Crypto Coins Under Pressure
Crypto coins remained under pressure during the weekend even after Donald Trump announced his plans for a Strategic Bitcoin Reserve (SBR) and held the first crypto summit in Washington. Bitcoin’s price has crashed below $83,000, while the valuation of most coins has dropped to $2.7 trillion.
Cryptocurrency prices face a perilous recovery path now that the fear and greed index has dropped to the fear zone. However, three potential catalysts could move prices higher in the coming days:
- The US dollar index (DXY) has crashed from $110 earlier this month to $103.5 today, signaling that the Fed may start to cut interest rates earlier.
- The Lunar Eclipse will happen this week, which may lead to some changes in the market. One crypto analyst believes that the ongoing crypto crash will happen after this Lunar Eclipse ends, citing the Saturn conjunct.
- There are signs that some cryptocurrencies have become highly oversold, meaning that they may rebound soon.
Crypto Coins to Buy as the DXY Index Crashes Ahead of Lunar Eclipse
Some of the best cryptocurrencies to consider as the US dollar index crashes ahead of the upcoming Lunar Eclipse are Polkadot (DOT), Litecoin (LTC), and Bitcoin (BTC).
Polkadot (DOT)
Polkadot price has remained in a three-year consolidation phase, but technicals suggest that it may be about to bounce back. It has remained above the crucial support at $3.74, where it has not dropped below since 2023.
The coin has formed a quadruple bottom at that level and shows signs of moving into the accumulation phase of the Wyckoff Theory, which is typically followed by a markup phase characterized by fear of missing out and parabolic moves.
Polkadot has bullish fundamental catalysts, being a blue-chip Made in the USA crypto coin with higher chances of inclusion in the US government digital stockpile. Additionally, the Securities and Exchange Commission (SEC) will likely approve the applied DOT ETFs.
Moreover, it is undergoing the Polkadot 2.0 upgrade, which will introduce numerous changes, including JAM, enabling developers to build applications without going through the parachain auctions.
Litecoin (LTC)
Litecoin is another crypto coin to consider as the US dollar index crashes ahead of the Lunar Eclipse. The main catalyst is that the SEC is in the final stages of approving a spot LTC ETF, which will likely lead to increased demand.
The SEC has no reason to disapprove a Litecoin ETF due to its similarity with Bitcoin, as Litecoin emerged as a hard fork of Bitcoin. The agency does not classify Litecoin as a security.
Litecoin price has formed an ascending triangle pattern on the weekly chart that may lead to a strong bullish breakout if it rises above the resistance at $140.
Bitcoin (BTC)
Bitcoin is another crypto to buy as the US dollar index crashes ahead of the Lunar Eclipse. The main reason for this outlook is that it is approaching the crucial support level at $73,685.
This level was the highest in March last year and is the target of a double-top pattern. With a double-top depth of about 17.5%, measuring from the neckline brings the target to $73,685.
A move to that level will indicate further upside for Bitcoin, with the next target being the year-to-date high of $109,200. Analysts at Standard Chartered anticipate Bitcoin price may eventually surge to $500,000 in the long term.
The post Top crypto coins to buy as the DXY index crashes ahead of Lunar Eclipse appeared first on Invezz.
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