Market
Solana Outflows Peak on SOL-Based Meme Coins Woes
Solana (SOL) took the hardest hit as crypto investment products saw modest inflows of only $30 million last week. Ethereum recorded just $4.2 million in inflows, while Bitcoin led with $42 million.
The recent CoinShares report attributes this muted performance to recent macroeconomic data, which suggested the Federal Reserve is unlikely to cut interest rates by 50 basis points (bps) in September.
SOL Suffers Its Largest Outflows on Record
Amid the poor inflows, Solana experienced outflows of $39 million, marking its largest negative number on record. This sharp decline followed the previous week’s inflows of $4.5 million, indicating a notable shift in investor sentiment toward SOL.
According to CoinShares, the record outflows in Solana were accompanied by a sharp decline in trading volumes of SOL-based meme coins. The report suggests that waning demand for these assets played a key role in Solana’s downturn.
“Solana saw outflows of $39 million, the largest on record, as it faced a sharp decline in trading volumes of meme coins, on which it heavily relies,” an excerpt in the report read.
Read more: 11 Top Solana Meme Coins to Watch in August 2024
Indeed, CoinGecko data reveals a 4.4% drop in the market capitalization of Solana meme coins. The top three — Dogwifhat (WIF), Bonk (BONK), and Book of Meme (BOME) — have declined nearly 5% since Monday’s session began.
Dwindling trading volumes for these tokens, coupled with speculation about a potential ETF denial, contribute to the negative trend for SOL flows. Meanwhile, Tron-based tokens have surged following Justin Sun’s announcement of SunPump, a token generator launched by Sun.io, causing trading volumes and revenue metrics for newly created tokens to skyrocket.
Tron Could Steal Solana Meme Coins’ Thunder
Tron’s SunPump enables the creation of meme coins on the Tron blockchain. It has already launched over 5,500 meme coins and generated significant TRX revenue. With this record of success, SunPump positions itself as a direct adversary to Solana‘s popular pump.fun platform. The latter recently recorded a surge in transaction fees to $5.3 million within 24 hours.
As chatter around SunPump continues, there is speculation that Tron meme coins could replace Solana meme coins, with Justin Sun highlighting a massive liquidity pool.
“For me, when it comes to the whole “Why TRON, why SunPumpMeme?” thing, the biggest flex is that $60 billion in TRON USDT. No other blockchain protocol has a liquidity pool this massive. Meme coin platforms live and die by liquidity, and TRON’s got it in spades,” Sun noted.
Undoubtedly, Tether’s USDT stablecoin on TRON boasts a circulation far more massive than any other blockchain protocol. Solana, which currently stands as the most dominant chain on metrics of meme coin activity, only has about $1.9 billion of USDT circulating on it. Conversely, up to $60 billion worth of USDT circulates on the TRON blockchain.
Read more: 7 Hot Meme Coins and Altcoins that are Trending in 2024
Tron and SunPump have committed $10 million to the Meme Ecosystem Boost Incentive Program to reawaken the meme coin narrative by supporting new projects. Despite this initiative, concerns remain due to platforms like pump.fun, which attracted criticism for allowing bad actors to launch meme coins and carry out rug pulls.
Critics argue that these schemes can bypass Tron and SunPump’s “rigorous vetting process,” enabling malicious activities while undermining the credibility of the meme coin ecosystem.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
Market
Why FET Recovery Could Be More Than 10% in November
Artificial Superintelligence Alliance (FET) is one of the top gainers today, registering a 10% increase within the last 24 hours. This FET recovery contradicts its performance in October, when its price decreased by 13.39%.
Following this rebound, on-chain data shows that the altcoin could be working toward wiping out those losses. Here is how.
Artificial Superintelligence Alliance Sees Buying Pressure
Yesterday, FET’s price was $1.10. But as of this writing, the altcoin’s value has risen to $1.25. According to the 4-hour chart, FET’s price climbed this high due to rising buying pressure.
