- Ethereum’s metrics remained bearish.
- XRP and BNB looked bullish, however.
While all eyes remain on Bitcoin [BTC] halving, altcoins might silently take the cake as they were planning a bull rally.
As per the latest data, the Altcoin market capitalization had reached a level that was historically followed by price upticks.
Therefore, AMBCrypto checked top alts like Ethereum [ETH], BNB, and XRP to see whether history would repeat itself.
Altcoins are preparing for a rally
Bitcoin is expected to undergo its fourth halving soon. Once executed, it will reduce the mining reward by 50%, decreasing from the current 6.25 to 3.125 bitcoins.
The previous halving happened back in 2020, when BTC’s block reward was reduced from 12.5 to 6.25. At a time when everyone had a keen eye on BTC, altcoins acted interestingly.
Titan of Crypto, a popular crypto analyst, recently posted a tweet highlighting altcoin market capitalization. As per the tweet, the Fibonacci retracement level was at 61.8% on the monthly chart.
If history is to be considered, each time the metric reached that level, altcoins began bull rallies in the following days. To be precise, similar incidents happened in 2021 and 2016.
Will ETH, BNB, and XRP lead?
At press time, altcoins were having a tough time. To see whether the trend could change, allowing them to start a bull rally, AMBCrypto first analyzed ETH’s state.
Our analysis of CryptoQuant’s data revealed that ETH’s net deposit on exchanges was high compared to the last seven-day average, suggesting buying pressure was weak.
In fact, selling sentiment among funds and trust investors was high, as evident from its red Funds Premium. Derivatives investors were also selling ETH as its taker buy/sell ratio turned red.
Source: CryptoQuant
Next, let’s take a look at how XRP has been doing. According to CoinMarketCap, XRP was down by over 20% in the last seven days. The price drop triggered accumulation as buying pressure surged.
AMBCrypto’s analysis of Santiment’s data revealed that XRP’s exchange outflow spiked. The fact that buying pressure was high was also proven by its supply on exchanges, which dropped last week.
Investors were also confident in XRP, as its positive sentiment graph remained high.
Source: Santiment
Things for BNB also looked pretty optimistic. While most cryptos bled, BNB held its ground well, as its value surged by 1.3% in the last 24 hours.
Read Binance Coin’s [BNB] Price Prediction 2024-25
While the coin’s price rose, its Open Interest also increased. A hike in the metric suggests that the ongoing price trend might continue further.
Looking at the bigger picture, if XRP and BNB’s metrics translate into bull rallies, then they might lead the next altcoin season while post-Bitcoin halving.
Source: Santiment