He cryptocurrency market is ending the year 2023 on a high note, marked by Bitcoin (btc) taking the initiative. The pioneering cryptocurrency has skyrocketed, surpassing $40,000 endurance zone, and gains are anticipated to likely extend into the new year, especially with catalysts such as the potential spot exchange-traded fund (ETFs) approval and halving.
With Bitcoin predominantly in the green zone, attention has shifted to altcoins and their recovery potential. It is worth noting that Bitcoin gains often influence the broader market, and several altcoins are showing investment opportunities moving towards 2024. In this regard, Finbold has identified the following altcoins worth watching in 2024.
Solana (SUN)
solana (SUN) is currently in a bullish race after its rise above the $100 mark. These advances underline Solana's resilience to face 2022. bear marketduring which the cryptocurrency faced the threat of a significant devaluation due to its association with the collapsed FTX crypto exchange.
While Solana's upward trajectory aligns with overall market sentiment, the rally is also linked to the sale of Saga phones loaded with BONK airdrops. The resulting sales frenzy has had a positive impact on on-chain metrics.
For example, as of December 24, the number of active addresses on the Solana network arose by almost 50% compared to November, reaching more than 15.6 million. At the same time, the total value locked on the Solana network has skyrocketed, reaching the $1.5 billion mark on December 26.
These factors have contributed to an increase in SOL's earnings so far this year, exceeding 750%, with most of this growth coming in the last two months alone. Notably, buying pressure has remained strong despite significant selling pressure from the bankrupt estate of crypto exchange FTX, which held billions of dollars worth of SOL.
Looking ahead to 2024, Solana retains key fundamentals poised to drive a sustained price rally. Its appeal lies in high-speed transactions and low fees, which positions the platform as a competitor to Ethereum. However, it is important to note that SOL's progress will depend on other factors, such as the overall market trajectory.
At press time, SOL was valued at $116, with weekly gains of almost 50%.
Polka dots (POINT)
In recent months, Polkadot (SPOT), an open source protocol, has emerged as a prominent altcoin aiming to break the crucial $10 resistance zone. Notably, the token's gains are accompanied by impressive on-chain metrics, including an increase in network activity that has boosted blockchain revenues.
On December 21, the Polkadot relay chain reached a major milestone with one million transactions in a single day. This increase in activity is attributed to inscriptions which, similar to Bitcoin ordinals, serve as data embeddings. Since launching this year, signups have proven to be a driving force behind on-chain transactions and revenue.
In addition to its on-chain success, Polkadot is positioned for further potential growth with recent partnerships. The network signed a deal with a division of Deloitte. Under this collaboration, the company will leverage the Polkadot-based Kilt blockchain to provide logistics and supply chain services focused on the shipping industry.
While the increase in transactions aligns with current DOT price growth for 2023, concerns have been raised about signups potentially causing network congestion. Critics argue that signups can act as spam on the network, deterring users due to associated increases in transaction fees.
The sustainability of enrollments and their potential to attract more users remains uncertain. However, Polkadot has so far proven its ability to handle the highest transaction volume.
Excitement is growing within the community for the imminent technological advances aimed at improving the Polkadot ecosystem. Notably, the long-awaited milestone is the debut of Polkadot 2.0, which ushers in parachains, cross-chain compatibility, and on-chain governance of the ecosystem. Of utmost importance, Polkadot 2.0 will elevate the network's consensus mechanism to Nominated Proof-of-Stake (NPoS), promising greater security and governance capabilities.
At press time, DOT had posted weekly gains of nearly 35%, trading at $9.12.
XRP
The value of XRP has remained largely entrenched despite legal clarity declaring the token is not a security at the Securities and Exchange Commission (SECOND) case against Vibe. In fact, experts in the XRP community have questioned the price trajectory, calling it "very strange."
Despite the apparent price stagnation, XRP has several bullish elements that will likely spur a price rally in 2024. reported According to Finbold, XRP has the potential to surpass the crucial $1 mark in 2024, driven by factors such as an overall bullish pattern on theIPO) for ripple.
Meanwhile, progress in the SEC case will likely play a crucial role in determining how XRP moves, with potential appeals currently being considered.
However, from a technical point of view, despite facing two major rejections at $0.7, the XRP chart shows a pattern of sideways consolidations linked to further holder behavior.
Notably, if XRP manages to overcome the current minor resistance of $0.65, there is a possibility of an increase above $0.8, with a subsequent target exceeding $1.
At press time, XRP was valued at $0.63 with daily losses of around 1.5%, while on the weekly chart, the token has slight gains of around 1.6%.
While the featured cryptocurrencies exhibit potential underlying bullish scenarios, it is critical to note that they remain susceptible to general market sentiment as well as external factors such as regulatory changes.
Disclaimer: The content of this site should not be considered investment advice. The investment is speculative. When investing, your capital is at risk.
