đ¸ How High Can Ethereum (ETH) Go This Cycle? [HARD FIGURES!]
Are Altcoins About To Go Parabolic? According To This, Yes!
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đ° Are Altcoins About To Go Parabolic? According To This, Yes!
đ How High Can ETH Go If The Trend Continues?
đ¸ MEMEoirs of a Degen!
đ˘ Biggest Announcements
đ Banterâs Take
GM, degens,
Google Trends for âaltseasonâ are going parabolic, hitting 5-year highs!
Meanwhile, yesterdayâs CPI came in good and sparked a solid market bounce, and sentiment is turning even more bullishâespecially around Ethereum and Solanaâso today weâll look at how high ETH could go if momentum holds, plus what past Solana trends may be hinting at next.
Weâll also check a chart that points to altcoins potentially getting ready to leave their current ranges behind for good.
Letâs dive in!
đ Market Catch-Up
Top 100 coins Daily Performance - Banter Bubbles
Source: CoinMarketCap
đ° Question of the Day
Are Altcoins About To Go Parabolic? According To This, Yes!
CPI in the US came in favorable yesterday, which was a big relief for the entire market, and weâre already seeing a bounce.
U.S. CPI came in at +2.7% year-over-year (est. +2.8%).
We also talked about Circle Internet Group (CRCL) yesterday, which reported earningsâits first quarterly report since becoming a public company after a $1.2b IPO in June. The company reported revenue growth of 53%, reaching $658m for the quarter, beating analyst expectations. Its USDC stablecoin circulation grew 90% year-over-year to $61.3b. Despite strong revenue, Circle reported a net loss of $482m, reportedly due to one-time IPO-related expenses including stock-based compensation and fair value changes on debt. However, if you recall from yesterdayâs newsletter, the expected loss was higherâso this was good news.
But Circle went furtherâŚ
It announced plans to launch an EVM-compatible Layer-1 (L1) blockchain later this year called ARC.
As expected, this is heating up the stablecoin narrative to a boiling point. Everyone is now trying to understand what the next trade is when it comes to protocols and projects with heavy exposure to stables. Weâre working to identify those protocols, and Ran is going to be talking about some of them on todayâs Crypto Banter showâcheck it out below.
Overall, the bullishness continues.
The search interest for âaltseasonâ is hitting a 5-year high on Google Trends, as you can see below. This is wild to see when many still donât believe that the classic rotation from major coins like Ethereum and Solana will push liquidity down into the rest of the market.
Ethereum (ETH) is currently trading ~5% away from its previous ATH. And we all know what tends to happen when ETH breaks above its previous ATH. Thatâs often when âOTHERSâ start to catch a bid and make a proper run. The OTHERS chart is essentially the crypto total market cap excluding the top 10 coins and tokens by market cap. This gives a more balanced overview of altcoin status and health.
Soon, it could see a repeat of 2021, as you see in the chart below, sending altcoins (the good ones at leastâŚ) soaring!
Speaking of altcoinsâand before we look at how high Ethereum (ETH) could reachâwe have to mention Sheldon, whoâs analyzing some of his favorite charts and stocks today in The Daily Candle, including:
SuperVerse (SUPERUSDT)
Hedera (HBARUSDT)
Kaspa (KASUSDT)
Illuvium (ILVUSDT)
MARA Holdings, Inc. (MARA)
Hereâs what he has to say:
Hey everybody,
Yesterday, we saw a massive bounce in the market, driven by favourable CPI numbers. The rally over the past 12 hours has led to a significant drop in BTC dominance, breaking a key support line dating back to November 2022, as altcoins continued to push higher.
I believe there is still more upside ahead, particularly for altcoins, as we move into September â at which point I expect the possibility of a larger pullback before, hopefully, a year-end rally.
Any current retracement in altcoins is presenting an opportunity to enter long positions, but the key is to select the right coins.
Letâs go!
Sheldon
Head over to the latest issue of The Daily Candle by pressing the button below, and donât forget to subscribe so you donât miss out on the last leg of the bull run!
đ Degensâ Den
How High Can ETH Really Go If The Trend Continues?
Ethereum (ETH) looks strong where it is right now as it rises and leaves the rest of the altcoins behind. But how high might it go this cycle?
This is where analysis from one of our lead researchers comes in.
If we examine Ethereumâs trends and chart, we start to get an understanding of this. But we wonât look at the USD chartâweâll look at Ethereum priced in Bitcoin. Itâs one of the clearest ways to gauge ETHâs strength. This removes USD price noise and shows whether ETH is outperforming or lagging Bitcoin.
In 2017, ETH/BTC peaked around 0.119 BTC.
In 2021, the peak was lower at 0.082 BTC, creating a lower-high downtrend.
If this pattern holds, the next cycle peak is likely to be below 0.082, with two realistic ratio levels based on that trend:
0.048 BTC (âabsolute dropâ from the last peak, meaning the 2021 peak minus a fixed value of 0.034 BTC)
0.059 BTC (âpercentage dropâ from the last peak, meaning a drop of around 28% from 0.082)
Applying those ratios to potential Bitcoin (BTC) tops gives:
With BTC at $120K â ETH â $5,760 (0.048 BTC) or $7,080 (0.059 BTC)
With BTC at $150K â ETH â $7,200 (0.048 BTC) or $8,850 (0.059 BTC)
This approach fits the ongoing ETH/BTC lower-high structure, meaning ETH could still see strong USD gains but may not reach prior ratio peaks unless it breaks the trend. Of course, take this with a pinch of saltâETH could outperform and break the downtrend, pushing beyond these ranges, or it could underperform. Historically, ETH has followed the BTC cycle with each ratio peak coming in lower than the one before.
What about Solana (SOL)?
Solana seems to be lagging just a bit behind Ethereum (ETH) and Bitcoin (BTC), partly due to the lack of a major ETF product behind it. The next SEC deadline for a Solana ETF is in October, and soon the criterion of 6-month availability of Solana futures on Coinbase/CME will also be met.
However, SOLâs metrics look good and it has a lot going on, including its decentralized exchange (DEX) integration into the Coinbase appâsomething we discussed in past issues. As with ETH, letâs take a look at SOL priced in BTC.
In the last cycle, it took 79 weeks from the top to the bottom. Weâre currently 73 weeks from the top.
Last cycleâs drop ended with a double bottom, which we already have this time too.
Overall, SOL may still have room to run. And according to the previous trend, it might only be some weeks away before a big run. As always, take this with a pinch of salt. None of this is financial advice, just our own analysisâdo your own research.
đ¸ MEMEoirs of a Degen!
đ˘ Biggest Announcements
Matt Huang, Paradigm Co-Founder, To Lead Stripe Blockchain Tempo
Grayscale Cardano Trust ETF Registered In Delaware
Do Kwon To Plead Guilty To Two Counts Of Conspiracy To Defraud, Wire Fraud Over $40 Billion Crypto Collapse, Judge Says In U.S. Court Hearing
JPMorgan To Pilot Deposit Token JPMD On Base
đ Banterâs Take
Things continue to go well, and everyoneâs watching to see when the next big leg kicks off and how high things can go.
Every day we bring you the news and detailed analysis from our top researchers, as above. Be sure to subscribe below before the market goes into hyper-drive. Thereâs lots on the way, and we still have time. đ
See you all tomorrow!
This was a great read thanks for the info, would definitely like a reassessment of these takes especially the Solana one in 6 weeks to see if it holds or not