The king of cryptocurrencies, Bitcoin, has rapidly recovered this year, reaching a price increase of 100% after hitting rock bottom at the end of last year. However, the same cannot be said for most altcoins. In fact, many cryptocurrencies have plummeted to last year’s lows or even lower levels, following the SEC’s attack in early June.
When to Buy Cryptocurrency?
Currently, several factors suggest that we may see sharp price increases in the coming months. The approval of a Bitcoin ETF could not only trigger a surge in Bitcoin’s price but also in the prices of other cryptocurrencies. It could be the catalyst for significant gains in the weeks ahead.
Furthermore, 2023 shares many similarities with 2019. Just like in 2019, there is a possibility for altcoins to experience an impressive rally before the end of the year. On the other hand, if the Fed decides to skip the interest rate hike at the end of the month or even declare a ceiling, it could further support the narrative of a bullish market.
Therefore, investors have two options. If they didn’t take advantage of the bottoms of the bear markets, they can buy at current prices and wait for a bigger wave of gains. However, this is quite risky, as no one can guarantee that altcoins won’t hit deeper lows. The second option is to prepare for the scenario where BTC’s price closes above $35,000 and targets $40,000. When discussing the second option in December, the threshold level was above $28,000 for weekly closes, and today we are talking about the same thing for $35,000. This is promising.
So, which altcoins can be bought? Which altcoins have the potential to perform better in a possible rally this year?
Cardano (ADA)
Cardano‘s ADA token suffered heavy losses during the crash in early June. However, there have been significant technical developments in recent months. Moreover, Hydra is coming soon. The increasing activity on the network and the growing number of applications can help the price recover rapidly. Investors may see the price reach the $0.5 and $1 ranges again after surpassing $0.3 and $0.35.
Of course, classifying ADA Coin as a commodity poses a risk, but Cardano has yet to fully demonstrate its potential.
Tron (TRX)
The TRX token was heavily impacted by the crash in early June. However, the price has shown a remarkable recovery from the losses in recent times. There is potential for strong gains in the coming weeks and months.
Ethereum (ETH)
In a potential bullish environment, the price that has been suppressed for a long time could quickly jump to the $2,500 range. Moreover, the decreasing circulating supply indicates that the burning of tokens has turned inflation negative. If ETH experiences a surge in demand while the supply continues to increase, it can provide significant profit opportunities for investors who consider prices around $1,000.