Altcoins Bulls Back in Action?

The cryptocurrency market is going through a retracement that is lasting longer than anticipated. After breaking above the recent resistance levels, the buyers lost the momentum that led the sellers to take over the market temporarily.

The buyers did attempt a couple of times to breach through the recently set highs, but the sellers maintained their resistance zones firmly. As a result, most crypto assets dipped below the support levels. However, with the higher timeframe still being inclined north, the buyers bought the discounted prices and took the prices back to the support levels.

In the recent push of the buyers we are witnessing, it is evident that the altcoins are being focused on by the big bulls. Bitcoin crypto, which had a strong push initially, got weaker every step of the way the price headed to new resistance levels.

Of course, not all altcoins are performing better than BTC crypto, but a few have outperformed significantly. After cryptocurrencies like Solana, Terra, and Cardano made an all-time high, the other major projects are next in line to blast to the north. And since the consolidation has lasted longer than expected, the breakout is expected to be extremely powerful.

Ethereum Spikes both in Price and Social Mentions

It is no surprise that social platforms play a major role in influencing the price of crypto. A significant rise in the volume of social mentions boosts the price of crypto even further.

The ETH crypto market had been consolidating and moving in a channel around $3200 for over three weeks. But as the prices began to breach above the recent high at $3300, the social volume spiked in correlation with price.

According to the data from Santiment, a cryptocurrency analytics platform, the volume spiked to 4,144 breakings above the previous high of 3,892, on a three months’ time frame.

The social volume which is an indicator of interest of investors towards the asset, clearly depicts the mainstream bulls are willing to accumulate the largest altcoin. The same is reflected in the price as the Ethereum market has firmly broken the long-held resistance. Currently, the Ethereum crypto is trading over 5% above its previous recent high.

Raoul Pal goes Big on Ethereum

Ex-Goldman hedge fund exec and co-founder and CEO of Real Vision, Raul Pal recently asserted his bullishness in the cryptocurrency market. Expressing his bullish perspective, hex expects Ethereum to skyrocket to $20,000 and Bitcoin to $250,000 by the first quarter of 2020. With respect to Ethereum token, he believes that the popularity growing around decentralized finance (DeFi) and non-fungible tokens (NFT) could be a major factor to drive the prices to extreme height. In addition, the recent London Hard Fork and EIP-1559 would certainly bring the supply down in ETH tokens and eventually increase the demand for it.

“There’s tons that have gone into just holding, tones that are locked up in DeFi, tons that are locked up in NFTs…The only outcome is an exponential rise in price. There’s no other outcome.” – Raoul Pal, Co-Founder, and CEO, Real Vision

Out of all the cryptocurrencies out there, Pal believes Ethereum to be the greatest bet for the close of 2020. In considering historical price action, he asserted, “Don’t forget that they usually go up by 5X to 10X in the last three months of the year, and we haven’t even got to the all-time high.”

Over a period of 3-months, the market began its channel pattern at $2,900 and paused at $3,300. After setting the high, the market failed to breach the resistance despite three aggressive attempts by the buyers. But as the market kept leaving higher lows, the price finally managed to breach above the resistance with impressive momentum.

Lagging Polkadot Ready for Takeoff

Most of the biggest crypto projects have made a move to the upside, even breaking through their ATH. But the compelling Polkadot (DOT) crypto was left behind, as it failed to have the bull run like the rest.

However, with the recent push it had yesterday over 20%, a key resistance was broken allowing the bulls to continue riding the prices higher with minimal hurdles.

On the fundamental and technology front, the popularity does not seem to fade away. With the upcoming parachains auctions, the bullishness has been on for DOT crypto.

For instance, Polkadot’s so-called cousin Kusama has been in the news of it conducting its auctions. And as part of the crowd loan process, holders cast their votes by locking up DOT tokens for a period specified by the projects.

On the technical front, after the price crash in May the market took support at $20. The market did attempt to go lower and hold, but the buyers on the higher timeframe took the prices right back up. In fact, the strength of the buyers left the resistance at $28 unaffected.

Currently, the market is facing its final hurdle at $31, after its rally on the previous trading session. If the entire crypto market stays in positive, it is highly probable for DOT crypto to head to its ATH.

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