Crypto analytics firm Santiment is exploring the movements of Bitcoin and XRP whales, and predicts five altcoins are on the cusp of rallying.
The firm’s data shows Bitcoin whales holding 10,000 BTC or more are still accumulating the flagship cryptocurrency asset amid a deep Bitcoin correction.
In the past two weeks BTC has plunged nearly 15%, testing the $47,000 support level.
On-chain analyst Ali Martinez is highlighting Santiment’s data showing that XRP whales are also actively buying more, as the token hovers around $1.40.
“XRP whales have gone into a buying spree. Santiment reveals that 19 new addresses with more than 1,000,000 XRP have joined the network since April 23.
Santiment is also spotlighting five altcoins that could be under the radar and ready to rally based on on-chain metrics that show increased “overall daily address activity” trend lines and declining “daily active deposits” trend lines.
Ethereum, which is hovering around its new all-time high of $2,797, according to CoinGecko, is still showing strong bullish signals when looking at the highlighted metric.
Many new Ethereum addresses have been created lately, adds the analytics firm, helping propel the asset to new heights.
The lowest market cap asset that Santiment spotlights based on its daily active deposits and address activity trendlines is search engine tool Brave Browser’s Basic Attention Token (BAT).
The other three are: decentralized finance (DeFi) asset Maker (MKR), gaming token Enjin (ENJ) and virtual reality project Decentraland (MANA).
Altcoins are heavily outperforming Bitcoin as Bitcoin is most likely going to make a range bound construction, and during those months altcoins will do well.”
Van de Poppe tells traders that as an extreme altseason approaches and Bitcoin ranges, it is important to look for the projects that have not yet mooned.
For example, the trader mentions distributed web protocol Holochain (HOT), which had a huge breakout in early April to an all-time high of $0.031.
While Van de Poppe believes Holo will break out again, he predicts its second rally will occur later in the next wave of the altseason, likely around mid-June.
“Do I assume that we’re going to have a new cycle for altcoins? Yes. Do I assume that tokens like Holo token can have another run? Yes, for sure, but I’m assuming we’re going to have this breakout later. I think we’re going to have some more sideways action and then we start to accelerate while other altcoins that did not have this [rally] yet will newly breakout.“
Two assets that the analyst says will likely move in the short term are smart wallet asset Swipe (SXP) and oracle project Tellor (TRB).
Van de Poppe points out that Swipe has a lot of upside potential, down 80% from its high in its Bitcoin pair (SXP/BTC), while Tellor’s technical analysis (TA) looks strong as well and will likely “start expanding and accelerating as there hasn’t been much of a bull cycle” for the asset yet.
As for Bitcoin, Van de Poppe adds that if the asset is able to surpass the $58,000 resistance zone in one shot, he will be bullish in the short term. However, the analyst says this scenario is unlikely, and will be watching for the flagship cryptocurrency to retest $46,500 as support and create a range bound construction over the course of the next month or so.