- Ethereum was down by more than 3% in the last 24 hours.
- Technical indicators looked bearish for ETH, SOL, and BNB.
As Ethereum [ETH] ETFs get approved, several speculate that the market will turn bullish. In fact, if the latest data is to be considered, then the possibility of altcoins beginning a rally seems likely. But will top cryptos like ETH, BNB, and Solana [SOL] lead this rally?
Are Altcoins setting up a show?
Milkybull, a popular crypto analyst, recently posted a tweet highlighting an interesting development. As per the tweet, altcoins were gearing up for an explosive move.
The analysis highlighted a market-out box, and how a breakout of altcoins’ market capitalization above that level would trigger a massive bull rally.
Apart from this, Nansen’s recent tweet also mentioned a bullish development. The total stablecoin market cap recently passed $160 billion, signifying new money entering the space, which was bullish.
However, things on the ground looked pretty different as most top alts were under bears’ influence. According to CoinMarketCap, ETH was down by more than 3% in the last 24 hours.
SOL and BNB also had similar fates, as their values dropped by over 6% and 4%, respectively.
It was interesting to note that despite the recent bearish price trend, all of these tokens’ weighted sentiment went into the positive zone. This signified that investors were bullish on them.
Source: Santiment
Ethereum is underperforming
The hype around ETF approval sparked excitement as several expected ETH to remain bullish. But its weekly rally ended, and at press time, it was trading at $3,666 with a market cap of over $440 billion.
AMBCrypto’s look at CryptoQuat’s data revealed that both ETH’s Relative Strength Index (RSI) and stochastic were in overbought positions, which was a bearish signal.
However, the trend might change as buying pressure continues to remain high. This was evident from the drop in ETH’s exchange reserve.
Source: CryptoQuant
AMBCrypto then checked its daily chart to better understand whether bulls would enter the market anytime soon, allowing ETH to lead the altcoin rally.
We found that ETH was testing its resistance near $3.7k. The Money Flow Index (MFI) gave hope for a price rise, and it moved northwards. But the Chaikin Money Flow (CMF) registered a downtick, indicating a continued price fall.
Source: TradingView
How are SOL and BNB doing?
Like ETH, SOL and BNB’s prices also dropped in the last 24 hours. At press time, SOL had a value of $166.6, while BNB was trading at $590.
A look at their derivatives metrics hinted at a trend reversal. This seemed to be the case as their open interests declined along with their prices.
Source: Santiment
To better understand what to expect from these top altcoins, AMBCrypto then assessed their price charts. B
eginning with SOL, its CMF also moved southward. Additionally, the RSI also followed a similar trend, suggesting that bears would continue to dominate.
Source: TradingView
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BNB’s technical indicators also gave a bearish notion. For example, both its CMF and RSI remained low.
Considering all these aforementioned datasets, investors might have to wait a bit longer to witness altcoins rally.
Source: TradingView
