Experts have named altcoins that can win back the fall and show multiple growth in the future
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The cryptocurrency market experienced a sharp pullback on Friday. The cost of bitcoin at the moment fell to a monthly minimum of $ 55.6 thousand. Following the main digital coin, altcoins also fell in price. During the day, the total cryptocurrency capitalization decreased by 5%. Should the market return to growth in the future, lower prices may turn out to be an opportunity for a bargain.
In case of strong market pullbacks, first of all, one should pay attention to the "top" projects, not empty shells, advised Cryptorg CEO Andrey Podolyan. According to him, it is these tokens that are the first to return to the previous price.
“I have added CAKE, 1INCH, FTT, BNB, BTC, DYDX to my medium-long-term portfolio,” Podolyan said.
He explained that CAKE, 1INCH, DYDX are decentralized exchange tokens that have liquidity and high yield pharming / staking pools. FTT is an exchange-traded token of the FTX exchange that has good growth prospects similar to Binance Coin (BNB).
In November last year, the altcoin price of the Binance exchange was $ 30; this year, the cryptocurrency has set an all-time high at $ 686. For 12 months, the value of the asset has increased almost 23 times.
Binance is actively storming the information field, since the end of October the number of references and searches related to the exchange has grown significantly, added Nikita Zuborev, senior analyst at Bestchange.ru. The ecosystem as a platform for NFTs also continues to gain in popularity, which brings additional activity and indirect popularity, he said.
“Analysis of on-chain parameters indicates the high popularity of the BSC blockchain as a platform for the DeFi market segment. In this case, BNB is used to pay for transaction costs, and the growing popularity of decentralized applications on the network creates an artificial shortage, which will remain the driving force for the token for a long time to come, ”Zuborev predicted.
He also recommended paying attention to Litecoin, which is oversold. In the current cycle of correction, it fell more than the market and in the recovery phase may show itself better than the rest, the expert is sure. According to him, the RSI readings indicate a high degree of oversold, while there is a noticeably stable plateau on the daily chart, from which LTC can confidently push off if the market recovers.
Additional PR from Binance, which recently launched an LTC mining pool, will also be a small fundamental plus, the specialist noted. Another cryptocurrency that he recommended paying attention to is Ethereum.
“Traditionally, the most popular platform for DeFi projects will feel much more confident than the market, so it's worth taking a closer look at Ethereum. Fundamental factors play on the side of ETH – artificial deflation, payment for DeFi transactions, high recognition and citation, "Zuborev says.
He recalled that the "time bomb" to increase the difficulty had previously been postponed until December, but discussions about a new postponement have already resumed, now until May 2022. Two developers of the Ethereum community formalized this proposal as EIP 4345, if the rest of the participants support it, this could provoke a positive momentum in the price of ETH, the specialist concluded.