After experiencing heightened selling pressure during the last few weeks, the cryptocurrency market opened the last week of January 2024 in a recovery mode. Bitcoin (BTC) price has risen around 6 percent in the past five days to trade around $42,239 during the early Asian session on Monday. As a result, most altcoins are showing early signs of bullish continuation in the near term as crypto cash rotation intensifies.
Key Indicator for Altseason
The altcoin market capitalization, TOTAL2, has been retesting a former resistance level above $700 billion in the past few weeks and is on the cusp of flipping it to a support level. According to a popular crypto analyst, Michaël van de Poppe, based in Amsterdam, the Netherlands, crypto traders should pay close attention to Ethereum price action against the U.S. dollar and Bitcoin.
Notably, the crypto analyst expects more altcoins to rally after the ETH/BTC pair flips the resistance level around 0.061 into a support level. Ideally, the crypto analyst expects the altcoin market cap to add at least $500 billion soon.
Top Altcoins to Watch
With most altcoin vs. Bitcoin pairs consolidating in their bear market lows, Poppe is confident more gains will be recorded soon—some altcoins to pay close attention to include Ethereum-based layer-two networks and DeFi tokens.
Chainlink (LINK) is a utility-based altcoin with a growing global community of investors and developers. Having experienced the first bullish wave after a solid breakout in October last year, Poppe is confident the altcoin is on the precipice of entering the second bullish wave. According to Poppe, the next two major targets for LINK are around $21 and $37.
Largely backed by institutional investors, the Solana (SOL) network is well-positioned for the ongoing mass adoption of smart contracts and Web3 products. As a result, Poppe expects the SOL price to rally towards $140 soon.
Having recently held the support level above $0.69 firmly, Poppe believes MATIC’s price is well positioned to double in value in the coming weeks.