Cryptocurrency Titans Stealthily Building Up Positions in Three Prominent Altcoins Following the Federal Reserve's Interest Rate Reduction
In the dynamic world of cryptocurrencies, some major altcoins are currently attracting the attention of crypto whales. Here's a rundown of the latest developments in the market.
EIGEN, the token of the rebranded EigenLayer (now known as EigenCloud), has seen a significant surge in demand from crypto whales. The token, one of the major altcoins, has broken out of an ascending triangle pattern, causing a more than 33% increase in its price in the last 24 hours. The mega-whales have also increased their holdings of EIGEN by 0.1%, to around 1.13 billion EIGEN.
Another altcoin, KMNO, has also been in the limelight. It has broken out of its ascending channel, opening up potential upside to $0.13 if momentum continues. Whales have gone on a massive buying spree for KMNO, with their holdings jumping by 35.9% in the last 24 hours, totaling 29.39 million KMNO. The Bull-Bear Power (BBP) indicator for KMNO indicates that bull strength continues to increase, even after the appearance of the latest red candle, suggesting that buyers are still dominating market movements.
Avantis, a new token launched on the Base network, has also experienced a surge in its price. In the past 24 hours, the price of AVNT surged nearly 25%, fueled by aggressive buying from whales and large address holders. The price of AVNT is currently forming a bullish flag and pole pattern on the 12-hour chart, with a potential upside target up to around $6.30. The flow of funds from Smart Money for AVNT has seen a drastic spike, rising by over 1,200% in the same period.
The Smart Money Index (SMI) for AVNT has risen to 1.62, indicating increased interest, but stronger confirmation of the breakout momentum will come if the SMI breaks 1.88. However, if the AVNT price falls below $0.77, the bullish scenario will start to be disrupted, and the price could potentially drop to around $0.26, the extreme lower limit of the current price movement. The important level to watch for AVNT is $1.58; if the price breaks above this level, it will validate the flag breakout and open up opportunities for further gains.
In a move that could impact the cryptocurrency market, the Federal Reserve (Fed) has cut interest rates by 25 basis points. After the rate cut, whales notably accumulated XRP, which rose quickly by about 1.5% to $3.08. XRP is also expected to potentially increase by 50-100% due to ETF approvals and institutional demand. In the last 24 hours, XRP showed the strongest increase among cryptocurrencies linked to the Fed cut.
The market is predicting further policy easing from the Fed. However, it's essential to keep an eye on the technical structures of the cryptocurrencies. If the price of EIGEN drops below $1.73, the technical structure starts to weaken. Similarly, if the price of KMNO drops below $0.06, the bullish structure will be invalidated, and a deeper correction could occur. For AVNT, if the price drops below $1.58, it might disrupt the bullish scenario, potentially leading to a drop to $0.26.
In conclusion, the cryptocurrency market is witnessing a surge in demand for certain altcoins, while the Fed's rate cut seems to have had a positive impact on XRP. However, it's crucial to monitor the technical structures of these cryptocurrencies to make informed investment decisions.
