Bitcoin $106,354 has struggled to surpass the $109,000 threshold, causing fluctuations and significant drops in the altcoin market. Since the U.S. elections, crypto investors have not witnessed notable movement in altcoins . Over the past 6-7 months, global trade wars and the risk of nuclear conflict have contributed to a negative market environment. What, then, are the predictions for altcoins? Which cryptocurrencies appear attractive?
Altcoin Season
Interest rates are expected to start declining in September, and uncertainties surrounding tariffs might be resolved by mid-month. Between July 4-9, tariff agreements will be negotiated, and just before Independence Day, President Trump might issue a new ultimatum to the European Union. Altcoins are in a critical phase, where investors are eagerly waiting for a significant shift, similar to the exhaustion experienced during the downturn.
Rover, who shared the Bitcoin dominance chart, mentioned the imminent start of a period with considerable rises in altcoins. He predicted a sharp decline in Bitcoin’s dominance, suggesting profits for altcoin investors in the near future.
The dominance chart is close to resistance, yet it remains uncertain how long it will persist at this level or if a decline will begin immediately. Nonetheless, its steady ascent over a long period is undeniable.
Attractive Cryptocurrencies
The RSI (Relative Strength Index) data is a useful tool to quickly gauge demand in altcoins. During this phase, attractive altcoins that draw liquidity show rising RSI levels, while others, affected by heavy selling, reach new lows with declining RSI values. There are numerous examples of this.
DaanCrypto highlighted appealing cryptocurrencies and the overall market condition by sharing an RSI map. He pointed out that, with last week’s recovery, the average weekly RSI level of coins significantly increased.
The average RSI level, at around 40, remains somewhat neutral/low, which applies to many altcoins, especially ones with mid/low market caps. Bitcoin currently sits within the 60-70 range, indicating a healthy position with no signs of overbought conditions, but a slight upward trend on a weekly basis.
Altcoins are still in their infancy and have been unable to outperform BTC consistently over several weeks. Some exceptions within the chart showcase this dynamic.
Cryptocurrencies like TRUMP, ACK, and RED are experiencing excessive selling and a loss of interest. Meanwhile, the SIREN, QNT, and XMR groups are garnering notable attention.