Notably, Bull Bear Power (BBP) has jumped to the positive region after remaining in the red area since November 1. The BBP shows whether the strength of buyers is greater than that of sellers.
When the reading is negative, bears have the upper hand. Therefore, in this instance, bulls are in control. As such, the altcoin’s value could continue to climb if this remains the same.
Read more: How to Invest in Artificial Intelligence (AI) Cryptocurrencies?
The Money Flow Index (MFI) is another indicator suggesting that the FET recovery could be swift. The MFI, which measures buying and selling pressure by analyzing price and volume data, has shown a positive trend for FET.
A rising MFI indicates increased buying pressure, which supports the likelihood of continued price growth as demand for the asset strengthens. Therefore, if bulls sustain this momentum, then the altcoin’s price might continue to rise.
FET Price Prediction: Token to Breach Resistance
Since the IOMAP indicates that there is only one significant resistance level for FET at $1.28, where 3,590 addresses hold 616.89 million tokens, it suggests that surpassing this level could open up further upside potential.
Notably, the IOMAP tool categorizes addresses by whether they are making a profit, breaking even, or incurring losses at the current price
This accumulation zone acts as a key psychological barrier. The volume of tokens accumulated here is notably higher than the amounts held between $1.06 and $1.25, signaling that if buyers manage to push the price beyond $1.28, FET could gain strong momentum.
Read more: Which Are the Best Altcoins To Invest in November 2024?
Therefore, if buying pressure continues to increase, FET could rally all the way to $1.44. However, if bulls fail to breach the resistance, the altcoin price might pull back, and FET could drop to $1.10.
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
Market
US Election Day Boosts Bitcoin to $70,000: Further Rally Ahead?
Bitcoin’s (BTC) price climbed to $70,000 today ahead of the US presidential election, indicating the connection between major political events and cryptocurrency movements. Historically, political uncertainty and significant elections have influenced crypto market sentiment and volatility.
As the election begins, on-chain analysis provides insights into potential future price movements. Analysts are also weighing in on the implications of the election outcome for Bitcoin, with opinions varying on whether the cryptocurrency could continue its upward trend or face downward pressure. Here are all the details.
Demand Spike for Bitcoin Echoes 2016 and 2020 Trends
According to Glassnode, the Bitcoin price increase comes amid a drop in the sell-side risk ratio. This metric shows whether investors are confident about a bullish performance or if conviction is low.
High values in this metric indicate periods when significant amounts of value are being realized, often correlating with increased market volatility. Such periods are commonly seen during the late stages of bull markets.
Conversely, low values suggest periods with minimal value realization and reduced market volatility. This can also signal macro market bottoms, accumulation phases, and environments with lower sell-side pressure and risk, potentially indicating the onset of future bullish trends.
Read More: 7 Best Crypto Exchanges in the USA for Bitcoin (BTC) Trading
Therefore, the rise in Bitcoin’s price indicates that selling pressure is low, and the US elections could be bullish for the cryptocurrency.
Regarding this development, Juan Pellicer, Senior Researcher at IntoTheBlock, opined that a Donald Trump win would be good for BTC and the crypto market at large.
“The market appears primed for further upward movement, with the US election serving as a potential catalyst. Sentiment suggests that Trump’s more favorable stance on cryptocurrencies could provide the momentum needed for a decisive breakthrough to a new all-time high.” Pellicer told BeInCrypto
Meanwhile, CryptoQuant’s weekly report says that BTC is at a favorable price level ahead of the elections. It noted that the cryptocurrency is currently not overvalued. Hence, if demand increases, Bitcoin’s price might rally post-election.
For instance, BTC prices rallied by 22% between election day and December 2012. In 2016, it climbed by 37%, while the cryptocurrency saw a 98% increase in 2020.
Therefore, if past performance influences future trends, the BTC might reach a new all-time high before the end of the year.
