3 Altcoins to Sell If Bitcoin Reverses Gains To $55,000

by

As a seasoned crypto investor with over a decade of experience navigating market cycles, I find myself standing at the precipice of Bitcoin’s current crossroads with a mixture of anticipation and caution. The potential for renewed growth is enticing, but the looming threat of high interest rates and economic uncertainty makes me wary.

Bitcoin finds itself at a critical juncture, where it could potentially resume its upward trajectory or experience a decline due to loss of support. The economic landscape, marked by rising interest rates and the potential for a recession in the U.S., might negatively impact riskier assets like stocks and cryptocurrencies. In such a scenario, investors might be interested in knowing which alternative coins (altcoins) they should consider offloading if Bitcoin weakens, potentially causing a chain reaction of price drops across the broader market.

Altcoins To Sell – Stacks (STX)

Stack is currently the most significant player among Bitcoin layer 2 protocols, with a market capitalization of approximately $2.25 trillion according to CoinGecko’s data. In the last 24 hours, STX saw a rise of 2.2%, and over the past week it had an additional boost of 1.6%. However, a 18% decrease in the last 30 days indicates a broader downturn in the cryptocurrency market since July.

As a researcher, I’m exploring the innovative world of STX, a blockchain built upon the foundations of Bitcoin. Unlike traditional Bitcoin, STX aspires to elevate its capabilities by incorporating smart contracts and decentralized applications. What sets it apart is its clever use of Bitcoin’s robust security and decentralization, creating a programmable layer with its distinctive consensus mechanism and smart contract language. This empowers developers to construct novel applications on top of Bitcoin, potentially unlocking new use cases and enriching the broader ecosystem.

As I delve into my research, it appears that Stacks (STX) often mirrors Bitcoin’s (BTC) movements, indicating a potential sell-off when the larger asset drops around $55,000. However, the downside risks could escalate significantly if STX falls below its support levels at $1.4 and $1.25.

3 Altcoins to Sell If Bitcoin Reverses Gains To $55,000

On the four-hour chart, stacks might deviate from a triangular structure. The Moving Average Convergence Divergence (MACD) contradicts the bullish forecast, while short-term support is established at $1.47 through convergence of the 20-day and 100-day Exponential Moving Averages.

2. ORDI

Ordinal (ORDI), the top Bitcoin-based BRC token, has persisted in its upward trend following its stabilization above $20 during the initial week of August. Despite encountering some resistance at $30, optimistic anticipation remains high, as suggested by its recent surge aiming for the next substantial resistance level at approximately $40.

3 Altcoins to Sell If Bitcoin Reverses Gains To $55,000

Traders should look for a price level above $30 for ORDI, before considering investing more heavily in it this week. Also, keep an eye on Bitcoin’s performance to dodge potential pitfalls associated with bullish trends.

One way to rephrase the given text in a natural and easy-to-read manner could be: “ORDI is a specific cryptographic system developed to offer unique features within the Bitcoin network, primarily serving as a means of storing value. Unlike traditional token systems that depend on separate blockchains, ORDI operates directly on the Bitcoin blockchain, utilizing its security and decentralization.”

3. Merlin Chain (MERL)

As an analyst, I find myself on the precipice of an anticipated surge for Merlin Chain, but it’s crucial to acknowledge potential unforeseen risks due to its close association with Bitcoin. Currently, the token stands above two significant levels—the 20-day Exponential Moving Average (EMA) at $0.2216 and the 50-day EMA at $0.2234. If the bulls successfully maintain the upward trend and breach the resistance level at $0.23, we could witness a smooth ascent towards $0.25 and potentially even $0.3, provided the momentum continues.

3 Altcoins to Sell If Bitcoin Reverses Gains To $55,000

As an analyst, I’m keeping a close eye on Merlin Chain. It won’t be safe from further drops until it manages to surge above its 200-day Exponential Moving Average (EMA). If the token were to fall below the crucial ascending trend line support, a significant sell-off could ensue. A potential Bitcoin correction down to $55,000 might intensify this downtrend, potentially dragging Merlin Chain’s price towards support levels at $0.22 and $0.18.

Bottom Line

Instead of merely selling altcoins based on their performance relative to Bitcoin, consider purchasing certain altcoins as a means to withstand market pressure, mitigate risk, and potentially boost returns before the year ends. However, it’s crucial to conduct in-depth research on Stacks, ORDI, and Merlin to ensure you don’t find yourself against the prevailing trend.

Read More

2024-08-21 22:43