Investing: Five altcoins with the highest growth potential

Investing: Five altcoins with the highest growth potential

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Author: Robert Strickland (crypto expert)
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Investing: Five altcoins with the highest growth potential

The author of the popular blog GAP capital on the TradingView platform talked about several promising altcoins and corresponding trading strategies

Bitcoin (BTC) has grown by almost 50% over the past two weeks, along with the dominance of the flagship cryptocurrency relative to the entire crypto market has grown, reaching 47.9%.

In the current market conditions, several altcoins may show growth, let's consider the most promising ones.

Let's start our analysis by parsing bitcoin's dominance.


The relative strength index on the weekly BTC domination chart shows a huge hidden divergence, which is a strong signal for a reversal soon.

The potential reversal of the major cryptocurrency's dominance tells us that a so-called "alt-season" is imminent.


The start of the altcoin season is likely to take place when BTC reaches a significant resistance zone and starts sideways movement.

LDO topped the list of the most promising altcoins. The token is an Ethereum retail stacking solution created to address liquidity issues with support from several leading stacking services.

In addition, a major update to the stacking platform is coming, which could trigger a positive news backdrop. The chart below shows a potential scenario with LDO token growth:


A daily chart of LDO/USDT on the Binance exchange. Source: TradingView
At the moment, the asset is moving in a downward direction, but if we get a reaction from the specified support zone ($1.95 - $2.3) and break the "Bearish Takeover" candlestick formation (the big shadow in the $2.75 - $3.05 price range), growth is expected.

If the support zone is broken downward, the set-up will lose relevance at the $2 price point.

GRT is an indexing protocol for querying data for networks like Ethereum and IPFS. Plus, the token fits into the so-called narrative around artificial intelligence.

On the weekly timeframe, the growth of the asset is confirmed by growing horizontal volumes, while vertical volumes indicate all-time highs in this price range:


After the imbalance filling (the situation when the excess of buy or sell orders resulted in the price gap) on the daily timeframe ($0.12 - $0.13) and the breakdown of the key resistance level (the marked rectangle $1.7 - $1.9) the growth is expected:


The broken resistance zone will be the key support from which the reaction is expected. The growth scenario will lose relevance if the price fails to break through key resistance.

AGIX is a blockchain-based platform. In a continuation of the artificial intelligence narrative, this momentum could show growth following GRT:

At updating of a historical minimum ($0.285), the scenario with growth becomes unlikely.

Floki is a "memcoin" inspired by Ilon Musk's tweets, which has already grown by several hundred percent:

The high-risk asset was in the accumulation phase for a long time, followed by an impulse breakout. In case the asset returns to the accumulation range and absorbs the momentum from $0.00001, you should sell or hope for Musk.

LTC - the old and everyone's favorite Litecoin can also show good growth:


A daily chart of LTC/USDT on the Binance exchange. Source: TradingView
The upside potential is 50%, the scenario will lose its relevance when going below $76.

Summary: the altcoins listed above are not recommended for leveraged trading, so the risk in transactions should be adjusted by the volume to buy (no more than 1-2% of the trading account for each transaction).

 

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