Data from the on-chain data provider also showed that demand for Bitcoin has increased. This is similar to the trends of 2016 and 2020. Hence, if sustained, the Bitcoin price might climb well above $70,000 soon.
BTC Price Prediction: $73,000 Possible
On the 1-hour chart, Bitcoin has attempted to break out on four different occasions. However, each time that happened since October 31, the coin faced rejection. However, today, the trend has changed as bulls pushed the cryptocurrency above $68,336.
This breakout has ensured that Bitcoin’s price has risen to $70,288. Furthermore, the Bull Bear Power (BBP) shows that bulls are in control. If sustained, Bitcoin’s price might rally much higher in the coming days.
Read More: Bitcoin (BTC) Price Prediction 2024/2025/2030
If bullish momentum persists, Bitcoin could potentially climb to $73,623 ahead of the announcement of the US election results. However, should BTC face rejection at resistance levels, this forecast might be invalidated, with the cryptocurrency possibly declining to $67,405.
The post US Election Day Boosts Bitcoin to $70,000: Further Rally Ahead? appeared first on BeInCrypto.
Market
Why Ethereum’s Weak Momentum May Block $2,600 Breakout
Ethereum (ETH) price is showing signs of weakening strength as polls open across most of the US.
Despite a 24% surge in trading volume over the past 24 hours and a modest 1% price uptick, technical indicators suggest a potential downturn. Here’s a closer look at the factors behind this analysis.
Ethereum to Remain “Under”
Readings from the altcoin’s Super Trend indicator reflect Ethereum’s weak price action. At press time, its red line rests above Ethereum’s price, confirming the potential downward trend.
This indicator helps traders identify the prevailing market trend and potential entry or exit points. It detects changes in price direction and determines support and resistance levels, often signaling when to buy or sell an asset. When the Super Trend line moves above the price and turns red, it signals a bearish trend, often considered a sell signal.
On the ETH/USD one-day chart, Ethereum’s Super Trend line is above the coin’s price at $2740, forming a resistance level that may be difficult to breach if new demand fails to enter the market. When the Super Trend line moves above the price, it acts as a resistance level. This is because the line indicates a potential “ceiling” where the price might face resistance if it attempts to rise.
Read more: Ethereum ETF Explained: What It Is and How It Works
Moreover, the setup of ETH’s moving average convergence/divergence (MACD) indicator — which tracks its trend direction, shifts, and potential price reversal points — supports this bearish outlook. As of this writing, ETH’s MACD line (blue) rests below its signal line (orange) and zero line.
This bearish signal suggests that ETH’s short-term momentum is weakening. Traders often interpret this as a signal to exit long positions and take short ones.
ETH Price Prediction: August 5 Low Is Possible
If buying pressure weakens, Ethereum’s price could fall toward its August 5 low of $2,112, marking a 13% drop from its current value. Conversely, a surge in demand could propel the coin to test resistance at $2,508.
Read more: Ethereum (ETH) Price Prediction 2024/2025/2030
A successful breakthrough at this level would set the next target at the Super Trend line resistance of $2,740. Clearing this mark with strong momentum could position Ethereum for a climb toward $2,869 — a level not seen since August.
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
-
Altcoin23 hours ago
Why Dogecoin May Benefit Most From A Donald Trump Victory
-
Market23 hours ago
Will Toncoin Loss in October Drive Bulls to Push the Price Up?
-
Market22 hours ago
4 Upcoming Crypto Airdrops to Boost Your Portfolio
-
Market24 hours ago
How PONKE Binance Listing Affected the Meme Coin Price
-
Market13 hours ago
Will Elon Musk Dogecoin Influence Lead the Price Toward $0.20?
-
Market12 hours ago
Could It Be Setting Up for Major Reversal?
-
Altcoin12 hours ago
Binance Expands Support For POPCAT & MEW, Will These Solana Meme Coins Rally?
-
Market11 hours ago
a16z Pledges $23 Million for 2026 Pro-Crypto Election Effort