Wednesday’s crypto market sell-off sends Bitcoin and most altcoins tumbling, with losses exceeding double digits. Bitcoin price plunged to $40,000 after brushing shoulders with $46,000, while Ethereum fell back to test support at $2,100. Top altcoins like Maker (MKR), Solana (SOL), and Bonk (BONK) weren’t spared from the volatility, their uptrends abruptly halted.
What’s Behind Crypto Price Volatility?
Uncertainty regarding the approval of spot exchange-traded funds (ETFs) in the US is leading to a spike in volatility. The Securities and Exchange Commission (SEC) was expected to approve spot Bitcoin ETFs in January, which would increase demand for BTC and potentially trigger a bull run. However, a report suggests that the SEC is likely to reject all applications due to missed requirements.
This article will explore three top altcoins to consider buying amid the market dip.
Solana Price Pullback Under $100, A Buy The Dip Opportunity?
Solana experienced a strong uptrend in Q4 2023, breaking above $100 and reaching $125. However, due to overbought conditions, SOL price corrected and dropped below $100 during the recent sell-off. If support at $100 fails, Solana could drop further to test liquidity at the 200 Exponential Moving Average (EMA) around $88. On the other hand, if SOL stabilizes above $100, it may attract investors looking for a climb to $125 and beyond.
Maker Price Prediction As Triangle Breakout Sends MKR To $2,000
Maker price broke out of an ascending triangle pattern with a target of $2,423. It is important to watch for higher support above $1,830 before considering long orders. The approval of ETFs could boost the crypto market, including altcoins like Maker. If the MACD indicator continues to show a buy signal, bulls are likely to maintain control and push MKR towards the breakout target. However, a trend reversal could lead to a drop in price, providing an opportunity to buy at a lower price point.
Bonk Price Prediction As Bulls Search For Support
Bonk experienced a pump in November but has been in a downward trend since then. Profit-taking initiatives and a descending channel have contributed to the decline. The MACD indicator suggests a bearish outlook. Investors can consider entering at the 50-day Exponential Moving Average (EMA) if it holds as support at $0.00001194. However, if this support fails, Bonk may continue to drop. Finding a good entry point could be beneficial for investors looking to capitalize on potential price discovery.
Hot Take: Altcoins Present Buying Opportunities Amid Market Dip
The recent crypto market sell-off has created buying opportunities for altcoins like Solana, Maker, and Bonk. While volatility remains high due to uncertainty surrounding spot Bitcoin ETF approval, these altcoins have shown promising uptrends before the dip. It’s important to consider factors like support levels, technical indicators, and market conditions before making investment decisions. Keep an eye on developments in the crypto market and stay informed about potential catalysts that could impact altcoin prices.
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