Crypto Bull Market Predicted for 2024 Following Strong Comeback in 2023
Summary:
The cryptocurrency market witnessed a robust rebound in 2023 with Bitcoin (BTC) and numerous altcoins recovering from their 52-week lows. The US Securities and Exchange Commission's approval of a Bitcoin ETF is identified as a key driver of the crypto bull market in 2024. Furthermore, if Bitcoin soars, various altcoins are also expected to ride the bullish wave. Moreover, tokens such as Ether (ETH), Solana (SOL), OKB, and Injective (INJ) have displayed promising growth trends, indicative of a bullish market phase. However, it's underlined that investment decisions should be based on thorough personal research due to inherent market risks.
The year 2023 saw a significant resurgence in cryptocurrency markets as Bitcoin (BTC) and the majority of altcoins bounced back from their 52-week lows. Though they still remain a distance away from their record highs, the uptick points to the start of a potentially long-term bullish trend. The US Securities and Exchange Commission's greenlighting of a spot Bitcoin exchange-traded fund is seen as the major catalyst for the crypto bull market of 2024. If additional Bitcoin ETFs are approved in January, it could considerably lift market sentiment and trigger a bullish phase. During such periods, market players generally turn a blind eye to negative news, while positive moves are welcomed, propelling prices further up. This bullish sentiment is also predicted to benefit altcoins. Therefore, if Bitcoin's value increases, numerous altcoins are likely to follow suit.
Predicting the top performing coins in the next bull phase is always challenging as each bull market presents its own frontrunners. However, coins that have led the market out of the bear phase and managed to hold on to their gains, are typically expected to perform well. The selected tokens have impressively rebounded from their 52-week lows, demonstrating strong demand from bullish investors.
An analysis of Bitcoin's price shows a sharp increase from its November 2022 low of $15,460, signaling the start of a fresh upward trend. The momentum accelerated after buyers pushed the price above $32,000. Both moving averages show an upward curve, and the relative strength index (RSI) is in the overbought zone, showing that the bulls retain control. Buyers will aim to thrust the price to $48,000 and then onto $52,100 - a zone that may present significant resistance in the short term. However, if the bulls can keep the price above the 20-week exponential moving average ($34,000), the upward trend could continue.
On the downside, Ether (ETH) has been steadily attempting to recuperate following a sharp decline in the last bear market. The token's price has seen a marked increase from the June 2022 low of $880, suggesting a return of bulls. An ascending triangle pattern has emerged from the recent price movements and was finalized when bulls drove the price above the overhead resistance at $2,143. If this bullish pattern is fulfilled, the ETH/USD pair could potentially rise to $4,868.
Solana (SOL) has significantly outdone itself in the past few months, soaring from its low of $8 in December 2022. The possibility of a trend shift is suggested by the 20-week EMA ($43) starting to curve upwards, and the RSI venturing into overbought territory. However, the risk of a fall to the 20-week EMA remains high, but these retreats are likely to be bought up.
OKB (OKB) is among the few tokens that have climbed above their 2021 highs, signalling the continuation of its long-term uptrend. On the upside, the token can potentially reach $100, while on the downside, a fall below $38 could imply a comeback for the bears.
Injective (INJ) has succeeded in crossing the April 2021 high of $25.30, signifying a return to an upward trend. The jump of the previous weeks has thrust the RSI into deep overbought territory, implying that the rally might be nearing its peak in the near term. If the INJ/USDT pair holds support at $25.30, it could clear the way for the next leg of the uptrend to $50. Otherwise, a sustained fall below $25.30 would indicate agitated profit booking by the bulls, possibly causing the price to fall to the 20-week EMA ($14).
This report doesn't provide advice for investment or recommendations. Risk is inherent in every investment and trading action and readers should undertake their own research when deciding.
Published At
12/26/2023 8:43:47 PM
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