocol that will allow merchants worldwide to accept USDC.
This is huge news, not just for the Solana ecosystem, but for crypto as a whole. Not only will it bring retail merchants to crypto, they’ll also be able to experience the wonders of Decentralized Finance (DeFI) thanks to the yield opportunities provided by Solana Pay.
For further information, read our in-depth article on why we think Solana is primed for a major leg up!
Banter’s take
After a heavy correction, the markets have slowed down, but Bitcoin needs a direction – it never moves sideways for long. The question is whether the next big move will be to the upside, or whether we can expect another leg down. And here’s the good news: The technicals, fundamentals and on-chain data are all aligning. Ask yourself: Would the whales be scooping up this much BTC if they thought they could buy much lower instead? Of course not. We may well have found a bottom. If not, then it’s unlikely to be much lower than current levels. As Ran says “Don’t pick a bottom unless you want smelly fingers!” Instead, swim with the whales, and start dollar-cost averaging (DCAing) into quality projects to secure a great entry!
